WASHINGTON, D.C. (December 15, 2017) – Eastern Washington Congresswoman Cathy McMorris Rodgers (WA-05) released the following statement after the House-Senate conference committee released the conference report for the Tax Cuts & Jobs Act (H.R. 1).
“At every step in this process, the Tax Cuts and Jobs Act has been written to improve the lives of everyday Americans and their families by creating more jobs, fairer taxes, and bigger paychecks. With this pro-economic growth and pro-family tax plan, we are significantly increasing the standard deduction, lowering rates across the board, and making it easier for everyone to file their taxes. In fact, the average family of four making $73,000 a year will receive a tax cut of more than $2,000.
“I’m also proud to say this plan carries on the legacy of the ABLE Act with my legislation to help families with children with disabilities. It allows families to roll over funds from a 529 college saving account to an ABLE account so they can pay medical bills and other living expenses. It also includes the ABLE to Work Act that would allow individuals to save more of their own money so they can explore the workforce and find a good-paying job.
“I would like to congratulate the House and Senate conferees and thank them for their hard work. I am particularly pleased that they came together on solutions to protect the tax exempt status of graduate student tuition waivers and Private Activity Bonds to fund the construction of low-income housing units.
“Americans sent us here to do big things, and overhauling our broken tax code for the first time in 31 years is at the top the list. This is our once-in-a-generation chance to change the status quo and help everyone reach their full potential in a stronger economy with more opportunities to succeed. I look forward to sending this bill to the President’s desk by Christmas.”
You can view the full conference report here.
NOTE: During the conference committee process, the Congresswoman repeated her priorities for the final bill including protecting the tax exempt status of graduate student tuition waivers and private activity bonds used to fund the construction of low-income housing. Both of these priorities are reflected in the conference report.
Key provisions from the Congresswoman’s “ABLE 2.0” legislative package are also included in the Tax Cuts and Jobs Act conference report, including the ABLE to Work Act and the ABLE Financial Planning Act.
ABLE to Work Act: This legislation would allow an ABLE beneficiary who earns income for a job to save up to the Federal Poverty Level, which is currently at $11,770, in addition to their annual contribution limit of $14,000. This is targeted to assist only those disabled individuals who cannot contribute to an employer retirement saving plan.
ABLE Financial Planning Act: This legislation allows for rollovers from a 529 to a 529A account, but still maintains the annual contribution limit of $14,000. This would allow individuals who may have been saving for their child’s college tuition, which is now no longer needed, to rollover up to the maximum contribution each year until the 529 account has been depleted.
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