Delivering tax relief for Iowa families, farmers, and businesses

I’ve long believed that cutting taxes for our families, farmers, and small businesses spurs investment in our rural communities, promotes economic growth, and creates good jobs. When we let hardworking Iowans keep more of their hard-earned money, folks are encouraged to start their own enterprises, hire new employees, support businesses up and down our rural main streets, and put money aside for a rainy day. At the end of the day, Iowans know far better than the federal government how they should spend their money.

Serving on the House Ways and Means Committee, it remains my mission to pass strong, pro-growth, pro-family, pro-worker tax policies that help our families overcome the harsh impacts of inflation, allow our small businesses to grow, and ensure that our farmers can compete with and win against China.

As a strong voice for tax cuts and economic growth, I recently voted for the Tax Relief for American Families and Workers Act. This legislation — which passed the U.S. House of Representatives by a vote of 357 to 70 — will help our business community, boost wages, and keep jobs rooted in rural Iowa. It allows businesses to immediately deduct research-and-development investments here at home instead of overseas and depreciate 100 percent of the cost of equipment and other assets necessary to operate and stay competitive. This simple fix would save our businesses and manufacturers from $32 billion in new taxes and prevent our farmers from facing $400 million in increased taxes.

This package also increases the deduction for interest expenses — which will create 867,000 jobs nationwide and increase take-home pay for workers by $58 billion — to help our small businesses grow and meet payroll, particularly during this time of high interest rates. These three crucial policies will support our businesses as they compete with China, which provides its manufacturers and businesses with generous deductions and investments.

The Tax Relief for American Families and Workers Act would further help combat the cost-of-living crisis facing our families. With inflation refusing to quit and interest rates still elevated, this bill will lower the cost of raising a family, keep strong work requirements to claim the child tax credit, and kickstart the construction of affordable homes in rural communities. By enhancing the Low-Income Housing Tax Credit, we can build new housing for rental purposes and help families find a place to call home within their budget.

I also want to note that our farmers will benefit from two key provisions in this legislation — 100 percent bonus depreciation and the expansion of the Section 179 deduction limit. In other words, our producers rely on these tools to buy farm equipment, invest in their operations, lower input costs, and create jobs. While China redoubles its efforts to buy American farmland and disadvantage our farmers in global markets through unfair trade practices, these important tax policies will help our producers feed and fuel our country and the world while maintaining a competitive advantage against China.

This economic and jobs package is a big deal for our families, farmers, businesses, and the American economy. It will bolster domestic manufacturing, strengthen our economic advantage against China, lower costs for hardworking families, support our small businesses, and uplift our rural communities. I will continue to advocate for policies that fight inflation, grow our economy, and deliver for agriculture.

U.S. Rep. Randy Feenstra, R-Hull, represents Iowa’s Fourth Congressional District.


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