Extending the Tax Cuts and Jobs Act to save American families

The Tax Cuts and Jobs Act delivered tax relief, boosted incomes, and reduced poverty. However, key provisions expire at the end of 2025, which could raise many families’ taxes by thousands annually, depending on the state. In his interview, AFP Vice President of Government Affairs Akash Chougule explains the wide-ranging impacts on taxpayers and businesses.

Akash recently appeared on C-SPAN’s “Washington Journal” to explain why extending the 2017 TCJA is not just essential — but urgent.

Without action to extend the tax cuts, millions of families will pay thousands more in taxes every year while still suffering from the effects of skyrocketing inflation due to the Biden administration’s economic policies.

The impact of the 2017 Tax Cuts and Jobs Act

Akash explained,“The 2017 Tax Cuts and Jobs Act reduced the family tax burden by $2,000, lifted 6 million Americans out of poverty, and delivered record-low unemployment.”

He pointed out that these positive changes were not isolated but systemic, helping communities across racial and socioeconomic lines equally.

For example:

• The U.S. experienced record-low unemployment rates for minorities and those without a high school diploma during this period.
• Median household incomes rose by $6,000, hitting all-time highs in 2018 and 2019.
• The poverty rate dropped to its lowest level in history in 2019.

Here’s the big problem: These gains are at risk as key provisions of the TCJA, including individual tax cuts and the pass-through deduction for small businesses, are set to expire.

Akash emphasized,“If Congress lets these provisions lapse, families in states like Pennsylvania could face tax hikes of up to $2,400 a year, while households in Nevada might see increases as high as $3,500 annually.”

Addressing criticism on federal debt

Akash also addressed one of the most common criticisms of the 2017 tax law — the assertion that it contributed to deficits and ballooning national debt.

He pushed back, saying, “The main driver of our country’s debt is not tax cuts, but out-of-control spending on entitlement programs and other government bloats.”

He cited recent examples:

• President Biden’s four-year tenure added over $5 trillion in new borrowing.
• Congressional spending, including corporate handouts and wasteful programs, remains “Washington’s default position.”

“Taxes are not the driver of deficits,” Akash stressed. “Pro-growth policies that reduce the tax burden on everyday Americans actually encourage economic growth and, in the long term, increase federal revenue.”

He referenced historical precedent to back up his claim, pointing out that government revenues actually exceeded pre-tax cut projections under both the TCJA and earlier reforms led by Presidents Reagan and George W. Bush.

What you can do

Take action to keep taxes low and opportunities growing. Join us in urging lawmakers to extend the Tax Cuts and Jobs Act.

We can protect pro-growth policies that put your hard-earned money where it belongs — back in your hands. Sign the petition today and make your voice heard!