Rep. Kristi Noem today met with South Dakota families in Brookings and Sioux Falls as part of her statewide Tax Cuts and Jobs Tour. A mother of three, Noem championed critical family provisions, including the Child Tax Credit, the Child Care Credit, and the Family Credit, while also helping to negotiate a significantly larger standard deduction and lower tax rates. Noem served on the final negotiating team for H.R.1, the Tax Cuts and Jobs Act.

“I came to the tax reform negotiations as a small business owner, a farmer and rancher, but most importantly, as a mom,” said Noem. “Strong families are the cornerstone of a successful community, and I fought to make sure our tax code now reflects that. By doubling the Child Tax Credit, eliminating the marriage penalty, maintaining the Child Care Credit and enhancing 529 education savings options, we’re strengthening families. Moreover, by retaining the mortgage interest deduction, medical expense deduction, and popular retirement savings options, we’re helping ease the financial burden on families when they reach those important milestones. No reform package will be perfect for everyone, but the Tax Cuts and Jobs Act reflects our priorities better than almost any tax plan in history. It strengthens families and creates a stronger future for all Americans.”

In Brookings, Noem met with families in the home of Luke and Emma Perkins, where they discussed how the newly enacted tax reform package lowers individual tax rates, doubles the Child Tax Credit, and doubles the standard deduction, meaning the first $24,000 a couple makes is now tax free. If the old tax code was in place, a young couple with three children making $78,000 would owe more than $2,600 in taxes for 2018. With tax reform, their tax bill drops to $99 because of these benefits.

In Sioux Falls, Noem hosted a lunch with young moms and addressed key provisions, such as the mortgage interest deduction, 529 education savings plans, and retirement savings options.

Noem, who served on the final tax reform negotiating team, will visit Rapid City, Brookings, Sioux Falls, Huron, Watertown, Aberdeen and Pierre as part of her statewide Tax Cuts and Jobs Tour. In each community, Noem will sit down with South Dakotans to discuss tax reform’s impact on their businesses, paychecks and families.

Highlights of the Tax Cuts and Jobs Act for Families

Lowers individual tax rates, setting them at 0%, 10%, 12%, 22%, 24%, 32%, 35%, and 37% so people can keep more of their hard-earned money.

Nearly doubles the standard deduction, meaning the first $24,000 a married couple makes or the first $12,000 an individual makes is tax free.

Provides unprecedented support for families.

  • Doubles the Child Tax Credit to $2,000 per child.
  • Eliminates the “marriage penalty.”
  • Preserves the Child and Dependent Care Tax Credit (also known as the Child Care Credit) to better support working parents.
  • Creates a $500 Family Credit for non-child dependents, such as college students living at home or parents.

Preserves the Home Mortgage Interest Deduction for existing mortgages as well as for newly purchased homes up to $750,000.

Permanently retains the Medical Expense Deduction and lowers the threshold for two years at a pre-Obamacare level of 7.5% of adjusted gross income.

Improves vehicles for education by allowing families to use 529 accounts to save for elementary, secondary, and higher education.

Retains popular retirement savings options, such as those for 401(k)s and Individual Retirement Accounts.

Continues the deduction for charitable contributions.

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