Rep. Kristi Noem today signed the Tax Reform Conference Report, which is the legislative language agreed to by the House and Senate. The language will next move to a vote in the House and Senate. Read the conference report here. A summary can be found here.

“The American people deserve more control over their paychecks,” said Noem. “They’ve worked hard for that money. They ought to be the ones deciding how, where, and when to spend it. This legislation does just that, while at the same time strengthening families and creating a healthier economy in which wages can rise.”

Noem continued: “I understand that no tax plan is going to be perfect in everyone’s eyes. While exemption levels were increased on the Death Tax, for instance, I fought – and will continue to fight – to repeal this un-American double tax. Still, this legislation offers critical relief to hard-working families, and I’m hopeful it will arrive at the president’s desk soon.”

Noem’s entry into public service came after her family was hit by the Death Tax following a farm accident that took her dad’s life. Noem went on to serve in the South Dakota State Legislature where she was appointed to the House Taxation Committee. Following her election to the U.S. House, Noem served on a series of committees, including the House Agriculture Committee where she successfully negotiated the 2014 Farm Bill as a member of that Conference Committee. In 2015, Noem earned a seat on the powerful House Ways and Means Committee, the first South Dakotan in history to do so. Noem became one of nine House Republicans to serve on the Tax Reform Conference Committee, which negotiated the tax reform deal.

Highlights of the Tax Cuts and Jobs Act

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 to $24,000 for married couples and $12,000 for single filers.

Provides unprecedented support for families.

  • Increases 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.
  • Preserves the Adoption Tax Credit.

Eliminates Obamacare’s individual mandate tax.

Preserves the Home Mortgage Interest Deduction for existing mortgages and maintains the home mortgage interest deduction for newly purchased homes up to $750,000, while grandfathering in existing mortgages.

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

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.

Continues the deduction for charitable contributions.

Allows businesses to immediately write off the full cost of new equipment, which is critical for South Dakota’s agriculture community.

Creates a separate and historically low small business tax rate.

Lowers the corporate tax rate to a globally competitive 21%.

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