On January 31, 2024, Congressman Henry Cuellar, Ph.D. (TX-28), cast his vote in favor of H.R. 7024, the Tax Relief for American Families and Workers Act of 2024. The bipartisan legislation, aimed at providing tax relief to families and small businesses, will now move to the Senate for consideration.
In a statement, Dr. Cuellar expressed his satisfaction with the bill, highlighting its positive impact on South Texas families and businesses. He particularly commended the inclusion of an expanded Child Tax Credit, anticipating benefits for millions of families nationwide, including 78,000 children in TX-28 in the first year alone.
Key provisions of the Tax Relief for American Families and Workers Act include:
Child Tax Credit Expansion: The bill broadens access to the Child Tax Credit by increasing the refundable portion, adjusting for inflation, and eliminating penalties for larger families. This is expected to benefit around 16 million children in low-income families, including 78,000 in TX-28. Approximately 400,000 children are projected to be lifted above the poverty line in the first year.
Small Business Tax Cuts: The legislation raises the small business expense cap, providing assistance to families and businesses affected by natural disasters. These changes are estimated to create 867,000 new jobs, generating an additional $58 billion in take-home pay nationwide. More than 8,700 small businesses in TX-28 could benefit from these measures.
Affordable Housing Expansion: The bill enhances the Low-Income Housing Tax Credit, encouraging the development of an estimated 200,000 affordable housing units.
Economic Development and Job Creation: Additional incentives for research and development, coupled with the restoration of expensing for business investments, are expected to spur economic development and create well-paying jobs.
Congressman Cuellar, a longstanding advocate for the Child Tax Credit, previously supported its expansion in the American Rescue Plan Act of 2021. His commitment to reducing the tax burden on small businesses is evident in his introduction of the Main Street Tax Certainty Act, aiming to make the 20% Small Business Deduction (Section 199A) permanent.