News

The U.S. House of Representatives took an important step toward permanent tax relief for American families and businesses by passing a budget resolution on Tuesday.

Why it matters: Pro-growth tax policy will help drive the sustained economic growth needed to improve Americans’ lives and help communities thrive.

What we’re doing: The U.S. Chamber led nearly 500 state and local chambers and national trade groups—representing all 50 states—urging Congress to adopt a current-policy baseline in its budget resolution to permanently extend the pro-growth provisions of the 2017 Tax Cuts and Jobs Act (TCJA).

• “Adopting a current-policy baseline would avoid a $4 trillion tax increase on American families and employers by creating a pathway for Congress to make the TCJA permanent,” the letter states.
• “Doing so would provide businesses the certainty and stability they need to make the long-term investments that drive growth, accelerate productivity, and increase prosperity across all segments of the economy.”

Our take: “As the process moves forward, we continue to urge lawmakers in both chambers to recognize the importance of adopting a current-policy baseline, which would give them a real chance to deliver permanent tax relief to American families and employers,” said Neil Bradley, U.S. Chamber Executive Vice President, and Chief Policy Officer.

Be smart: Local business leaders know why extending the TCJA reforms is critical.

• “A tax code that's competitive for all of us supports the industry and helps manufacturing in the U.S. grow,” said Traci Tapani, co-president of sheet metal workshop Wyoming Machine Inc. in Stacy, Minnesota.
• “A competitive tax code is particularly important for us because since 2017, we have grown from 24 employees to 130,” said Victoria Thomas. said Victoria Thomas, CFO and co-owner of Kellymoss, an automobile restorer in Madison, Wisconsin. “What that takes in terms of infrastructure, capital equipment, and general investment in our company to be able to sustain that growth, it's absolutely not possible if we end up losing that tax advantage.”

What’s next: The House’s budget resolution must be reconciled with the U.S. Senate’s version, paving the way for Congress to pass permanent tax relief.

Bottom line: Lawmakers have the procedural tool at their disposal to drive economic growth while improving fiscal responsibility. Now is the time to use it.

Learn more:

• Four Reasons to Adopt a Current-Policy Baseline for Tax Legislation
• Register for the 2025 Tax Policy Summit
• Growing America's Future