U.S. House Ways and Means Committee Chairman Kevin Brady (R-The Woodlands), who helped write and actively promoted the tax cut bill approved in Congress last month, told the San Antonio Chamber of Commerce that the measure will a major boost to the Texas economy, News Radio 1200 WOAI reports.
"We will create, its estimated, 81,000 new jobs here in Texas, good paying jobs, because of this tax cut," Brady said. "A lot of it because it really targets those industries that drive our economies."
Brady said the tax bill is a major boost for businesses, especially small businesses, through provisions that, for example, allow the purchase of equipment to be written off as an expense. The said the bill also encourages companies to return cash which is parked overseas for tax purposes to the U.S. and put to work growing the business.
"Before this tax bill was approved, do you know where we were internationally when it came to tax laws that helped businesses?" Brady asked. "We were 31st out of 35 nations and falling.
"He said the tax bill will not only allow U.S. companies not to be punished by an outdated tax code, but he said there are several measures in the law, which he said 'haven't been reported' which will be a major benefit to working families.
He cited raising the ceiling for qualifying for the child care tax credit.
"The old tax code started to phase out that help when you had a family making $110,000, that's two teachers," Brady said. "One thing the media doesn't cover is the new tax code raises that to $400,000."
But Brady said work is not done. He said one area where Congress now has to move is to make sure there are plenty of trained workers who are able to take the new jobs that will be created by the adjustments to the tax code.
He said one way that can be done is through a 'smart' immigration policy, but he said the main place where new workers will come from are from people who don't currently have the skills needed for the 21st Century workplace, many of them are currently receiving welfare, food stamps, and other government benefits.
"We think expecting and requiring work or training or volunteering in exchange for benefits is good for the workers," he said.
Brady said there are 'millions' of American citizens, including men in the prime working age, who ave 'disappeared from the work force,' and a program to tie continued welfare benefits to getting training and becoming eligible for the jobs that are being created would help them, and would also help the U.S. economy.