Making the TCJA permanent would ensure continued financial stability and enable families like mine to focus on what truly matters—raising happy, healthy children in a secure environment.
On August 16, 2024, I had the honor of testifying before the U.S. House of Representatives Ways and Means Committee at a field hearing in Des Moines, Iowa, on the impact of the Tax Cuts and Jobs Act (TCJA). While my professional experience as a public policy researcher is valuable, the viewpoint the committee was most interested in was from my personal life. When lawmakers, whether in Washington or Des Moines, make tax changes, it impacts families the most. As a wife and mother of three young boys, I know firsthand the effect tax changes have on our family, and I was honored to share that perspective with the committee.
My husband and I both work hard to provide for our children, and the TCJA’s provisions have made that task a little easier. Living in rural southwest Iowa, my family enjoys the simplicity of life on an acreage property. But with this lifestyle comes the need for self-sufficiency and preparedness. The TCJA, particularly its expansion of the Child Tax Credit (CTC), has played a significant role in easing our financial burdens, allowing us to focus our resources on what matters most: our children.
For example, one of our children has special needs, requiring frequent medical appointments and various therapies. These costs are substantial, and the increased CTC has helped us redirect funds that would have otherwise gone to taxes toward his essential treatments. Many Iowa families can relate to this experience.
Another important aspect of the TCJA that is not commonly discussed is the increase in the standard deduction. We used to collect receipts and keep logbooks of expenses so we could itemize every year. Now, with a larger standard deduction, our tax filing process has been simplified, reducing the need to itemize deductions. This change has allowed me to spend less time on tax paperwork and more time with my children, which has been invaluable as a busy mother.
The reduction in marginal tax rates has also been beneficial for our family. My husband and I have worked hard to grow in our careers, and the reduced rates have allowed us to keep more of our earnings, providing financial stability at a time when costs for education, healthcare, and daily necessities are rising.
While I provided my personal account, I could not help but share the broader impact this would have on Iowans from a state perspective. In Iowa, our tax structure is deeply tied to the federal tax code, and a change at the federal level has state consequences. Iowa has recently lowered its top marginal tax rate and simplified its tax system. However, if the TCJA were to sunset, these gains could be reversed, complicating both federal and state tax policies and increasing the tax burden on families like mine.
In my closing remarks, I reminded lawmakers that the TCJA has been instrumental in providing much-needed tax relief for American families, especially those with special needs children. Making the TCJA permanent would ensure continued financial stability and enable families like mine to focus on what truly matters—raising happy, healthy children in a secure environment. Hopefully, Congress will extend the TCJA so families don’t have to experience a tax increase when it is scheduled to expire in 2025.
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