(National Sentinel):Â Tax Reform: The Senate passed President Donald J. Trump’s tax plan on a 51-48 vote in a midnight showdown that saw every Democrat vote against it, making the measure the most significant reform in three decades.
Earlier Tuesday, the House passed the measure on a 227-203 vote, in which 12 Republicans joined all Democrats to oppose the bill.
The House will have to re-vote on the measure, however, after Democrats complained about two minor provisions. That vote is expected today.
Sen. John McCain, R-Ariz., was not present to vote on the measure after having returned to his home state for rehab following chemotherapy for his brain cancer.
The $1.5 trillion tax cut will apply to nearly all income levels, analysts said, slashing top rates for businesses especially, while providing them with new breaks as well. The bill also reorganizes tax rates for individuals.
Trump celebrated the bill’s passage in a tweet, writing, “The United States Senate just passed the biggest in history Tax Cut and Reform Bill. Terrible Individual Mandate (ObamaCare)Repealed. Goes to the House tomorrow morning for final vote. If approved, there will be a News Conference at The White House at approximately 1:00 P.M.”
The United States Senate just passed the biggest in history Tax Cut and Reform Bill. Terrible Individual Mandate (ObamaCare)Repealed. Goes to the House tomorrow morning for final vote. If approved, there will be a News Conference at The White House at approximately 1:00 P.M.
— Donald J. Trump (@realDonaldTrump) December 20, 2017
AsÂ NBC News reported:
The GOP bill lowers individual tax rates, including the top bracket to 37 percent from 39.6, while doubling the standard deduction and replacing personal exemptions with a $2,000 partly refundable child tax credit. It eliminates various deductions while limiting others on state and local taxes and mortgage interest. It also exempts larger inheritances from the estate tax, doubling the thresholds to $11 million for individuals and $22 million for married couples.
Also, there are major healthcare implications. The measure abolishes Obamacare’s individual mandate, meaning Americans will no longer be penalized for not buying health insurance.
Another provision pertaining toÂ 529 savings accounts, which are now used for college tuition, was changed to help finance home schooling.
“After eight straight years of slow growth and underperformance, America is ready to take off,” Senate Majority Leader Mitch McConnell, R-Ky., said following the vote.
The bill will “put the American economy in a better position,” House Speaker Paul Ryan of Wisconsin said, because “workers benefit, wages go up.”
The markets seem to agree. The Dow Jones Industrial Average has been setting new record highs for months in anticipation the tax measure would pass and cut rates for businesses and corporations.
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