Rushmore State News

U.S. Senate Majority Leader John Thune (R-S.D.) addressed the Senate ahead of a vote on legislation that aims to extend tax relief provisions from the Tax Cuts and Jobs Act, which he described as one of the most successful economic policy measures in recent history.

Thune began by acknowledging the efforts of committee staff and floor staff who worked on the bill for several months. He noted, “Everybody that’s been around that has to put in the hours and get us to where we are today – they are extraordinary people who are very dedicated to their jobs and to public service, and we’re grateful for that.”

He criticized the reading of the bill on the Senate floor overnight, suggesting it did not serve a practical purpose: “To think that they were sitting there, in their jobs, watching the bill be read on the floor for endless hours in the middle of the night – I’m not sure what that achieved.”

Discussing the impact of extending tax relief, Thune said it would prevent significant tax increases for families making less than $400,000 per year and small businesses. He stated, “$2.6 trillion of this tax hike that they’re supporting would hit families making less than $400,000 a year. It would hit small businesses, to the tune of $600 billion in tax increases.” He added that without legislative action, benefits such as child tax credits and standard deductions could be reduced.

Thune also referenced data following passage of previous tax cuts: “Unemployment hit a 50-year low, poverty levels at record-level lows, and incomes grew. Incomes and wages increased – most among lower-income Americans.”

On Medicaid reforms included in the bill, Thune argued these changes aim to improve efficiency by introducing work requirements similar to those enacted during welfare reform under President Bill Clinton. He explained: “One of which – one of which – includes work requirements. I don’t think that’s a novel concept… The work requirements in the Welfare Reform Act passed back in 1996 and signed into law by Democrat President Bill Clinton had stronger work requirements than are included in this bill.”

Thune addressed concerns about using a current policy baseline for budget projections by pointing out precedent from previous Democratic administrations: “Back in 2012, President Obama and one of the people who was working for him at the time… used the current policy baseline to make permanent the Bush tax cuts.”

He concluded his remarks by emphasizing provisions targeting working Americans: “No tax on tips, no tax on overtime, lower taxes for seniors, for Social Security recipients. These are all targeted at working Americans, working families.” Thune asserted that passing this legislation would help ensure American safety, strength, and prosperity.