Rushmore State News

U.S. Senate Majority Leader John Thune (R-S.D.) addressed the Senate, highlighting the progress of a Republican-backed bill aimed at delivering economic and security benefits for South Dakota and the nation.

Thune outlined several provisions in the proposed legislation, emphasizing its potential impact on working families, small businesses, agriculture, national defense, border security, and energy production.

He stated that the bill would make permanent several elements of the 2017 Tax Cuts and Jobs Act. These include lower tax rates across all income brackets, a doubled child tax credit—now proposed to increase by $200 to $2,200 per child—and an expanded standard deduction. Thune warned that without congressional action, these tax policies are set to expire this year, resulting in an average $2,500 tax increase for South Dakotans next year.

“We’re not going to let that happen,” Thune said. “Our bill will extend the Tax Cuts and Jobs Act’s lower tax rates. It will extend the doubled child tax credit. It will extend the nearly doubled standard deduction. But not just extend them... Make them permanent, so that no hardworking American has to worry about a looming tax hike again a few years down the road.”

Additional measures in the bill include increasing seniors’ standard deduction by $6,000; exempting police officers, firefighters, hourly workers from taxes on overtime pay; removing taxes on tips for service workers; and introducing new investment accounts for young adults to support education or starting a business.

Thune also pointed out benefits for small businesses and agricultural producers through incentives such as full expensing for equipment purchases and domestic research and development. The legislation would raise the death tax exemption to $15 million with inflation adjustments—a move he said would help family farms and small businesses avoid significant financial burdens.

On agriculture policy specifically, Thune noted updates to farm safety nets: “It increases reference prices for every covered commodity and makes these prices more responsive to market conditions in coming years. It increases crop insurance coverage and affordability... supports livestock producers by making existing programs more responsive to drought... invests in critical conservation programs... And it supports a bright future for agriculture by funding grants for research at agriculture research institutions and promoting trade for commodities in foreign markets.”

The senator also highlighted investments in military readiness—including expedited production of the B-21 long-range strategic bomber set to operate from Ellsworth Air Force Base—and increased funding for border security initiatives such as completing construction of the border wall.

Regarding energy policy changes under this proposal, Thune stated: “It reverses course from the Biden administration’s hostility to responsible conventional energy production. And it will help guarantee a secure, stable, and affordable energy supply for American families and businesses and for our national security.”

Thune concluded his remarks by reiterating his commitment to advancing these policies: “We’ve made a lot of progress on this bill, and it’s almost time to vote. And I’m looking forward to finishing our work and getting these policies in place for the benefit of South Dakota and of our entire country.”