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Rep. Houlahan Votes in Favor of Bipartisan Tax Relief Act, Eyeing Major Wins for Pennsylvania Families and Businesses

- by Maryann Pugh
Representative Chrissy HoulahanSubmitted Image

WASHINGTON, D.C. —Pennsylvania’s Representative Chrissy Houlahan (D-PA) cast her vote this week in support of the bipartisan Tax Relief for American Families and Workers Act. The legislation, which passed 357-70 in the House, promises significant benefits to hardworking families and businesses across Pennsylvania and the nation. A key component of the bill, the expanded Child Tax Credit, is set to aid 26,000 children in Chester and Berks Counties.

Houlahan spoke out following the vote, lauding the potential of bipartisan collaboration in Washington. “This bipartisan tax package represents the progress that’s possible in Washington when we knock it off with partisan politics and find compromise,” she said. “This bill will directly help 26,000 children and their families in my community through the expanded Child Tax Credit – that’s a huge win for hardworking Pennsylvanians. This package is pro-business, pro-family, and should be immediately taken up by the Senate.”

The bill addresses six primary areas of concern, all of which carry significant implications for Pennsylvania residents:

  1. Child Tax Credit: The legislation proposes increasing the overall amount refundable each year beginning in 2023 and adjusting the maximum $2,000 Child Tax Credit for inflation for tax years 2024 and 2025.
  2. Business Tax Provisions: The Act offers temporary restoration of various tax breaks through 2025 to stimulate American innovation and competitiveness.
  3. Low-Income Housing Credit: There’s a proposed increase by 12.5% in the amounts that states may receive each year for Low-Income Housing Tax Credits, supporting efforts to build affordable rental housing.
  4. Disaster Tax Relief: Special rules will apply for individuals impacted by natural disasters, including Pennsylvanians affected by last year’s East Palestine train derailment.
  5. Taiwan Tax Provisions: The bill provides treaty-like tax benefits to reduce double taxation for Taiwanese and American businesses, encouraging U.S. companies to expand their international economic impact.
  6. Offsetting COVID-era Tax Credits: The legislation aims to prevent new claims for the COVID-era Employee Retention Tax Credit (ERTC) and increases penalties for fraudulent ERTC program claims.
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By offsetting costs through ending COVID-era tax credits and increasing penalties for fraudulent business practices, Houlahan aims to underscore her commitment to fiscal responsibility. As the chair of the New Democrat Coalition’s Economic Growth and Fiscal Responsibility Task Force, she endorsed the bipartisan tax package.

The implications of this bill are far-reaching, touching on issues of family financial security, business competitiveness, affordable housing, disaster relief, international trade, and fraud prevention. As the legislation moves to the Senate for consideration, Pennsylvanians will be watching closely to see whether these potential benefits become reality.

VIDEO: Rep. Houlahan Talks Bipartisan Tax Package on C-SPAN

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