Weekly Column: Working For Idahoans As Chairman Of The Senate Finance Committee--Tax Policy Priorities

I am honored to serve as the Chairman of the Senate Finance Committee in the 119th Congress and to use this position to advance Idaho’s interests in federal legislation under the Committee’s jurisdiction.  The Finance Committee oversees legislation related to federal tax policy; federal social safety net and health care programs, including Social Security, Medicare and Medicaid; and implementation of foreign trade agreements.  The following are some pro-growth tax policy priorities I am working to advance in the Committee.

As Americans continue to struggle with lingering inflation and high prices, I am committed to preserving and extending pro-growth tax policy.  With many of the Tax Cuts and Jobs Act’s (TCJA) provisions set to expire at the end of 2025, Congressional Republicans are focused on preventing an over-$4 trillion tax hike on American workers and businesses.  

The TCJA led to one of the strongest economies in generations: unemployment dropped to historic lows and economic gains flowed to all demographic groups and income levels.  Middle-income Americans thrived as median household income reached an all-time high and small businesses and entrepreneurs received crucial tax relief.  The TCJA allowed taxpayers of all incomes to keep more of their hard-earned money and lower-and-middle income taxpayers saw the greatest percentage reduction in tax rates.  Nearly every Idahoan experienced some form of tax relief.

The TCJA’s competitive corporate rate, paired with other pro-growth tax policies and international tax reforms, helped to bring foreign earnings back to America and increased domestic investment, particularly in research and development.  Since the TCJA’s passage, not a single U.S. company has moved its headquarters abroad for tax purposes, creating more opportunities for American workers.

If TCJA expires:

• Idahoans, already experiencing inflation’s stealth tax, will see their taxes go up by an average $2,554 in 2026, according to the Tax Foundation.  This will cost the equivalent of over two months of groceries, according to estimates. 

• A report from the National Association of Manufacturers (NAM) also shows TCJA expiration could cost businesses in Idaho 33,000 jobs, $3 billion in wages and $6 billion in gross domestic product. 

• The tax law’s expiration would also halt the benefits of Opportunity Zones, which attracted more than $130 million in investment in low-income rural and urban areas in Idaho within two years.  

As Finance Committee Chairman, I’m committed to preserving and building upon these important tax policies to maintain a competitive environment for U.S. businesses, ensure Americans have access to high-paying jobs and allow Idahoans and taxpayers across the country to keep more of their hard-earned money. 

Beyond preventing an over-$4 trillion tax hike, it is time to give businesses and families certainty by acting to make the TCJA’s tax cuts permanent.  In stark contrast to the expected economic hits if tax relief is not extended, estimates indicate a permanent extension of the TCJA would create thousands of jobs in Idaho and significantly boost our state’s economy.  We should also consider new tax policies to provide further relief to the American families, workers and small businesses who continue to grapple with the unaffordable cost of living.

It is also time to act on bipartisan legislation to relieve double taxation on cross-border investment between the U.S. and Taiwan.  Taiwan is Idaho’s second-largest trading partner; Idaho sold $511 million of goods to Taiwan in 2022 alone, according to the Idaho Department of Commerce.  We must strengthen our economic relationship with Taiwan and continue to encourage the export of Idaho products. 

We have immense opportunities ahead as the Finance Committee works to pass pro-growth policy that will enhance opportunities for Idaho families and businesses.  I look forward to also sharing more on my international trade and health care priorities under the jurisdiction of the Committee in columns in the weeks ahead.  

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