Senator John McCain, R-Ariz., said in a statement he will vote “Yes” on tax reform, making it much more likely President Donald Trump and Republicans clear the bar on the historic bill.
“After careful thought and consideration, I have decided to support the Senate tax reform bill,” Senator McCain said. “I believe this legislation, though far from perfect, would enhance American competitiveness. boost the economy, and provide long overdue tax relief for middle class families.”
The Arizona senator was one of a handful of Republicans uncertain about how they would vote. The president was in Missouri yesterday pushing his tax cut and tax reform agenda, a Red State represented by vulnerable incumbent Democratic Senator Claire McCaskill.
“If we do this, then America will win again like never before. A vote to cut taxes is a vote to put America first, again,” President Trump said. “It’s time to take care of our workers, to protect our communities and to rebuild our great country.”
Meanwhile, the markets are continuing to climb on overwhelmingly positive economic data and the potential for tax reform. The Dow Jones Industrial Average hit 24,000 for the first time ever, only days after the Bureau of Economic Analysis (BEA) earlier in the week revised gross domestic product (GDP) up to 3.3%.
If 4Q GDP forecasts hold, the first year under President Donald Trump will at least match the strongest year (2.7%) under Barack Obama. As People’s Pundit Daily (PPD) recently reported, it’s likely the first year under Mr. Trump will surpass the strongest year under Mr. Obama.
That’s also much more likely if Republicans send tax reform to President Trump to sign. It will be the first time the U.S. economy grew at 3% or higher for 3 consecutive quarters since 2004.
FULL STATEMENT BELOW
After careful thought and consideration, I have decided to support the Senate tax reform bill. I believe this legislation, though far from perfect, would enhance American competitiveness, boost the economy, and provide long overdue tax relief for middle class families.
For too long, hardworking people in Arizona and around the country have not seen a raise in their paychecks. This bill would directly benefit all Americans, allowing them to keep a higher percentage of what they earn. According to the non-partisan Joint Committee on Taxation, every income bracket would see tax relief under this bill. The child tax credit would be doubled to $2,000 per child and the tax code would be substantially simplified.
By lowering our high corporate tax rate to 20 percent, the bill would make our markets far more attractive for investment. It would also encourage American companies to repatriate assets now held overseas. Small businesses, which are vitally important to the dynamism of our economy, would also receive essential tax relief. Combined, these commonsense steps would promote economic growth and stimulate job creation here at home.
For months, I have called for a return to regular order, and I am pleased that this important bill was considered through the normal legislative processes, with several hearings and a thorough mark-up in the Senate Finance Committee during which more than 350 amendments were filed and 69 received a vote.
I have also argued that health care reform, which is important both to the well-being of our citizens and to the vitality of our economy, should proceed by regular order. This bill does not change that. As a matter of principle, I’ve always supported individual liberty and believe the federal government should not penalize Americans who cannot afford to purchase expensive health insurance. By repealing the individual mandate, this bill would eliminate an onerous tax that especially harms those from low-income brackets. In my home state of Arizona, 80 percent of people who currently pay the individual mandate penalty earn less than $50,000 per year.
Finally, I take seriously the concerns some of my Senate colleagues have raised about the impact of this bill on the deficit. However, it’s clear this bill’s net effect on our economy would be positive. This is not a perfect bill, but it is one that would deliver much-needed reform to our tax code, grow the economy, and help Americans keep more of their hard-earned money.