Dear friend,

Under the Biden-Harris Administration, failed economic policies have crippled a once booming economy. Just over 66% of Americans feel they are living “paycheck to paycheck,” and over 48% consider themselves “broke.” The average American is 4.2% poorer today than four years ago. That is why I’ve introduced legislation to keep more money in your pocket to help pay the bills.

H.R. 9465, Seniors in the Workforce Tax Relief Act, establishes a temporary five-year deduction for seniors in the amount of $25,000 annually. The allowable deduction amount phases out between $100,000 and $125,000. The phaseout amounts are doubled in the case of a joint return or when there is a joint return with respect to which both filers are over age 65.

H.R. 7870, Tip Tax Termination Act, provides that certain tips will not be subject to income or employment taxes. The tax exemption is limited $20,000. The Act will protect the child tax credit and the earned income credit and preserves the Social Security Trust Fund.

H.R. 8194, Second Job Tax Relief Act of 2024, allows for hardworking Americans to keep more of the money they earn from a second job by excluding some of that compensation from income and payroll taxes. There is a phase-out of this exclusion for taxpayers with modified adjusted gross incomes above $100,000 and/or $150,000 for married couples filing jointly. The Social Security, Disability Insurance, and Medicare trust funds are held harmless from the revenue impact of this new exclusion.

H.R. 9799, Overtime Pay Relief Act, permits a deduction of up to 20 percent of overtime pay earned for the taxable year. There are limitations to the deduction. A deduction will not be permissible: (1) in the case of a married couple filing jointly, $200,000, (2) in the case of a head of household, $150,000, or (3) in the case of any other individual, $100,000.

H.R. 9800, Working Class Bonus Tax Relief Act, provides a deduction for certain amounts of income received in the form of a bonus. A taxpayer will be able to deduct up to 15 percent of a non-wage bonus received in a taxable year. No deductions will be permitted (1) in the case of a married couple filing jointly, $200,000, (2) in the case of a head of household, $150,000, or (3) in the case of any other individual, $100,000.

H.R. 9431, The Hostage Private Debt Tax Freedom Act would apply to taxpayers who are wrongfully detained abroad, as defined by the Act. The Act allows an exclusion of up to $5000.00 for discharged debt. Taxpayers may file for the exclusion within 2 years from the date they return to the United States.

It is an honor to represent the people of Nebraska’s Second District. If you need help with a federal agency or other assistance, please reach out here or call my office at 402-938-0300.