The Tax Law That Helped Millions of Floridians — And Why It Should Be Made Permanent

The Tax Cuts and Jobs Act (TCJA), passed in December 2017, represents one of the most significant updates to the U.S. tax code in decades. As a supporter of this legislation, I believe it has provided substantial benefits to the U.S. economy and its citizens, including the Hispanic community in Florida.

One of the main objectives of the TCJA was to stimulate economic growth, and it has been successful. This tax reduction has encouraged businesses to invest in new projects, expand operations, and increase hiring. As a result, there has been a thriving job market and a decrease in unemployment, particularly benefiting the Hispanic community in Florida with greater job opportunities. For example, if the law expires, it is estimated that 61,538 jobs created due to the TCJA will be lost. These tax data, obtained from TaxFoundation.org, underscore the importance of renewing the law.

The TCJA has provided essential relief for individual taxpayers by doubling the standard deduction, thereby protecting more income from taxation. As a result, millions of Americans, including Hispanic families in Florida, are experiencing higher take-home pay. This additional income allows families to save, spend, and invest more in their future. For instance, with current inflation, families in Florida have been losing approximately $1,224 per month since 2021, amounting to a total loss of $31,243. If the law expires, the average Florida family’s taxes will increase by a total of $3,505, of which $1,590 will come from increases in income tax rates (tax data obtained from TaxFoundation.org). This highlights the importance of our lawmakers permanently renewing this law so that our families are not negatively affected. Maintaining the current tax benefits is crucial to helping families navigate economic challenges and ensuring their financial stability.

Small businesses are the backbone of the U.S. economy, and the TCJA has significantly helped them. The law introduced a 20% deduction for qualified business income from pass-through entities such as sole proprietorships, partnerships, and S corporations. This deduction has allowed Hispanic-owned small businesses in Florida to reinvest in their operations, expand their workforce, and strengthen local economies. Hispanics contribute $347.79 billion to Florida’s economic growth, and 3,200,000 Hispanics are part of the state’s workforce.

By allowing businesses to fully deduct their capital investments immediately, the TCJA has incentivized investment. Companies can now deduct the full cost of certain capital expenditures upfront instead of spreading the deductions over several years. This change has driven investment in new equipment, technology, and infrastructure, fostering greater economic growth.

Despite criticisms directed at the TCJA, the data suggest that it is achieving its goals of driving economic growth, job creation, and improving the prosperity of American families and businesses. The Hispanic community in Florida has notably benefited from the law’s provisions, gaining increased economic opportunities and financial security. Looking ahead, it is crucial to build on the successes of the TCJA and continue supporting policies that promote economic freedom and opportunities for all.

Renewing the Tax Cuts and Jobs Act is essential to maintaining the economic momentum achieved since its implementation. Permanently renewing this law will ensure that businesses continue to benefit from competitive tax rates, encouraging ongoing investment in projects and job creation. Furthermore, extending the TCJA’s provisions will provide stability and predictability for small businesses, enabling them to plan long-term and continue contributing to local economic growth. For families, maintaining the current tax benefits, such as the doubled standard deduction, is essential to ensuring they continue to have more disposable income to save, spend, and invest in their future. In summary, renewing the TCJA is fundamental to solidifying the economic progress achieved and continuing to promote prosperity for all Americans, including the Hispanic community.