The U.S. House of Representatives approved a tax reform plan Thursday that would cut the corporate tax rate, initially reduce tax rates for most individuals and add some $1.4 trillion to the national deficit over 10 years, Bloomberg reports. The Senate continues work on its own tax plan.
The prospect of a tax overhaul elicited varied responses from different constituencies in Missouri this week.
Kansas City Mayor Sly James expressed concern about provisions that could repeal a key financing tool for the newly-approved $1 billion single-terminal project at Kansas City International Airport. James on Thursday issued a statement urging Congress to reconsider provisions in tax bills both in the House and Senate that he said would hurt the city’s ability to finance infrastructure projects.
In southwest Missouri, Matt Morrow, CEO and president of the Springfield Area Chamber of Commerce, said he approved of the House bill, which he said could lead to more jobs and higher after-tax income.
The reform plan has raised worry among graduate students at the University of Missouri. A new provision in the bill would reclassify student tuition waivers as taxable income. According to Joseph Moore, an outreach officer for the Coalition of Graduate Workers, the bill could raise taxes for graduate students by as much as 350 percent.
Missouri’s senators are divided along party lines on their chamber’s version of the bill. Democratic Sen. Claire McCaskill tore into the GOP Senate tax plan during a conference call with reporters after sparring with a Republican colleague in a committee hearing Wednesday.
Republican Sen. Roy Blunt says the provision is vital to getting the U.S. on equal footing with the rest of the world.