Saturday, April 28, 2018 | 2 a.m.
View more of the Sun's opinion section
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President Donald Trump and Rep. Kevin Brady, R-Texas, the House’s top tax writer, recently announced that Republicans were working on a second round of tax cuts. In the president’s words: “It’s going to be something very special.”
If that’s the case, Nevadans should rejoice. A key part of the plan is to extend the individual tax cuts that are set to expire in 2025, giving millions of Americans tax relief for the next decade and beyond. Nine out of 10 middle-class taxpayers are on track to receive tax relief this year, with an average savings of roughly $2,000. Why wouldn’t we let the gift keep on giving?
A second round of tax cuts would continue to help small businesses invest in growth opportunities and reward their hardworking employees. To date, more than 500 U.S. employers have announced pay raises, bonuses and other employee benefits since the Tax Cuts and Jobs Act passed, benefiting more than 4 million working Americans. Not only are workers seeing greater take-home pay, but job creators are providing additional relief such as higher salaries and 401(k) hikes. This compound effect has rejuvenated our economy.
Nevada is no exception. Ely’s Prospector Hotel & Gambling Hall recently gave its employees a $500 bonus and raised starting wages to $12 per hour. Construction ramped back up on the Fontainebleau in Las Vegas, which could result in 10,000 new jobs. HBM Technology Partners, Junk King Reno, Kalb Industries and countless others have announced renewed investment in their businesses and employees. Even Apple broke ground on a facility in Reno, exposing our state to more career opportunities.
Another round of tax cuts is sure to boost consumer spending. Last month, U.S. consumer confidence hit a 14-year high, in large part because lower taxes have yielded larger budgets. Even lower-income Americans have become more optimistic. According to The Wall Street Journal, “optimism improved markedly for households in the bottom third of income distribution.”
Mark Hamrick, senior economic analyst at Bankrate.com, claims the Tax Cuts and Jobs Act will increase consumer spending and bolster working Americans’ savings accounts. What’s not to love?
Our economy is driven byconsumers’ purchasing power. When they can spend more, our economy grows. And when they can save more, our nation’s financial health improves.
A lower tax burden only accelerates the process. Instead of funneling more money to Washington, D.C., and unelected bureaucrats, tax cuts put money into the hands of those who drive our economy.
Whether you are in a city like Las Vegas or in rural Nevada, tax cuts do not discriminate. Whether you’re a small-business owner or an employee, chances are the Republican tax law will help you — if it hasn’t already.
Let’s look forward to more tax cuts. Washington bureaucrats have enough of our money; we deserve to keep even more of it.
Peter Guzman is president of the Las Vegas Latin Chamber of Commerce.
