LEFT OF RIGHT

Left of Right! 🌟 Your hub for breaking down U.S. political issues into fair, non-partisan summaries. Explore key bills, and
arguments from both sides

[LEFT OF RIGHT @LeftofRights]

@RepLuna Actually OUT OF DEBT. That is when we can afford to introduce tax cuts, subsidies, and pay raises. We can't keep spending money we do not have!

[LEFT OF RIGHT @LeftofRights]

@RepLuna AND, including the expexted TRUMP growth ads another 3.6 Trillion to the American Debt. Good things are in the bill although, right now we do not have money to spend. EVERYONE to bear a little more weight. The faster we can get into the black (and not just paying down debt but...

[LEFT OF RIGHT @LeftofRights]

Section 110019 – Extension of Enhanced Depreciation for Certain Property

Current Law:

Enhanced depreciation—also known as bonus depreciation—allows businesses to immediately deduct a large portion of the cost of qualifying property (like equipment, machinery, and certain improvements) in the year it is placed in service.
Under the Tax Cuts and Jobs Act of 2017:

Businesses could deduct 100% of the cost of eligible property placed in service between September 27, 2017, and December 31, 2022.

The bonus depreciation rate is currently phasing down:

80% in 2023
60% in 2024
40% in 2025
20% in 2026
0% starting in 2027

Proposed Change:
This provision:

Permanently sets bonus depreciation at 60% for qualified property placed in service after December 31, 2025.

Eliminates the scheduled phase-down to 40%, 20%, and 0%.

Applies the 60% rate to:

--> Qualified property with a recovery period of 20 years or less
-->Certain computer software
-->Qualified improvement property (e.g., interior --improvements to nonresidential buildings)
-->Some listed property used for business

Impact on the American People:

Promotes Business Investment: Encourages continued capital investment in U.S. operations by allowing faster recovery of costs.

Boosts Productivity: Helps small and mid-sized businesses modernize equipment and facilities.
Reduces Tax Complexity: Replacing a multi-year phase-down schedule with a permanent 60% rate offers long-term predictability for planning and financing.

Fiscal Balance: Maintains accelerated depreciation benefits while moderating their cost compared to full expensing.

Implementation Timeline:

Applies to property placed in service on or after January 1, 2026

Expiration:

This provision is permanent

[LEFT OF RIGHT @LeftofRights]

https://t.co/UQZC70Q3Rf

[LEFT OF RIGHT @LeftofRights]

Section 110018 – Extension of Dependent Care Assistance Program Exclusion

Current Law:

Under current tax law, employers can offer Dependent Care Assistance Programs (DCAPs), which allow employees to exclude from taxable income up to $5,000 per year ($2,500 if married filing separately) in employer-provided dependent care benefits. These benefits can be used for:

Childcare expenses for dependents under age 13

Care for a disabled spouse or dependent

After-school programs or day camps (not overnight camps)

The Tax Cuts and Jobs Act of 2017 temporarily preserved this exclusion, which is set to expire after December 31, 2025. Without action, employees would have to include these benefits as taxable wages beginning in 2026.

Proposed Change:
This section:

Permanently extends the $5,000 exclusion for employer-provided dependent care benefits under a qualified DCAP.

Impact on the American People:

Supports Working Families: Reduces the after-tax cost of childcare, making it easier for parents—especially mothers—to remain in or return to the workforce.

Increases Take-Home Pay: Retaining the exclusion ensures that up to $5,000 in dependent care support remains untaxed.

Employer Flexibility: Encourages businesses to offer family-supportive benefits without incurring payroll tax penalties.

Implementation Timeline:

Effective for tax years beginning on or after January 1, 2026

Expiration:

This provision is permanent

[LEFT OF RIGHT @LeftofRights]

Bold Take: Instead of just mandating 80 hours of work in a month time frame for those to receive Medicaid, what if you say 80 hours of w2 work OR 80 hrs of community service designated by state level officials. This way those that can't afford the medical benefits because maybe its hard for them to get a traditional w2, can now provide value to the American tax payer by donating time for benefits.