U.S. SENATE – U.S. Senator Steve Daines helped introduce the “Middle-Class Savings and Investment Act,” which will help Montana families invest towards their future amid this period of historic inflation and economic hardship. The bill would provide tax relief to lower and middle-income families and retirees as inflation outpaces the growth of their savings.
“From prices at the grocery store to the gas pump, President Biden’s economy is bankrupting Montana families and making it hard to plan for the future, or even tomorrow. This bill will help give hardworking, middle class Montana families a leg up by expanding tax free investment and retirement savings and will have the added benefit of helping combat inflation,” Daines said.
Senator Daines announced the Middle Class Savings and Investment Act with U.S. Senators Bill Cassidy, M.D. (R-LA), Chuck Grassley (R-IA), John Barrasso (R-WY), and James Lankford (R-OK).
The Middle-Class Savings and Investment Act would target relief for Americans by:
· Excluding a reasonable amount of interest income from being subject to tax ($600 for married couples, $300 for individuals);
· More than doubling the size of the zero percent (lowest) tax bracket for long-term capital gains and qualified dividends, and indexing the income thresholds to inflation;
· Eliminating the marriage penalty that exists in the current Net Investment Tax—which subjects some income to an additional 3.8 percent tax—and indexing its income threshold to inflation;
· Increasing the maximum ‘savers credit’ an individual may receive for contributing to qualified retirement accounts and expanding the availability of this credit to more taxpayers.
Click here for a full one-pager on the bill.