Republican tax plan is ‘giveaway to wealthiest paid for by students and working families’

The U.S. House of Representatives on Thursday approved a multi-trillion dollar tax plan that funds tax breaks for the wealthiest and corporations on the backs of students and working families. The bill, championed by Republican leaders, eliminates a popular tax deduction that allows educators to deduct up to $250 of the money they spend on their classrooms and students. The bill also expands a tax loophole for the wealthiest to pay for private school expenses while cutting tax deductions for the middle class. The elimination of most of the state and local tax deductions would blow a hole in state and local revenue to support public education and risk funding for nearly 250,000 education jobs, including 4,680 in Wisconsin.

“Wisconsin’s students lose big with today’s vote,” said WEAC President Ron Martin, an eighth grade teacher. “It’s wholely irresponsible, including a provision eliminating tax deductions for teachers who buy classroom supplies, while allowing corporations to keep their deductions. This is highly hypocritical especially since some Republicans voted to make this deduction permanent in 2015. Now they want to eliminate it.”

The tax plan would cut up to $4.6 million from Wisconsin schools over 10 years.

“Hypocrisy is at the heart of the tax plan approved today by the U.S. House of Representatives,” said NEA President Lily Eskelsen García. “It reveals the ill-conceived and misguided priorities of Republican leaders in Washington. Repeatedly, their plan takes from working families to pay for massive tax giveaways to corporations and the wealthy.”

The House tax bill eliminates the state and local deduction for people but keeps it for corporations. It eliminates the educator tax deduction for school supplies but allows corporations to continue to claim deductions for supplies they purchase. It eliminates the student loan deduction but opens a new loophole for wealthy families to sock away money to pay for private school tuition.

“It is outrageous to expand education tax loopholes for wealthy families to stash away money for private school,” Martin said. “Make no mistake: this poorly veiled and risky voucher program will only benefit those who can already afford private school tuition at the expense of our students and neighborhood public schools – where 9 out of 10 children attend. This is not normal. As with their health care debacle this year, Republican leaders are rushing to pass a massive, partisan bill that impacts every American household, critical public services like education, and our economy without giving it the scrutiny and deliberation it deserves. The American people demand Congress reject this reckless plan.”

SaveSaveSaveSave