GOP rep unveils 'Crumbs Act' to make bonuses tax-free, in swipe at Pelosi
A Republican lawmaker is set to unveil legislation that would make most bonuses given out as a result of President Trump's tax reform plan tax-free -- and took a jab at House Minority Leader Nancy Pelosi with the bill's name.
Rep. Todd Rokita, R-Ind., has dubbed his bill the "Creating Relief and Useful Middle-Class Benefits and Savings" -- or "CRUMBS" Act. Pelosi, D-Calif., famously referred to the bonuses as "crumbs" in criticizing the tax plan last month.
"Americans are receiving thousands of dollars in bonuses and more money in their paychecks thanks to President Trump's tax reform, but out-of-touch Democratic leaders believe they only amount to crumbs," Rokita said in a statement. "The CRUMBS Act will let Americans keep more of the money they receive as a result of President Trump's tax reform, and allow them, not the government, to choose how best to spend their bonuses
Rokita's bill would make bonuses received by workers in 2018 tax-free up to $2,500. Since tax reform was signed into law this past December, multiple companies have given out bonuses and pay raises in anticipation of increased tax savings.
According to a tally by Americans for Tax Reform, 346 companies have given workers bonuses or raises or increased contributions to employees' 401(k). Those companies include AT&T, which gave $1,000 bonuses to 200,000 employees; automaker Fiat Chrysler, which gave at least 60,000 workers bonuses worth up to $2,000; and moving company U-Haul, where more than 28,000 full and part-time employees received bonuses ranging from $500 to $1,200.
A Republican lawmaker is set to unveil legislation that would make most bonuses given out as a result of President Trump's tax reform plan tax-free -- and took a jab at House Minority Leader Nancy Pelosi with the bill's name.
Rep. Todd Rokita, R-Ind., has dubbed his bill the "Creating Relief and Useful Middle-Class Benefits and Savings" -- or "CRUMBS" Act. Pelosi, D-Calif., famously referred to the bonuses as "crumbs" in criticizing the tax plan last month.
"Americans are receiving thousands of dollars in bonuses and more money in their paychecks thanks to President Trump's tax reform, but out-of-touch Democratic leaders believe they only amount to crumbs," Rokita said in a statement. "The CRUMBS Act will let Americans keep more of the money they receive as a result of President Trump's tax reform, and allow them, not the government, to choose how best to spend their bonuses
Rokita's bill would make bonuses received by workers in 2018 tax-free up to $2,500. Since tax reform was signed into law this past December, multiple companies have given out bonuses and pay raises in anticipation of increased tax savings.
According to a tally by Americans for Tax Reform, 346 companies have given workers bonuses or raises or increased contributions to employees' 401(k). Those companies include AT&T, which gave $1,000 bonuses to 200,000 employees; automaker Fiat Chrysler, which gave at least 60,000 workers bonuses worth up to $2,000; and moving company U-Haul, where more than 28,000 full and part-time employees received bonuses ranging from $500 to $1,200.
