Senator Mark Kelly (D-AZ) has introduced legislation promising a massive tax cut for working-class Americans.
The Working Americans' Tax Cut Act ensures that childless single adults earning less than $46,000 a year will not pay federal income tax. For those whose yearly income is between $46,000 and $80,500, the bill phases out this cost-of-living exemption at 175% of the median cost of living for a single adult with no children, further cutting their tax rate.
For heads of households, the exemption is larger at 140% of the single exemption or $64,400, while married couples filing jointly receive a 200% exemption.
The bill includes a tiered surtax on millionaires: an additional 5 percent tax to the first dollar an individual makes over $1 million and the first dollar a married couple earns over $1.5 million annually; an additional 10 percent tax to the first dollar an individual makes over $2 million and a married couple makes over $3 million annually; and an additional 12 percent tax to the first dollar an individual makes over $5 million and a married couple makes over $7.5 million annually.
The legislation from Sen. Kelly and his cosponsors alleges that the Trump tax cuts introduced in the 'Big Beautiful Bill' (OBBBA) do not benefit the working class but instead benefit only the wealthy.
"Families across Arizona are working hard and doing everything right but still falling behind," said Sen. Kelly in a statement. "Instead of helping them get ahead, Trump gave more huge tax breaks to the wealthiest Americans while hiking up prices on everyone else." "Our plan is to put more money in the pockets of middle-class Americans —from nurses and teachers to firefighters and electricians —and restore the basic promise that in this country, hard work pays off," he concluded.
Earlier this week, Kelly introduced the Gas Prices Relief Act, which temporarily suspends the federal gas tax to stabilize oil prices amid the ongoing conflict with Iran.
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