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H.R. 3936, Tax Cuts for Working Families Act (CBO Report for Congress)

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Congress 118th
Date Requested June 13, 2023
Requested By House Committee on Ways and Means on
Date Sent June 30, 2023
Description:
H.R. 3936 would amend portions of the Internal Revenue Code of 1986 that concern the standard deduction, which the bill would rename the guaranteed deduction. The bill also would establish a bonus guaranteed deduction for tax years 2024 and 2025. In tax year 2024, the guaranteed deduction would be increased by $2,000 for single filers, $3,000 for head-of-household filers, and $4,000 for joint filers. For tax year 2025, those amounts would be adjusted for inflation. The bonus guaranteed deduction would decrease by 5 percent of each additional dollar of modified adjusted gross income (a measure of income that adds back certain tax exclusions) above a certain threshold. The threshold would be $200,000 for single filers, $300,000 for head-of-household filers, and $400,000 for joint filers.

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