H.R. 523

119th CONGRESS 1st Session

To amend the Internal Revenue Code of 1986 to permanently increase the standard deduction.

IN THE HOUSE OF REPRESENTATIVES · January 16, 2025 · Sponsor: Mr. Miller of Ohio · Committee: Committee on Ways and Means

SEC. 1. Short title

This Act may be cited as the Permanent Tax Cuts for American Families Act of 2025.

(a) In general
- of the Internal Revenue Code of 1986 is amended— Section 63(c)(2)
  - by striking in subparagraph (B) and inserting inserting8,000, and
  - by striking in subparagraph (C) and inserting inserting2,000.
(b) Inflation adjustment
- Section 63(c)(4) of such Code is amended to read as follows:
  - (4) Adjustments for inflation
    - (A) In general
      - Each dollar amount in paragraph (2)(B), (2)(C), or (5) or subsection (f) shall be increased by an amount equal to—
        
        (i) such dollar amount, multiplied by
        
        (ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting for in subparagraph (A)(ii) thereof—
        
        in the case of the dollar amounts contained in paragraph (2)(B) or (2)(C), ,
        
        in the case of the dollar amounts contained in paragraph (5)(A) or subsection (f), , and
        
        in the case of the dollar amount contained in paragraph (5)(B), .
    - (B) Rounding
      - If any increase under this clause is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50.
(c) Conforming amendment
- Section 63(c) of such Code is amended by striking paragraph (7).
(d) Effective date
- The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.