Sens. Cruz, Toomey, Rep. Arrington Introduce Measure to Accelerate Economic Recovery, Create More Jobs

WASHINGTON, D.C. - U.S. Sens. Ted Cruz (R-Texas), Pat Toomey (R-Pa.), and U.S. Rep. Jodey Arrington (R-Texas) today introduced a bill to help ensure America's economic recovery continues, wages keep rising, and employers keep hiring. The Accelerate Long-Term Investment Growth Now (ALIGN) Act makes permanent the full and immediate expensing provision of the 2017 Tax Cuts and Jobs Act. Currently, this provision is set to begin winding down at the end of 2022.

Cosponsors of the ALIGN Act include Sens. John Barrasso (R-Wyo.), Roy Blunt (R-Mo.), Mike Braun (R-Ind.), Kevin Cramer (R-N.D.), James Lankford (R-Okla.), Rob Portman (R-Ohio), Jim Risch (R-Idaho), Marco Rubio (R-Florida), Tim Scott (R-S.C.), John Thune (R-S.D.), Thom Tillis (R-N.C.), and Todd Young (R-Ind.).

Upon introduction, Sen. Cruz said:

"As we rebuild from the devastation of the COVID-19 virus and the economic hardship from extended shutdowns, hardworking Americans and small businesses need the continued benefit of immediate expensing for their crucial business needs. This legislation makes permanent the expensing reform in the Tax Cuts and Jobs Act of 2017, giving businesses immediate tax deductions and empowering them to invest and create more, higher paying jobs. I urge my colleagues to swiftly pass this bill to boost our economic recovery and allow growing businesses to continue to thrive."

Sen. Toomey said:

"The end of the COVID-19 pandemic is in sight, and Congress should enact policies that enable workers and job creators to propel our economic recovery. Allowing businesses to immediately write off purchases of new equipment was one of the most pro-growth features of the 2017 tax reform law. Capital investment grew and workers became more productive, resulting in more jobs and higher wages. Our legislation will make full expensing permanent, providing manufacturers and businesses of all sizes with more certainty regarding investment planning and growth."

Rep. Arrington added:

"There's no bigger incentive in the tax code for job creation and economic expansion than allowing businesses, both large and small, to fully and immediately deduct the cost of new investments, equipment, and machinery. Full expensing was a critical component to the Tax Cuts and Jobs Act, and the economic boom that ensued prior to the pandemic. Unfortunately, this powerful provision will soon phase out, creating uncertainty for businesses as they look to rebound from the economic fallout and prepare for future expansion and innovation. The ALIGN Act will lower the cost of capital and simplify the tax code as businesses look to make vital investments, bring workers back, onshore manufacturing capabilities, and ramp up production. This legislation will lead to stronger growth, more jobs, increased productivity, and higher wages for working families."

Read the full text of the bill here.

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