WASHINGTON - Today, House lawmakers approved the conference report for legislation encompassing all the provisions to create jobs and economic growth outlined by President Bush earlier this year. H.R. 2, the Jobs and Growth Tax Relief Reconciliation Act of 2003, now awaits passage in the Senate before heading to the White House where President Bush will sign it into law.

Bill Thomas (R-CA)
Chairman of the Ways and Means Committee
"When we talk about something like reducing peoples’ taxes, we have to look to the larger collective needs of this country. The bottom line is this bill puts money back in the hands of Americans immediately."

Under the plan passed today:

• For 2003 through 2005, increases the amount that small businesses can expense (immediately deduct) from $25,000 to $100,000. Increases definition of small business from $200,000 of capital purchases to $400,000. Both amounts are indexed for inflation in 2004 and 2005.
   
• Bonus depreciation. Increases bonus depreciation from 30 percent to 50 percent and extends through December 31, 2004.
   
• A typical family with one child will receive a check for $400, while a typical family with two children will receive a check for $800 in 2003.
   
• 26 million taxpayers with income from dividends and capital gains will enjoy an $800 tax cut, on average.
   
• 23 million small business owners will see tax relief well over $2,000.
   
• Three million low-income individuals and families will have their income tax liability completely eliminated.
   
• 26 million taxpayers with income from dividends and capital gains will enjoy an $800 tax cut, on average.

"We want to help Americans by letting them keep more of their hard-earned money and by creating jobs," said Thomas. "This bill will create over one million jobs in the next two years to get Americans back to work."