Bills · HR 7303
IN COMMITTEE· 119TH CONGRESS
House BillHR 7303Taxation
Middle Class Tax Cut Act
INTRO JAN 30· LAST ACTION JAN 30
READING
4MIN
COSPONSORS
0
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because it represents a substantial overhaul of the individual income tax system with far-reaching consequences for nearly all Americans. If it becomes law, many lower and middle-income families could face higher tax bills due to the elimination of the 10% and 12% tax brackets, despite the increased standard deduction potentially offsetting some of this for those who take it. Higher-income earners would also see a significant increase in their tax burden due to dramatically higher top rates.
The elimination of reduced tax rates for capital gains would fundamentally change how investments are taxed, potentially discouraging investment, saving, and entrepreneurship by making capital gains subject to ordinary income rates as high as 70%. This could significantly impact financial markets, retirement planning, and wealth accumulation. If the bill doesn't become law, the current tax structure, including lower initial tax brackets and preferential capital gains rates, would remain in effect, maintaining the status quo for taxpayer obligations and investment incentives.
KEY PROVISIONS
4AI-extractedPROVISION 01
Significantly increases the standard deduction for certain individual filers (e.g., to $75,000 for married filing separately and $50,000 for single filers/heads of household).
This provision would allow many taxpayers to exclude a much larger portion of their income from federal taxes if they choose the standard deduction.
PROVISION 02
Reforms the individual income tax rate schedule, introducing new, generally higher tax brackets that begin at 25% for most filers and go up to a top rate of 70%.
This would raise the tax burden for many taxpayers across all income levels, especially those currently in the 10% or 12% brackets, and significantly for high earners.
PROVISION 03
Eliminates the preferential tax rates for long-term capital gains, making them taxable as ordinary income.
This change would drastically increase the tax on profits from investments and asset sales, potentially impacting investment behavior and wealth accumulation.
PROVISION 04
Adjusts the tax brackets for estates and trusts, also increasing their tax rates up to 70%.
This would significantly increase the tax liability for estates and trusts, potentially impacting inheritances and trust administration.
SPONSORSHIP
1 + 0
D· Michigan
YRS IN OFFICE
3
BILLS LED
41
ACTION TIMELINE
2 EVENTSJAN 30
Introduced in House
JAN 30
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 7303
Congress119th
StatusIn Committee
IntroducedJan 30, 2026
Last actionJan 30, 2026
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED JAN 30, 2026
House BillHR 7303Taxation
Middle Class Tax Cut Act
INTRODUCED JAN 30, 2026· LAST ACTION JAN 30, 2026
PASSAGE CHANCES
—%
READING
4 min
COSPONSORS
0
COMPLEXITY
Moderate
