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Tax Relief: 6-Month Federal Income Tax Holiday for Certain Individuals.

This bill proposes a 6-month federal income tax holiday for certain individuals. This means eligible citizens could see their income tax reduced by half for the first tax year starting after December 31, 2021. However, the benefit will be phased out for those with higher incomes.
Key points
Individuals (not estates or trusts) may receive a 50% reduction in federal income tax for the first tax year beginning after December 31, 2021.
The benefit will be gradually reduced for taxpayers whose adjusted gross income exceeds specific thresholds: $83,550 for joint filers, $55,000 for heads of household, and $41,775 for others.
The aim is to lessen the tax burden on citizens, particularly those with lower and middle incomes.
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Additional Information
Print number: 117_HR_7538
Sponsor: Rep. Moore, Barry [R-AL-2]
Process start date: 2022-04-18