A Republican plan to change what Americans pay in taxes moved one step closer to becoming law Tuesday afternoon when the bill passed the U.S. House of Representatives.
The 227-203 vote, which broke largely along party lines, sends the bill to the Senate where Majority Leader Mitch McConnell plans to hold a vote Tuesday evening.
That means President Donald Trump could sign the bill into law as early as Wednesday morning.
The bill lowers the tax rates paid by individuals and corporations while increasing the standard deduction and child tax credit. However, the bill also reduces other credits and deductions like the ability to write off the interest on your home equity loan and your state and local taxes.
To learn more about how tax reform could affect your tax bill, click here.
Colorado’s U.S. representatives voted along party lines with the four Republicans supporting the bill and the three Democrats opposing it.
Rep. Doug Lamborn (R-Colorado Springs) pointed to parts of the bill he thinks will directly benefit Coloradans like the Craft Beverage Modernization and Tax Reform Act.
That part of the tax reform package halves the taxes brewers pay on their first 60,000 barrels of beer so long as they brew less than two million barrels annually.
“Colorado is home to a $3 billion craft beer industry,” Lamborn said in a statement. “Hundreds of breweries bring tourism to our region and provide thousands of jobs. Decreased taxes for these producers will grow the industry’s job market and provide an economic boost for Colorado.”
Lamborn also said he was proud of his work to keep the adoption tax credit and graduate school tuition waivers in the bill. Different versions of the Republican bill had removed those deductions.
Colorado’s Democratic representatives painted a different picture of the bill.
“The Republican tax scheme grows the national debt by over $1.5 trillion, providing handouts to corporations and special interests while hitting middle class families with tax hikes,” Rep. Jared Polis (D-Boulder) said in a statement. “It serves only to weaken the nation’s economy at a time when many are still trying to get ahead after the Great Recession. We can’t afford to bankrupt the nation, and Coloradans cannot afford another recession."
And Rep. Ed Perlmutter (D-Jefferson County) said he’s worried growing the deficit is the first step towards cutting entitlement programs like Medicare and Medicaid.
“This bill may save a few hundred dollars per person on their tax bill, but it will put more than $7,100 on the credit card for every man, woman and child in the U.S. which will lead to deep spending cuts on important programs like Medicare and Medicaid and jeopardize investments in infrastructure, education, healthcare, science and much more,” Perlmutter said.