The Inflation Reduction Act

The Inflation Reduction Act puts People over Politics to save the average American household hundreds in health costs and energy bills and makes the largest investment in tackling climate change that our nation has ever seen, while also reducing the deficit and creating millions of good-paying jobs.

The Inflation Reduction Act is a historic win for American families and our planet.

• Americans will see lower health costs: No one will pay more than 8.5% of their income on their health premiums through 2025, saving on average $800/year.Prescription drug prices will finally be slashed, and for Medicare Part D’s 50 million enrollees, costs will be capped at $2,000.

The Inflation Reduction Act makes the largest federal investments in clean energy, energy efficiency, and clean manufacturing in our nation’s history.

• Putting us within reach of President Biden’s commitment on the world stage to limit warming to 1.5 degrees and prevent the worst impacts of climate change
• Generating 9 million good-paying jobs and preventing thousands of deaths and asthma attacks

Americans overwhelmingly agree that corporations have paid too little for too long, and this legislation will take a bite out of our deficit by having some of the most profitable 150 corporations pay their fair share.

Only in Washington would Republicans fight against cutting costs for low- and middle-income workers and their families in favor of price-gouging drug companies and tax-skirting corporations.

After Republicans gutted staffing and starved funding at IRS, the agency has had to make do with limited resources, and Americans have paid the price. With this multi-year investment, Democrats will usher in a new era of better service and tax fairness.

• Republicans are using this desperately needed funding to fear-monger over a problem of their own making. The Inflation Reduction Act will finally allow the agency to hire the staff needed to handle the complex returns of the 1%, and recoup an estimated $160 billion in unpaid taxes.
• Their Republican-appointed Commissioner has already assured the public that audit rates won’t rise for those earning less than $400,000.

Not one Republican in the Senate voted for this, blocking efforts to bring down insulin costs and turning their backs on America’s working families and seniors. It’s clear they only want to protect the pocketbooks of the richest Americans and profitable corporations.

A bipartisan group of former Treasury Secretaries, leading economists, and a wide range of stakeholders are all in agreement: the Inflation Reduction Act meets the moment,  and will put our country on a healthier, greener, and more prosperous path.

The Committee on Ways and Means