Chip Roy was one of only three members of Congress to vote against giving tax relief to Gold Star families despite defending tax breaks to Wall Street bankers, pharmaceutical companies and corporations that ship American jobs overseas.

Roy Was One Of Only Three House Members To Vote Against Providing Tax Relief For Families Of Fallen Service Members, Or “Gold Star Families.” In May 2019, Roy voted against number of modifications related to individual contributions to and use of tax-favored retirement accounts. The bill would allow small businesses to offer ‘pooled’ retirement savings plans for their employees by combining with other unrelated businesses to offer plans with multiple employer providers. It would require each employer to register with the Labor Department to be designated as a multiple employer plan sponsor. The bill would increase certain tax credits for small businesses that establish retirement plans, including for plans including automatic enrollment. It would require employers to allow certain part-time employees to participate in defined contribution retirement plans and would make ‘difficulty of care’ payments for home health care workers eligible for investment in such retirement plans. It would increase from 70 and one-half to 72 the age at which individuals are required to take minimum distributions from their retirement accounts and would allow individuals to continue making contributions to a regular IRA after reaching the age of 70 and one-half. It would allow individuals to withdraw up to $5,000 from retirement savings accounts to help pay for expenses related to a birth or adoption, and allow such funds to be later repaid to their accounts without penalty. It would also modify qualification requirements for safe harbor provisions exempting employers from nondiscrimination tests related to employee participation in 401(k) plans. Among provisions related to employer-provided retirement plan administration, it would provide a safe harbor protecting employers from liability for losses due to an insurer’s inability to meet its financial obligations, if the employer takes certain steps to confirm the license and certification of the insurer. It would allow employers to treat qualified retirement plans adopted before the tax filing date for a taxable year as if they were in effect for the last day of that tax year. It would require pension plan administrators to include a ‘lifetime income disclosure’ at least once a year in a benefits statement, detailing a total benefits accrued by the beneficiary. It would also establish retirement plan insurance premiums under the Pension Benefit Guaranty Corporation, for charities and cooperative associations. Among other provisions, the bill would modify the Internal Revenue Code to allow section 529 education savings plans to be used to cover expenses associated with apprenticeship programs and student loans, including for the sibling of the primary beneficiary. It would increase penalties for failure to file federal tax returns, including for retirement savings plans, and would modify distribution rules for beneficiaries of retirement savings plans. As amended, the bill would make adjustments to taxes on unearned income for child survivors of a parent killed in military action, known as Gold Star families.” The motion passed 417-3. [H Res 1994, Vote #231, 5/23/19; CQ, 5/23/19]

Roy Voted Against Tax Relief For Families Of Fallen Service Members, Or “Gold Star Families.” “Last month, the freshman congressman from Hays County and staunch fiscal conservative voted against a bill to change a provision in the 2017 Republican tax bill that forced Gold Star families — relatives of deceased military personnel — to pay higher taxes when collecting survivor benefits.” [Austin American-Statesman, 6/15/19]

Bill Included A Tax Fix For Gold Star Families; Bill Was Blocked By Sen. Cruz In The Senate Because Democratic House Had Included In Larger Bipartisan Retirement Bill. “That's what happened this week when Congress tried to resolve a wrinkle in the Republican tax law that resulted in thousands of Gold Star families getting hit with unexpected tax bills this year. Lawmakers in both parties called for passing a fix before Memorial Day. Instead, they will have to wait until after their upcoming recess, thanks to House Democrats' decision to fold it into a larger retirement measure that drew opposition from Sen. . […] On Tuesday, the Senate approved the Gold Star Family Tax Relief Act by unanimous consent. The bill would treat survivor benefits as earned income, instead of as if it were an estate or trust. It would also be retroactive, so families who suffered this year could recoup the costs. Procedurally, because the House has to have first say on revenue- related legislation, the Senate's unanimous approval of the bill actually meant that if the House had sent over identical legislation introduced by Democratic Rep. of Virginia, it would have been considered passed. But the House didn't send over identical legislation. Instead, Democrats folded an expanded version of the fix into a larger bipartisan retirement bill. Including the tax relief provision for Gold Star families helped

smooth the retirement bill's path to passage in the House -- but it provoked Cruz into halting it over the college savings plan dispute.” [CNN, 5/24/19]

Roy Supported Trump’s Tax Plan, And Said That Early Proposals For Republican Tax Cuts Would “Launch The Economic Growth Necessary To Both Fuel Jobs And Balance Our Budget.” “The Public Policy Foundation offers the following statements on proposed tax reforms as announced by President this afternoon. ‘The key to a healthy economy is growth fueled by American workers freed from government constraint,’ said Chip Roy, director of the Center for the Tenth Amendment Action at TPPF. ‘The draft tax plan has many of the core elements necessary to truly transform our complicated tax code and launch the economic growth necessary both to fuel jobs and to balance our budget. We look forward to working with the Texas delegation and the administration to move forward and encourage swift but deliberate consideration in the U.S. House and Senate.’” [Texas Public Policy Foundation Press Release, Chip Roy, 9/27/17]

Roy: “We Look Forward To Working With The Texas Delegation And The Administration To Move Tax Reform Forward.” “The Texas Public Policy Foundation offers the following statements on proposed tax reforms as announced by President Donald Trump this afternoon. ‘The key to a healthy economy is growth fueled by American workers freed from government constraint,’ said Chip Roy, director of the Center for the Tenth Amendment Action at TPPF. ‘The draft tax plan has many of the core elements necessary to truly transform our complicated tax code and launch the economic growth necessary both to fuel jobs and to balance our budget. We look forward to working with the Texas delegation and the administration to move tax reform forward and encourage swift but deliberate consideration in the U.S. House and Senate.’” [Texas Public Policy Foundation Press Release, Chip Roy, 9/27/17]

Columnist: Roy Defended The Tax Cuts And Jobs Act. “Roy defends last year's $1.5 trillion GOP tax cut, which slashed corporate tax rates. Roy's reasoning is that no budgetary problems can be solved without strong economic growth and he sees the tax cut as a stimulus to getting there. In other words, a short-term cost that comes with long- term benefit.” [ Express News, Gilbert Garcia Op-Ed, 10/3/18]

Washington Post: Final Tax Bill Included A “Significant Tax Break For The Very Wealthy” And “A Massive Tax Cut For Corporations.” “A new tax cut for the rich: The final plan lowers the top tax rate for top earners. Under current law, the highest rate is 39.6 percent for married couples earning over $470,700. The GOP bill would drop that to 37 percent and raise the threshold at which that top rate kicks in, to $500,000 for individuals and $600,000 for married couples. This amounts to a significant tax break for the very wealthy, a departure from repeated claims by Trump and his top officials that the bill would not benefit the rich. […] A massive tax cut for corporations “A massive tax cut for corporations: Starting on Jan. 1, 2018, big businesses’ tax rate would fall from 35 percent to just 21 percent, the largest one-time rate cut in U.S. history for the nation’s largest companies.” [Washington Post, 12/15/17]

Politifact: GOP Tax Bill Would Raise Taxes For The Middle Class After Individual Tax Cut Provisions Expired In 2025. “Gillibrand said the Republican ‘tax [plan] raises middle-class taxes.’ That’s not true during the first years of the new tax provisions. If not for the sunset for the tax changes for individuals, we likely would have rated Gillibrand’s statement False or perhaps Mostly False. Middle-income taxpayers will either benefit or see no change in their tax liability through 2025. But her claim could hold up after the bill’s individual provisions expire that year. There’s no guarantee a future Congress will extend those parts of the bill.” [Politifact, 12/22/17]

Tax Policy Center: In 2018, 5 Percent Of Taxpayers Would Pay More In Taxes Under The GOP Tax Bill, But Would Increase To 53 Percent Of Taxpayers In 2027. “Some taxpayers would pay more in taxes under the proposal in 2018 and 2025 than under current law: about 5 percent of taxpayers in 2018 and 9 percent in 2025. In 2027, however, taxes would increase for 53 percent of taxpayers compared with current law.” [Tax Policy Center, 12/18/17]

Politico: Repatriation Provision In Tax Bill Was A “Major Victory For Pharma Manufacturers.” “The bill, H.R. 1 (115), lowers the corporate tax rate and would offer a one-time reduction on profits U.S.-based multinational companies earn and keep abroad. The repatriation provision is seen as a major victory for pharma manufacturers who store boatloads of cash in countries where tax rates are lower.” [, 12/4/17]

Pharmaceutical Companies Were “One Of The Biggest Beneficiaries” Of The Provision, And Were Seen As Likely To Return Money To Their Shareholders, Rather Than Invest In Research And Innovation. “U.S. drugmakers will be one of the biggest beneficiaries of the repatriation portion of the bill. They've been sitting on billions of dollars in overseas earnings and can now bring home that cash at a reduced rate. While the tax bill has been promoted by Republicans as a job creator, the reality is that drug companies are more likely to return the money to shareholders, or use it to make acquisitions.” [Bloomberg, 12/15/17]

Tax Bill Was Estimated To Save Top Five Pharmaceutical Companies $42.7 Billion. “The tax proposal supported by President Donald Trump and congressional Republicans would give five top pharmaceutical corporations a $42.7 billion tax break.” [Public Citizen and ITEP, 11/20/17]

HEADLINE: Banks Are Big Winners From Tax Cut. [New York Times, 1/16/18]

New York Times: “Financial Institutions Are Among The Biggest Winners So Far, Reaping Benefits From A Lower Corporate Rate And More Preferable Tax Treatment For So-Called Pass-Through Companies.” “The nation’s banks are finding a lot to love about the Trump administration’s tax cuts. The $1.5 trillion tax overhaul signed into law late last year provided deep and lasting tax cuts to all types of businesses, but financial institutions are among the biggest winners so far, reaping benefits from a lower corporate rate and more preferable tax treatment for so-called pass-through companies, which include many small banks. While some of the biggest banks are reporting fourth-quarter earnings hits stemming from the new tax law, they see rich benefits over the long term, including effective tax rates that are even lower than the new 21 percent corporate rate.” [New York Times, 1/16/18]

Financial Institutions Represented About Half Of The Companies Who Had Promised Raises Or Bonuses Due To The Tax Bill, But “Payouts To Workers Reflect A Small Slice Of The Windfall That Banks Large And Small Are In Line To Receive.” “More than 70 financial institutions have announced they will raise wages or offer bonuses to employees after the tax law’s passage, including big firms such as Bank of America and community banks such as Bank of the Ozarks. All told, those institutions account for about half of the companies that have promised raises or bonuses since President Trump signed the bill into law, according to a running list by , a group that advocates low taxes. The payouts to workers reflect a small slice of the windfall that banks large and small are in line to receive.” [New York Times, 1/16/18]

HEADLINE: The Biggest U.S. Banks Made $2.5 Billion From Tax Law—In One Quarter. [Wall Street Journal, 4/18/18]

HEADLINE: Bank Profits Soar To Record $56 Billion On Tax Cuts. [Washington Examiner, 5/22/18]

AP: The Nation’s Six Big Wall Street Banks Saved At Least $3.59 Billion In Taxes In The First Quarter Of 2018, According To An Associated Press Estimate, Using The Bank's Tax Rates Going Back To 2015. “The nation's six big Wall Street banks posted record, or near record, profits in the first quarter, and they can thank one person in particular: President Donald Trump. While higher interest rates allowed banks to earn more from lending in the first quarter, the main boost to bank came from the billions of dollars they saved in taxes under the tax law Trump signed in December. Combined, the six banks saved at least $3.59 billion last quarter, according to an Associated Press estimate, using the bank's tax rates going back to 2015. Big publicly traded banks — such JPMorgan Chase, Citigroup, Wells Fargo, Goldman Sachs, Morgan Stanley and Bank of America — typically kick off the earnings season. The reports for the January-March quarter are giving investors and the public their first glimpse into how the new tax law is impacting Corporate America.”[AP, 4/20/18]

Tax Experts Said The Tax Cuts And Jobs Act Increased Incentives For Companies To Move Jobs Overseas. “What happened to the workers in Clinton, tax experts say, will probably happen to more Americans if the Republican tax overhaul becomes law. The legislation fails to eliminate long-standing incentives for companies to move overseas and, in some cases, may even increase them, they say. ‘This bill is potentially more dangerous than our current system,’ said Stephen Shay, a senior lecturer at Harvard Law School and former Treasury Department international tax expert in the Obama administration. ‘It creates a real incentive to shift real activity offshore.’” [Washington Post, 12/15/17]