WASHINGTON — Sen. Cory Booker, a potential 2028 Democratic presidential candidate, told NBC News he will introduce a tax bill this week that would significantly expand the standard deduction, effectively lowering taxes on low- and moderate-income earners.
The New Jersey senator’s plan would set the standard deduction at $75,000 for married couples and $37,500 for individuals. That’s more than double what it is now: $32,200 for couples filing jointly and half the cost for single filers.
“It’s a simple idea: American families pay no tax on the first $75,000 of their income,” Booker said in an interview. “This will have a significant impact on raising incomes for ordinary Americans.”
Booker plans to formally introduce the bill in the Senate on Tuesday, which would have far-reaching consequences for the tax system, encouraging more Americans to use the standard deduction instead of itemizing. For “head of household,” his bill would set the standard deduction at $56,250.
It’s a comprehensive plan designed to address a range of economic problems, from high costs to wages that don’t cover necessities like health care and housing.
“Americans are working harder and earning less than their parents and grandparents did. The economy is in trouble. So we need big ideas to save the American dream,” Booker said.
Booker’s upcoming legislation is best understood as a new idea for the next time Democrats take power in Washington. The New Jersey senator, who is running for president in 2020, said his “focus is on running for reelection” and that his Senate seat will go before voters this fall.
But he remains open to a White House bid in 2028.
“I think the Democratic Party needs to once again be a party of great ideas that resonate. Donald Trump had a lot of great ideas. He didn’t follow through on them, but they resonated in his last election,” Booker said. “I’m not closing the door on ’28, but what I’m really focused on right now is that the Democratic Party doesn’t need to be defined simply by what it’s against and starts talking about the big things it stands for.”
Both parties are interested in the idea: The 2017 Trump tax law expanded the standard deduction, and the 2025 Republican “big, beautiful bill” expands it again. But the current Congress has no plans to rewrite the tax code anytime soon.
The proposal will certainly be expensive, but there are no cost estimates yet. Booker said his goal is to ensure his bill is “paid in full” by raising taxes on high earners and big businesses while closing loopholes and cracking down on “tax avoidance schemes.” The bill does not specify these provisions.
The legislation also increases the child tax credit to $4,320 per child under 6 and $3,600 per child ages 6 to 17, while adding a $2,400 “baby bonus” in the year a child is born.
This article originally appeared on NBCNews.com
