Michael Castle on Tax Reform
Republican Representative (DE-At-Large)
Proponents support voting YES because:
Rep. RANGEL: We have the opportunity to provide relief to upward of some 25 million people from being hit by a $50 billion tax increase, which it was never thought could happen to these people. Almost apart from this, we have an opportunity to close a very unfair tax provision, that certainly no one has come to me to defend, which prevents a handful of people from having unlimited funds being shipped overseas under deferred compensation and escaping liability. Nobody, liberal or conservative, believes that these AMT taxpayers should be hit by a tax that we didn't intend. But also, no one has the guts to defend the offshore deferred compensation. So what is the problem?
Opponents recommend voting NO because:
Rep. McCRERY: This is a bill that would patch the AMT, and then increase other taxes for the patch costs. Republicans are for patching the AMT. Where we differ is over the question of whether we need to pay for the patch by raising other taxes. The President's budget includes a 1-year patch on the AMT without a pay-for. That is what the Senate passed by a rather large vote very recently, 88-5. The President has said he won't sign the bill that is before us today. Republicans have argued against applying PAYGO to the AMT patch. In many ways PAYGO has shown itself to be a farce.
The bill would allow more individuals to receive immediate $300 refunds, and lower the capital gains tax rate from 20% to 18%.
Every year National Taxpayers Union (NTU) rates U.S. Representatives and Senators on their actual votes—every vote that significantly affects taxes, spending, debt, and regulatory burdens on consumers and taxpayers. NTU assigned weights to the votes, reflecting the importance of each vote’s effect. NTU has no partisan axe to grind. All Members of Congress are treated the same regardless of political affiliation. Our only constituency is the overburdened American taxpayer. Grades are given impartially, based on the Taxpayer Score. The Taxpayer Score measures the strength of support for reducing spending and regulation and opposing higher taxes. In general, a higher score is better because it means a Member of Congress voted to lessen or limit the burden on taxpayers. The Taxpayer Score can range between zero and 100. We do not expect anyone to score a 100, nor has any legislator ever scored a perfect 100 in the multi-year history of the comprehensive NTU scoring system. A high score does not mean that the Member of Congress was opposed to all spending or all programs. High-scoring Members have indicated that they would vote for many programs if the amount of spending were lower. A Member who wants to increase spending on some programs can achieve a high score if he or she votes for offsetting cuts in other programs. A zero score would indicate that the Member of Congress approved every spending proposal and opposed every pro-taxpayer reform.
OnTheIssues.org interprets the 2005-2006 CTJ scores as follows:
Citizens for Tax Justice, founded in 1979, is not-for-profit public interest research and advocacy organization focusing on federal, state and local tax policies and their impact upon our nation. CTJ's mission is to give ordinary people a greater voice in the development of tax laws. Against the armies of special interest lobbyists for corporations and the wealthy, CTJ fights for:
"Our current income tax system is broken. It is complex; unfair; inhibits saving, investment and job creation; imposes a heavy burden on families; and undermines the integrity of the Democratic process. It cannot be repaired by any tinkering or fine-tuning. It must be completely repealed and replaced."
[As part of the Contract with America, within 100 days we pledge to bring to the House Floor the following bill]:
The American Dream Restoration Act:
A $500-per-child tax credit, begin repeal of the marriage tax penalty, and creation of American Dream Savings Accounts to provide middle-class tax relief.
Not only has the Republican-led Congress achieved a balanced budget for the first time since 1969, but it has also created a budget surplus -- a feat not previously even imaginable. It is currently projected that the Fiscal Year 1999 budget surplus will be along the order of some $80 billion, of which $66 billion is earmarked for Social Security. This envious state of affairs would seem to indicate that equitable, far-reaching tax reductions may be in order -- not as an ideological or political strategy, but as a primary element of an economic growth policy and a legitimate tool for holding down unnecessary government growth in times of surplus.
The United States is enjoying steady economic prosperity thanks in no small measure to prudent fiscal policies implemented by the Republican-led Congress. However, we must look not only at the positive side of the economy but also at the problems the economy faces -- at the present time and into the twenty-first century. Limiting government spending (i.e., spending caps) is a good beginning to address some difficulties. In addition, current and future Congresses should maintain a balanced federal budget, pay down the national debt (which will help protect Social Security for current and future generations), redefine the federal government's role in the society and, finally, think about fair tax reductions for the American people and the businesses that drive our economy. [We need] an evaluation of implementing tax cuts based on their social fairness.
|Other candidates on Tax Reform:||Michael Castle on other issues:|
Retiring as of Jan. 2011:
Unseated as of Jan. 2011:
Newly elected, Nov. 2010:
Re-elected, Nov. 2010:
Senate Votes (analysis)