Driving the Week: It’s Tax Time…Again
The House will vote on the Small Business Tax Cut Act (H.R.9), a temporary tax cut geared toward, you guessed it, small businesses. This particular cut would provide small businesses with a 20% tax cut. Sounds great, especially since the U.S. now has the highest corporate tax rate in the world, but we need to have a conversation about a comprehensive and permanent overhaul of our tax structure. Businesses can’t thrive with temporary policy measures..
The Senate will take up their own tax gimmick this week as well, albeit theirs is harmful to the economy, instead of just temporarily helpful. The so-called “Paying a Fair Share Act,” aka the Buffett Rule, (S.2230), is nothing more than a politicized show vote on a shameless budget gimmick. What’s more, this vote is the only official vote taking place in the Senate this week. Great use of taxpayer money!
Thirteen million Americans are still out of work, President Obama and the left keep trying to claim they’re focused on jobs (while simultaneously admitting the Buffett Rule will create no jobs), and yet this is what the Senate will vote on? This tax hike on job creators will do nothing for our deficits, since the President has already indicated that any money raised from this tax will be used to fund his pet projects. This tax will also negatively affect the economy by effectively doubling the capital gains tax – which will decrease investment. So, Senate Majority Leader Harry Reid (D-NV) is wasting everyone’s time by bringing up a widely discredited bill that won’t pass and even if it did would greatly slow our economic recovery.
Instead of more temporary and anti-growth tax gimmicks, Congress should focus on comprehensive tax reform. Using the election year excuse is pathetic, considering every other year in the House is an election year. It’s time to bite the bullet and do what’s right for the American people.