Washington, D.C. – Speaker Nancy Pelosi spoke on the floor
this afternoon in support of H.R. 3996, the Temporary Tax Relief Act of 2007,
which will provide tax relief to 23 million middle-class families by preventing
them from being subject to the Alternative Minimum Tax (AMT). The bill passed by a vote of 216 to 193. Below are her remarks:
“Thank you, Mr. Rangel, thank you so much for your
leadership in bringing this important legislation to the floor. It enables us, as Members of Congress, to
plant a flag for fiscal responsibility.
To plant a flag for the middle class in our country and to plant a flag
for competitiveness, to keep
“This legislation is important because it provides long
overdue middle-class tax relief. Preventing
a tax increase that will fall upon the middle class come this next year. The bill is about tax fairness, it’s about
fiscal responsibility, and again, it’s about keeping
“When we talk about fiscal responsibility, it unfortunately
always seems necessary, after listening to my Republican colleagues, to set the
record straight. The Democratic Party is
the party of fiscal responsibility. When
President Clinton was President, his four final budgets were in surplus. He left office with a budget that was on a
trajectory of $5.6 trillion in surplus.
Sadly, the Bush Administration reversed that, taking us to over $3
trillion in deficit, a swing of about $10 trillion. A swing that is greater than anyone has ever
seen in history, in terms of fiscal responsibility. And what did the Congressional Budget Office,
under the Republican leadership, say was the leading cause for that? Tax cuts for the wealthy. Don’t blame it on the war. Don’t blame it on anything other than what it
really was. Tax cuts for the
wealthy.
“And so today, we see a change. Tax cuts for the wealthy under the Bush
Administration and a Republican Congress paid for by the middle class. Today we reverse that. Tax cuts for the middle class. Paid for by the wealthiest people in our
country.
“And as we give this tax break, who is getting it? Think of it: 23 million middle class families
are protected from higher taxes due to the alternative minimum tax; 30 million
homeowners will receive property tax relief; 12 million children will benefit from
the expanded child tax credit; 4.5 million families will get help affording
college education.
“This is in addition to our earlier investment of the
largest expansion of college affordability since the GI bill in 1944. Thousands of our men and women in uniform
will receive tax relief under the earned income tax credit. They were prohibited from qualifying for that
because our Republican colleagues would not disregard combat pay in that
consideration. So fiscal responsibility,
tax cuts for the middle class, and competitiveness for our country.
“This weekend, as we go into observing Veterans Day, we all
know the great debt of gratitude we owe our veterans. For their service to our country, their
sacrifice, their patriotism, the sacrifices they and their families are willing
to make. What they have done with
veterans over the generations have done is to protect our democracy. Essential to the success of a democracy is,
though, a thriving middle class. And
this legislation is in furtherance of supporting that middle class and
therefore supporting our democracy.
“In keeping with our pay-as-you-go rules with no new deficit
spending, this legislation will ensure that our children will not inherit a
legacy of debt. In terms of competitiveness,
this legislation extends the R and D tax credit, a new markets tax credit among
other things. But I mention those two
because they’re directly related to our Innovation Agenda, our commitment to
competitiveness to keep
“Democrats are committed to putting middle-class families
first. The choice is simple: Tax relief for millions of middle class
families or protecting tax loopholes, the Wall Street loophole, that allows a
privileged few to pay a lower rate than
“It’s about the people who are the backbone of