Taxes
The problem in the U.S. is not revenue; it’s not hardworking American families; it’s not employers and job-creators. The problem is that Washington continues to spend money that we don’t have.
As a small business owner, I’ve signed the front of a paycheck for 30 years. I would write my business plans years out in order to ensure that I can continue to pay my current employees in addition to hiring new employees for expansion, and have the capital saved to invest in repairs and equipment upgrades. Business owners, me included, plan based on an expectation of the future economic climate. When that forecast is unpredictable because of looming tax increases, fees or regulations, then businesses hesitate to expand, hire additional workers, or spend any capital until certainty returns.
The problem in the U.S. is not revenue; it’s not hardworking American families; it’s not employers and job-creators. The problem is that Washington continues to spend money that we don’t have. Reduced spending should be the order of the day, not raising taxes. Do we need tax reform? We do. We can make the system simpler and fairer by addressing loopholes and establishing reasonable rates. This discussion should take place.
According to the Congressional Budget Office, without including the President’s proposed tax increases, revenues are projected to remain at historic averages, returning to their post WWII average by 2017. The government doesn’t need more money. There is nothing average about our spending however, and since President Obama took office, the national debt has increased by $3.7 trillion—as much as the total debt accumulated from 1776 -1992. The reality is that both Parties have some ownership of the runaway debt.
The American people know that fundamentally, deficit reduction begins when Washington ceases to overspend. I wasn’t in Washington to create the problem, but I am dedicated to fixing it.
Accomplishments:
Ending the Death Tax
As our nation continues to struggle with the burden of a stagnant economy, and the threat of massive tax increases on every American family looms, we have the responsibility to protect America’s small businesses and family farms.
As family farms and businesses pass from one generation to the next, the economic toll of the estate tax threatens the very existence of these important employers. With the goal of protecting businesses and farms, I have introduced the Family Farm and Small Business Tax Relief Act of 2012, which will remove one of the considerable obstructions to continued company success.
The value of a family farm is tied to land, and when a farm is passed from one generation to the next following the passing of a family member, it is extremely difficult for many family farms to come up with the capital to pay punitive estate taxes while also trying to continue operations and paying employees. It is my belief that families that intend to maintain the family business following the passing of the former owner should be rewarded a reprieve from the crippling effects of the estate tax. My bill prevents the federal government from taxing family farms and small businesses when those assets are transferred from decedents to heirs at death, provided those assets continue to operate as farms or small businesses.
By modifying the tax burden, the Family Farm and Small Business Tax Relief Act encourages families to continue farming or operating the family business and provides relief from the current ‘death tax’ so that farming operations can continue to move forward, providing valuable jobs.
Making America More Competitive
The U.S. currently holds the highest combined corporate income tax rate of any industrialized nation. At more than 39 percent, the U.S. combined rate is far above the average of 25 percent, making the U.S. comparatively unattractive to businesses looking to expand operations and create jobs.
By cutting the federal corporate income tax rate to 10 percent, we can make America globally competitive once again, and attract business investment, job creation, and economic growth. The first piece of legislation I introduced in Congress (H.R. 1074) aims to reduce the corporate tax rate to 10 percent, making America competitive and encouraging the creation of American jobs. Read more.
Fighting for America’s Job Creators
According to some, including the President, in order to reduce the deficit and begin paying back our more than $15.8 trillion in debt, we need to raise taxes on America’s job creators. What’s not often considered is that tax increases on those that make over $250,000 would actually impact 923,000 small businesses according to the Treasury Department. This is bad policy.
During a tough economy the last thing Washington should do is raise taxes or impose new fees on small businesses that are already struggling to make ends meet and keep employees on the pay-roll. Many of these taxpayers use this income to build savings for slow years when revenue is down and they still have to cover operating costs. Not to mention investing those dollars to grow the business and create jobs.
I will continue to oppose these massive tax increases on our nation’s jobs creators, and instead advocate for common sense spending reform and policies that encourage economic growth and entrepreneurship, so that we can get Americans back to work and expand the number of taxpayers.
We need comprehensive tax reform in this country. The current convoluted system includes thousands of pages of tax code with countless loopholes and credits that oftentimes allow special interests to escape paying their fair share, while increasing the burdens on job creators and American families. I joined my colleagues in the House in taking steps in the right direction toward tax reform by voting for a fairer, simpler tax code that lowers rates and closes special-interest loopholes, providing needed relief and added certainty for American families and businesses. H.R. 6169, the Pathway to Job Creation through a Simpler, Fairer Tax Code Act of 2012 would make the United States more competitive in the global economy by lowering the corporate tax rate to 25 percent, encouraging investment on American shores, creating needed American jobs. Like I said, this is a step in the right direction. There is still much to be done in order to fully address the problems facing our country’s tax structure, and it is time for Washington to have a long overdue debate on how to best move forward with comprehensive tax-reform.