This Budget Paves the Way for Tax Reform and a Brighter Future for Middle-Class Families
Today, Congressman Pat Tiberi (R-OH), chairman of the Joint Economic Committee, spoke in support of the H. Con. Res. 71, the FY2018 Budget Resolution, which balances within 10 years and provides reconciliation instructions for tax reform.
The following are key excerpts from his floor remarks:
“Mr. Speaker, we’re making a choice today about the kind of future we want.
“We can choose a future of more deficits and more debt. We can continue having a weak economy where people in their prime working years keep leaving the job market.
“We can choose a future where America’s job creators decide they’ll be better off starting or moving their business overseas. And if we choose this future of more of the same, it’s not the wealthy who will suffer.
“It’s the most vulnerable, low-income Americans trying to climb out of poverty. It’s the middle-class families who find it harder and harder to get ahead—people like my dad, a retired steelworker. And, it’s our children and grandchildren, who will have to pay tomorrow for the mistakes we make today.
“We can instead choose a better future where the government learns to live within its means and moves toward balanced budgets.
“A future where job-creating small businesses aren’t punished by the tax code when they succeed, where we stop losing jobs and businesses to foreign countries with lower tax rates, where workers can finally get the pay raises they deserve, and where prosperity is widespread and not concentrated in a handful of large cities.
“[This budget] paves the way for a world-class tax code built for growth—a better future.
“Yesterday the Joint Economic Committee held a hearing on the decline in business startups—the engines of job growth and innovation—and the role tax reform could play in reversing the downward spiral.
“Among other things, here’s what we heard: First, simplify the tax code. Entrepreneurs spend way too much time and money complying with the tax code instead of focusing on growing the business.
“Second, lower the tax rates our companies pay. That’s something foreign governments have already done to attract businesses.
“Third, let companies of all sizes write off the cost of their growth-producing investments immediately—called “expensing”—instead of deducting them slowly from taxes over many years under complicated depreciation rules.
“Fourth, stop punishing our companies for investing overseas profits back in America. Move away from our worldwide system of taxation to the territorial system of nearly all other countries.
“These steps will boost economic growth. Growing markets will give entrepreneurs the confidence to risk starting a business. More startups create more jobs—an average of six new jobs per startup—and more economic growth. The cycle continues and spreads prosperity.
“I’m happy to report that these recommendations are a large part of our tax reform framework: simplicity, lower tax rates, expensing, a territorial tax system that rewards investment in America, and boosting economic growth.
“Mr. Speaker, we have a choice to make. We could turn our backs on the most vulnerable Americans and doom them to more of the same: sub-par growth, more debt, less opportunity, and a complex, outdated tax code that punishes job creation and investment in America. I hope we choose a better future, and the first step is voting for this budget.”
Click Here to watch Rep. Tiberi’s full remarks.