McCaul Opposes Democrat Tax and Spend Budget
Representative McCaul voted to protect his constituents from the largest tax increase in American history, part of a fiscally irresponsible budget proposed by the House Democrat majority. The budget hikes taxes on the American people by $684 billion, which will negatively affect some people making only $32,000 a year, to bankroll new wasteful spending. Under the Democrat budget, 116 million American taxpayers will pay higher taxes. Texas taxpayers will see an average increase of nearly $3000, money that they need to cover higher gas, food, and healthcare prices.
The Democrats have proposed a tax and spend budget that increases taxes on the people of Texas by allowing important tax deductions to expire. These include:
* Not Renewing the State and Local sales Tax deduction,
* Not fixing the Alternative Minimum Tax,
* Raising the marginal income tax rates:
o 35% bracket will increase to 39.6%
o 33% bracket will increase to 36%
o 28% bracket will increase to 31%
o 25% bracket will increase to 28%
o 10% and 15% brackets will condense to 15%
* Raising the Capital Gains rate from 0% and 10% to 10% and 20%,
* Reinstatement of the Marriage Penalty by reducing the standard deduction for married couples from 200% to 167% of the standard deduction for an individual, and
* Reinstate the Death Tax which will have completely disappeared in 2010
"I cannot support a budget that forces Texas taxpayers to send more of their money to Washington. If American families are forced to live within their means then the federal government should have to do the same. It's time for us to reign in spending on wasteful programs and stop overtaxing the American people," stated Representative McCaul.
Representative McCaul voted against the Democratic Budget, but did support the fiscally responsible Republican alternative, which holds spending and balances the budget while protecting the tax cuts that have spurred economic growth since 2003.