Congresswoman Vicky Hartzler (MO-4) and the U.S. House have voted overwhelmingly in favor of extending the current tax rates for all Americans in an effort to move our country toward economic recovery.
"We must stop the largest tax increase in American history on January 1st of next year," said Hartzler. "Failure to extend the current tax rates will result in extreme hardships for families in Missouri's Fourth District and throughout the country. A family of four earning $50,000 would see taxes increase by nearly $2,200 per year, with the total tax increase topping $4 trillion over the next decade. Citizens of the Fourth District who are having difficulty making ends meet tell me they simply cannot afford this tax increase."
"Every Missouri family will be impacted if the tax hike goes into effect," continued Hartzler. "Families with children will see a decrease in the child tax credit from $1,000 per child to $500. The marriage penalty would be reinstated, education deductions and the adoption tax credit eliminated, and the minimum tax rate for low income families would jump by 50 percent, going from 10 percent to 15 percent. An individual taxpayer earning $36,000 per year can expect a $1,100 tax increase if President Obama and Senate Democrats allow the current tax rates to expire, while a married couple earning $40,000 a year will face a $1,700 per year tax hike. In addition, farm families would most likely be forced to sell the family farm in the event of the death of a loved one due to the estate tax jumping to 55 percent of the value of the farm after a very low exemption. We must stop these tax increases."
"The President has proposed to only stop the tax hike on certain Americans," Hartzler noted. "Not only is this unfair, it would hurt jobs. A new report issued by the accounting firm Ernst & Young finds the President's tax increases will hurt the economy and cost more than 710,000 jobs. The report also concluded that wages would fall by 1.8 percent, reflecting a decline in living standards relative to what would have occurred otherwise."
"Now is not the time to raise taxes on anybody," added Hartzler. "The President and Senate must abandon their insistence that taxes be increased, and go along with the common sense House plan to stop the tax hike. Only then can we begin to implement elements of the House-approved budget that boosts economic growth and job creation by reforming America's complicated tax structure and closing special interest loopholes for taxpayer-subsidized failures like Solyndra."
Vicky Hartzler is a member of the House Armed Services Committee and the House Agriculture Committee.