Mr. GUINTA. Mr. Speaker, I rise today to add my voice to those calling attention to the harmful tax hikes that could soon come our way.
With tax cuts set to expire at midnight on December 31 of this year, the Obama administration wants some of those taxes to increase. I think that that would inflict a body blow to our economy and prolong this recovery.
A recent study by the accounting firm Ernst & Young finds raising these taxes would cause the estimated loss of 700,000 jobs, wages would be reduced by 1.8 percent, and our economy would shrink by 1.3 percent.
My State of New Hampshire relies heavily on small businesses; they are the backbone of our economy. This tax hike would hit small businesses especially hard because at least 75 percent pay their taxes as individuals.
I think of the many job creators in my district, such as Hampshire Fire Protection in Londonderry. They face enough challenges without Washington imposing higher taxes and that burden on their small business. With the Nation's unemployment at 8.2 percent, we simply cannot afford to lose an additional 700,000 jobs. That is why I say we must stop this tax hike, Mr. Speaker.