Today, the House of Representative passed H.R. 8, the Job Protection and Recession Prevention Act. This legislation will stop the forthcoming tax increases set to begin in January 2013. Following passage of H.R. 8, U.S. Congressman Bill Flores (R-Texas) issued the following statement:
"The thought of not extending the current tax rates for all Americans would severely harm our economy, which is suffering through the longest period of economic weakness since the Great Depression. President Obama proposes to keep a portion of this tax rate increase on America's job creators. A recent Ernst & Young study reported that the president's plan to raise taxes will shrink the U.S. economy, and cost 710,000 jobs -- 57,000 of them in Texas.
"In 2009, President Obama said that you do not raise taxes in the middle of a recession. In June of this year, former President Clinton said that he was in favor of preventing tax increases for all tax payers. I agree with both of these statements. With today's passage of H.R. 8, the House is providing some certainty in our struggling economy by ensuring no families or small businesses are hit with a job destroying tax increase. Tomorrow, the House will take up an outline for pro-growth tax reform which would dramatically simplify, flatten and broaden the base for our tax system. The combination of extending the current tax rate and setting an outline for reform will give us time to replace our broken tax code and to make America more competitive. We must work to stabilize our economy and enact comprehensive tax code reform to promote job creation and a stronger economy rather than paying for more reckless spending by a bloated federal government.
"While the House is scheduled to go into recess for the next five weeks, House Republican leadership has told Senator Reid that we are willing to immediately come back into session if the Senate takes action to avoid the tax rate increase or to stop the defense sequester. I am fully supportive of this measure as we must work expediently to eliminate both the threat to our economy from the looming tax hikes, and the threat to our American jobs and security from the defense sequester."