In an effort to lesson uncertainty among tax payers across America, Rep. David B. McKinley, P.E. (R-W.Va.) voted to block scheduled tax increases on small businesses and individuals at the end of the year by extending current tax rates for one year.
"This bill will stop the tax hike facing every American who pays income taxes at the end of the year. It gives small businesses and families the certainty they need in these tough economic times," said Rep. McKinley. "Despite more than three years of high unemployment, the President and the Democrats are calling for higher taxes that will eliminate more than 700,000 jobs and impact one million small businesses, according to an economic analysis prepared by Ernst and Young. We should focus on creating jobs not raising taxes."
The Job Protection and Recession Prevention Act (H.R. 8) provides a one-year extension of the low-tax policies originally passed in 2001 and 2003 and then extended again in 2010. This extension serves as the bridge to tax reform in 2013 and would:
* Maintain existing tax rates and prevent a tax hike on January 1, 2013.
* Continue marriage penalty relief.
* Maintain the $1,000 child credit.
* Maintain a 15 percent top rate on dividends and capital gains.
* Maintain the estate tax at its 2011 and 2012 parameters.
* Provide higher small business expensing limits.
* Provide a two-year Alternative Minimum Tax patch covering 2012 and 2013.
"Raising taxes in this economy would be like throwing gasoline on a fire, "said Rep. McKinley. "I call on President Obama and the Senate to join the House and abandon their pursuit of job-killing tax hikes," said Rep. McKinley. The Job Protection and Recession Prevention Act passed by a vote of 256 to 171.