The Job Protection and Recession Prevention Act extends much-needed tax relief for all Americans.
House Judiciary Committee Chairman Lamar Smith today (8/1) voted to extend Bush-era tax cuts to prevent significant tax increases on middle class Americans.
Tax relief enacted in 2001 and 2003 was scheduled to expire at the end of this year setting up a scenario where people of the 21st District of Texas could see an estimated average increase per tax return of $5,152 starting in 2013. The Job Protection and Recession Prevention Act of 2012 (H.R. 8) extends the Bush-era tax relief for a year. The bill passed the House of Representatives by a vote of 256-171 and is now before the Senate.
"America faces a national debt crisis because the federal government has spent too much, not because Americans are taxed too little. Tax rates have remained stable for the last ten years following the enactment of meaningful tax relief for the middle class under the Bush administration. Meanwhile, over the past five years, government spending has increased by nearly 40%.
"America now borrows 42 cents for every dollar it spends. This is the road to insolvency. But the solution is not more taxes on the American people, it's less government spending.
"The President's policies have failed to spur our economy, failed to create more jobs, and failed to stop the federal government's spending spree. The Job Protection and Recession Prevention Act extends much-needed tax relief for all Americans for one year.
"This short-term fix ensures that American families are not faced with a massive tax hike at the end of the year. But more work still needs to be done to reduce the deficit, cut government spending, and promote sound fiscal policies for future generations."