Congressman Charles B. Rangel stressed the importance of extending the middle class tax cuts after a new White House report showed that income taxes would go up for nearly 7.3 million middle class families in New York on January 1, 2013, if tax cuts such as the expanded Child Tax Credit, the 10 percent tax bracket, marriage penalty relief, and the American Opportunity Tax Credit for college expire were not extended.
"Families in New York and around the country are relying on us to get this done," Rangel said. "Republicans and Democrats both agree that we need to find a bold, balanced, and fair budget agreement that will create jobs, grow the economy, and reduce the deficit. Despite this reality, the Republican leadership has refused to bring the middle class tax cut legislation to the House floor for a vote."
If House Republicans fails to act on the President's plan, taxes for 97 percent of the families in New York who make less than $250,000 a year and 97 percent of American small businesses that earn less than $25,000 a year will go up. A median-income family of four in New York (earning $81,500) could see its income taxes rise by $2,200.
This week, Rangel joined 177 of his colleagues in signing a discharge petition, led by Congressman Tim Walz (D-MN), to force the House GOP Leadership to hold an up-or-down vote on the Middle Class Tax Cut Act (H.R. 15). This legislation would enact the President's plan, which has already passed the Senate, and would provide everyone with a tax cut on income up to $250,000. In addition, taxes on income over $250,000 would return to Clinton-era tax rates. The discharge petition requires the House to consider the legislation once it has been signed by a majority (218) of the Members in Congress.
"This discharge petition would allow the President's plan to be voted on immediately," Rangel continued. "It is time that we stop playing political games so that we can provide some financial certainty to our New York's middle class families. Time is running out and we cannot afford more stalemates or delay."