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Public Statements

Fiscal Cliff


Location: Washington, DC

While the Senate focused on the TAG bill on the floor, behind the scenes, negotiations continued over how to avert the fiscal cliff. On Thursday, House Speaker John Boehner and President Obama met again for 50 minutes and reportedly had a frank discussion to attempt to reach an agreement.

I appeared on CNBC this week to discuss the possibilities for a deal.

If we do not act to address the fiscal cliff by Dec. 31, 2012, tax rates will increase to 15 percent on the bottom end and to 39.6 percent on the top end of the spectrum, the capital gains tax rate will rise from 15 percent to 20 percent, the estate tax will increase to 55 percent, the dividend tax rate will increase to the marginal rate of the taxpayer and the child tax and earned income credits will expire.

I reiterated the point that I'm not in favor of patchwork solutions to a macro problem. We all agree that we must address this issue by tackling three things: spending, revenue and so-called entitlements.

The clock is ticking for the president, Congress and for the American people. We have a big job before us: the American people want us to get the deficit reduced and the debt down. We must find a comprehensive solution to this problem.

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