THE WEIRS TIMES, Thursday, April 22, 2010
11
GREGG from 6
an estimated $194 billion spent on tax preparation each year, these measures would mean a significant saving for our economy. To simplify tax calcula-
tions for working families, we have cut the number of tax brackets in half. There would be three rates of 15%, 25% and 35%. Providing further relief to individuals and families, our proposal would elimi- nate the alternative mini- mum tax, triple the stan- dard deduction, create new opportunities for tax- free saving, and eliminate restrictions on personal exemptions and itemized deductions. Taxpayers, especially seniors – many of whom live on pensions and other investments – would pay taxes on only 65% of their dividend and long-term capital gains in- come, thus reducing their rate of tax. Currently, U.S. corpo-
rations pay the second highest tax rate in the industrialized world. Our plan would replace the ex- isting six corporate rates and eight different brack- ets with a single flat rate of 24%. This will cut the U.S. corporate tax rate by nearly one-third and, for the first time in nearly a decade, give American corporations a competitive tax advantage over foreign manufacturing competi- tors including Canada, Germany, and France. A more compet it ive
America translates into more jobs and higher in- comes for America’s work- ers. Earlier this week, the Heritage Foundation’s Center for Data Analysis released its preliminary estimate of how Wyden- Gregg could benefit the U.S. economy. It found that Wyden-Gregg would boost the economy by nearly $160 billion and create two million net new jobs this year – and more than three million new jobs by 2013. In a period of economic
downturn, and in the face of skyrocketing debt and deficits, any tax reform we undertake must be fiscally responsible. By eliminating many of the special interest tax breaks littering the current code, we are better able to bal- ance tax relief with sound financing of the govern- ment. This legislation repre- sents a timely solution to a
problem we can no longer afford to ignore. We must address the flaws in our current system. Wyden- Gregg is a bipartisan ap- proach that will refocus our tax system – providing economic stability, pro- moting job creation and increasing opportunity for all Americans through a simpler, fairer and more pro-growth tax law.
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