In a recent Star-Telegram article, Roger Williams, Texas Legislator from District 25, claimed that, "What the U. S. economy needs is true tax reform." Mostly, Mr. Williams’ tax reform proposals would eliminate the "death tax" and lower capital gains and dividends to 15 percent to stimulate new investment, cut payroll taxes for employees, employers, individuals and business, among others.
On the national level, after President Obama announced his executive action on immigration, enraged Republicans took vengeance on the working poor, as well as clean energy, cutting them out of a proposed colossal tax cut package and proposing a raft of permanent tax cuts for corporations alone worth $440 billion over 10 years, according to The Week Magazine. President Obama threatened a veto, and the negotiation broke down entirely.
The Earned Income Tax Credit, originally a conservative alternative to the welfare state, is no longer in favor with those conservatives who think poor people don’t pay enough in taxes. For example, if EITC were eliminated, a single mother with two children working full time and earning $14,500 annually would lose her Child Tax Credit of $1.725. That may seem like a paltry amount to some, but not to that single mom. The Week Magazine does disclose that "…the EITC results in quite a lot of technically improper payments mostly as a result of unnecessary complexities." (Why not fix those complexities?)
Though not all the tax cuts are a bad thing, what Mr. Williams said about needing true tax reform is correct. My point is that those tax cuts should be fair. I personally favor helping the working poor and fighting for cleaner air. The takeaway that The Week Magazine comes away is that the Republicans don’t care about the national debt. They carp about the food stamps or unemployment insurance and demand offsets for them, but they don’t mind blowing a half-trillion dollar hole in the 10-year budget without blinking for the sake of big corporations. Their point of views makes sense to me.