FOR IMMEDIATE RELEASE November 01, 2005

CONTACT: Brendan Daly/Jennifer Crider 202-226-7616

Pelosi: President’s Tax Panel Would Demolish Building Blocks Middle-Class Americans Use to Reach American Dream

Washington, D.C.– House Democratic Leader Nancy Pelosi released the following statement today on the report issued this morning by the President’s Advisory Panel on Federal Tax Reform:

“Democrats are committed to reforming the tax code so that our tax system is simpler and fairer for middle-class families and small business.  Unfortunately, President Bush’s tax panel is a Trojan horse – using so-called simplification to cut taxes for the wealthy while increasing taxes for middle-class families.

“Middle-class families are already struggling to pay high prices at the gas pump, exploding home heating costs, skyrocketing tuitions, and rising health care costs.  The President’s tax panel would demolish the building blocks middle-class Americans use to reach the American dream – home ownership, education, health care, and earnings.

“The President’s tax panel would severely limit the mortgage-interest deduction, end the deduction for state and local taxes, ends education incentives, and limit the deduction for health insurance expenses. Each of these would be a severe blow to the middle class.

“We need an America that works for everyone, not just the wealthy few.  Democrats will continue to fight for tax reform that simplifies the tax code without hurting the middle class.”

“ Democrats are united in presenting a New Direction for America, one that will make our nation as strong as its people, one that brings opportunity, security, and prosperity to all Americans. ”

Democratic Leader Nancy Pelosi