Budget/Economy/Tax
As a senior member of the Senate Budget Committee, I’m one of the architects who maps out the federal government’s spending blueprint. After Congress adopts the budget resolution for the coming fiscal year, lawmakers then must determine how to raise revenue and spend tax dollars that will fit within the blueprint. Here is where the devil certainly lies in the details. It’s tough to get 535 members of Congress singing off the same song sheet, especially when it comes to deciding how tax dollars are raised and spent. Some of my colleagues can’t raise taxes high enough to satisfy their spending appetites. The new majority leadership in Congress essentially proposed rolling back existing tax policy.

As then-chairman of the tax-writing Finance Committee, I helped steer through Congress the landmark 2001 and 2003 tax relief laws that lowered marginal tax rates, creating a first-ever 10 percent bracket. However, if this job-creating, economy-growing tax policy is allowed to lapse, American families and businesses will face a $900 billion tax increase over five years. Thanks to the lower tax rates on investment income, the economy is thriving, creating jobs, prosperity and opportunity for millions of Americans. The past five years have shown tax cuts do indeed trigger economic growth and increase revenue coming in to the Federal Treasury. At 18.4 percent of GDP, federal tax receipts are exceeding the historical averages. Americans should not be paying more in taxes. Congress needs to maintain the job-creating fiscal policy that expands the economic pie.

As the top Republican on the tax-writing Finance Committee, I’ll also continue my crusade to ferret out tax avoidance schemes and shelters (Bipartisanship Could Fuel AMT Repeal, Jan. 18, 2007), plug the $345 billion tax gap and fix the mess caused by the Alternative Minimum Tax. This parallel tax was enacted more than three decades ago to ensure wealthy taxpayers didn’t escape paying income taxes. However, the AMT was not indexed for inflation and today forces millions of middle-income taxpayers to pay higher taxes than they otherwise would under the standard tax code.

Contrary to the majority party’s views, Washington needs belt-tightening, not tax-hiking, to keep up another five years of uninterrupted growth that will achieve a balanced budget by 2012. Spending binges and tax hikes are not the answer. (Taxing Season for Lawmakers and Taxpayers, Feb. 2007 and Belt Tightening Needed in the Beltway,Jan. 2006)

 

Tell Senator Grassley what you think about this issue. 

Related Press Releases
November 21, 2008 - Geithner as Treasury Secretary for Obama Administration
November 14, 2008 - Grassley says taxpayer concerns should be front and center in rush by Pelosi, Reid to bail out automakers
November 7, 2008 - Grassley: Blue Dog’s Comment on Ending Pay-go Raises Questions of Intellectual Honesty
October 31, 2008 - Grassley: More Than $1.9 Million to Iowa from the U.S. Department of Commerce
October 22, 2008 - Statement of Senator Chuck Grassley on Chairman Frank’s Explanation of the Democratic Stimulus Plan, Spending, and Future Tax Increases
October 17, 2008 - Grassley: Obama Tax Plan Has Serious Implications for Small Business Growth
October 16, 2008 - AARP honors Grassley’s legislative leadership for seniors
October 1, 2008 - Statement of U.S. Senator Chuck Grassley on the Economic Stabilization Bill
October 1, 2008 - Prepared Statement for the Congressional Record of Senator Chuck Grassley on the Economic Stabilization Bill
October 1, 2008 - Grassley: $687,000 to the Highway 63 Gateway Community Development Project
September 30, 2008 - Grassley Analyzes Impact of McCain, Obama Tax Plans on Middle Class Part 2
September 30, 2008 - Grassley Analyzes Impact of McCain, Obama Tax Plans on Middle Class Part 1
September 26, 2008 - U.S. Sen. Charles Grassley Honored as Guardian of Small Business by NFIB
September 26, 2008 - House Charity Bill on Supporting Organizations Needs Work
September 25, 2008 - Grassley seeks special watchdog to protect taxpayers
September 23, 2008 - Grassley works to stop tax increases on middle-income families, teachers, college students
September 23, 2008 - Senate passes Grassley’s tax relief package for flood and tornado recovery
September 23, 2008 - Grassley: Senate passes tax incentives for renewable, clean-burning energy
September 23, 2008 - Senators Push for Low-Interest Loans for Disaster Victims
September 18, 2008 - Grassley: $153,708 to Iowa from the U.S. Department of Commerce
September 17, 2008 - Floor Speech of Sen. Chuck Grassley on Tax Issues Relating to Seniors
September 17, 2008 - Grassley’s disaster tax relief legislation for Iowa part of year-end tax bill
September 12, 2008 - Grassley Responds to Colleagues on Presidential Candidates’ Small Business Tax Plans
September 11, 2008 - Funding fix for highway improvements clears Congress
September 3, 2008 - Grassley: Pottawattamie County Receives Disaster Declaration
September 2, 2008 - Grassley Supports Bill to Improve Charitable Mileage Deduction
August 29, 2008 - Grassley, Colleagues Secure IRS Commitment to Suspend Collection of ISO AMT Liabilities
August 26, 2008 - Grassley: $440,766 for Workforce Development from U.S. Department of Labor
August 22, 2008 - Grassley: $240,000 to Iowa State University from Department of Commerce
August 15, 2008 - Grassley says taxpayers should not be left to pay SEC penalties aimed at financial institutions
August 6, 2008 - Grassley: Maytag Workers in Newton Eligible for Assistance
July 30, 2008 - Promised Tax Cuts Versus Enacted Tax Hikes
July 30, 2008 - Grassley makes progress on legislation to help foster care kids get permanent, loving homes
July 30, 2008 - Grassley Announces $50,000 to Iowa from Economic Development Administration
July 28, 2008 - Midwestern disaster tax relief bills, which helps Midwest more
July 26, 2008 - Grassley Statement on Housing Legislation
June 25, 2008 - Forum to help Iowans needing mortgage and foreclosure assistance on Saturday
June 24, 2008 - Senators seek tax relief for flood and tornado victims in the Midwest
June 19, 2008 - Grassley works for tax relief for Iowa flood, tornado victims
June 19, 2008 - Grassley Welcomes Housing Reform Bill, Tax Provisions to Help Disaster Recovery
June 17, 2008 - Foreclosure Prevention and Mortgage Assistance Fair
June 17, 2008 - Motion to Proceed on House Tax Extenders Bill
June 17, 2008 - Grassley Responds to Blue Dogs on Spending Challenge
June 11, 2008 - MORE HITS ON THE AMERICAN FAMILY BUDGET FROM PLANNED TAX INCREASES
June 10, 2008 - Failure to invoke cloture on House tax extenders bill
May 21, 2008 - Remarks on Budget Resolution Conference Report
May 7, 2008 - Grassley: $500,000 for Workforce Development from U.S. Department of Labor
March 11, 2008 - Opening Statement of Senator Grassley during Senate Floor Debate on Fiscal 2009 Budget
January 31, 2008 - Grassley: Senate Stimulus Bill Improves Upon the House Bill
November 15, 2007 - Grassley: IRS Says Virgin Islands Tax Change Would Hurt Tax Compliance Effort
October 24, 2007 - Grassley: House Tax Proposal Could Undermine U.S. Companies’ Competitiveness
October 23, 2007 - Grassley: Treasury Analysis Shows 50 Million Taxpayers Could Get Hit with AMT-related Filing Fiasco
July 11, 2007 - Grassley Welcomes Lower Budget Deficit Estimate, Says Tax Relief Helps Fuel Revenue Growth
April 3, 2007 - Grassley Praises Northwest Airlines Reservations Center Announcement, Highlights Use of New Markets Tax Credit
March 7, 2007 - Grassley seeks hedge fund registration, says Congress needs to bring about transparency
May 30, 2006 - Grassley secures federal tax credits for community development in Iowa
April 20, 2005 - Grassley Praises President for Signing Comprehensive Bankruptcy Reform Legislation
April 20, 2005 - Grassley Praises President for Signing Comprehensive Bankruptcy Reform Legislation
February 10, 2005 - Letter from the Justice Department regarding study in Health Affairs journal
February 10, 2005 - Opening Statement of Sen. Chuck Grassley at the Bankruptcy Reform Hearing
February 2, 2005 - Grassley Renews Effort to Reform Bankruptcy Code
October 22, 2004 - Grassley Praises President’s Signing of Business Tax Relief, Key Reforms Into Law
October 4, 2004 - Grassley on the Signing of the Working Families Tax Relief Act of 2004
June 4, 2004 - Latest job creation report/outlook for JOBS Act passage
June 4, 2004 - Latest job creation report/outlook for JOBS Act passage
December 19, 2003 - Baucus, Grassley: IRS, Congress Need to Step Up Fight of Abusive Tax Schemes
September 25, 2003 - Manufacturers Praise Grassley's Leadership on Bill to Resolve International Tax Dispute,
March 27, 2002 - offer in compromise program
March 28, 2001 - IRS Says Grassley is Right About Taxpayer Review, Audit Rates