Bill passes with bipartisan support

WASHINGTON – U.S. Rep. Patrick Meehan (PA-07) today issued the following statement after voting for H.R. 8, the Job Protection and Recession Prevention Act.

“Today the House took action to protect middle class families and small businesses all across the country from a massive tax hike on January 1, 2013. An American family of four earning $50,000 a year would be faced with a tax increase of $2,200. At a time when we are facing record unemployment and an extremely fragile economy, the last thing we should be doing is raising taxes on the middle class or job-creating small businesses. This bill passed with bipartisan support, including 19 Democrats who voted in favor of H.R. 8.

“Last week I had the opportunity to visit several small businesses throughout my district including a restaurant and a small manufacturer. What I heard from these small business owners and their workers is that Congress needs to stop the tax hike. Independent analysts say the tax hikes will cost 700,000 American jobs – including 30,000 in Pennsylvania.

“President Obama was right when he extended all the tax rates in 2010, saying at the time it was a ‘good deal for the American people.’ I also agree with President Clinton’s comment in June that stopping the coming tax hikes is ‘probably the best thing to do right now.’ That will allow Congress to focus next year on tax reform without harming our economy or hurting middle-class families with massive tax increases.”

Last week, Meehan visited several small businesses throughout the 7^th district to discuss how the tax increases would harm their business and stifle job creation as part of “Stop the Tax Hike Day.”

In December 2010, President Obama signed into law a bill to extend the existing individual tax rates for two years. Had the President not signed this law, on January 1, 2011, tax rates at every income bracket would be increased and the increased child tax credit would have vanished. The nation faces the same threat of massive tax hikes on middle class families and small businesses on January 1, 2013.

According to the National Federation of Independent Businesses (NFIB), 75 percent of small businesses pay their taxes through the individual code, meaning the proposed tax increases would hurt these small businesses and their ability to grow and create jobs. A report issued recently by the independent accounting firm Ernst & Young found that the proposal to raise taxes will hurt the economy and cost more than 700,000 American jobs – including 30,000 in Pennsylvania.

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