Hensarling: Tax Extender Bill Highlights Need for Fundamental Tax Reform

WASHINGTON – Congressman Jeb Hensarling (R-TX), Chairman of the House Financial Services Committee, issued the following statement after the House of Representatives passed the Tax Increase Prevention Act (H.R. 5771):

“Our nation’s tax code is hopelessly broken and in dire need of fundamental reform.  Case in point is the need to pass this so-called ‘tax extenders’ legislation which keeps certain provisions of the tax code in place for 2014 so American families and businesses have some degree of certainty for the year.  This band-aid approach has also created ‘must pass’ legislation that has been used as a vehicle for Washington to pick winners and losers by spending taxpayer money to subsidize favored activities, much of it at the behest of special or narrow interests – some of which are simply another example of the Washington insider economy that is unfortunately too prevalent in America today.    

“The bill before us today is also a manifestation of the dysfunction in Washington and the president and Senate Democrats’ unwillingness to work with House Republicans to move us away from the existing broken tax system and the final list of provisions are a byproduct of last minute political brinksmanship by the White House. 

“As much as I dislike the special-interest provisions found in the bill – including the new short lease on life given to the Wind Production Tax Credit – there are more beneficial provisions in this legislation that will prevent tax increases from falling on millions of hardworking American families and businesses.  While far from perfect, I chose to support this legislation because the good outweighed the bad.

“The real work of reforming our nation’s tax code, including getting rid of special-interest tax provisions, will only be accomplished through the fundamental tax reform that I hope and expect the House of Representatives to take up in the 114th Congress.”

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