Recent Press Releases

McConnell: ‘Fix this middle-class tax grab’

Washington, D.C. -- Senate Republican Leader Mitch McConnell, Ranking Member of the Senate Finance Committee Charles Grassley, Senator Gordon Smith (R.-Ore.), and Senator Mike Crapo (R.-Idaho) held a press conference Wednesday urging immediate action to reform the Alternative Minimum Tax (AMT).

“If Congress does not take action to correct, or in my preference to repeal, AMT before the end of 2007, upwards of 20 million middle-income households will find themselves paying AMT,” said Sen. Smith.

Because the AMT was not indexed for inflation, it attacks more and more middle-income families every year.

“Since the AMT was never intended to reach to the extent that it reaches, and Congress never intended this tax to be collected from so many Americans, we should not subject this tax to the paygo rules,” said Sen. Crapo. “At the very least we need the AMT patch that’s been used in recent years to protect taxpayers,” said Sen. Grassley. “Even so, this falls short of what Democrats pledged to do to fix the AMT problem when they took over in January.”

The most recent patch expired last year, leaving millions of families vulnerable to AMT if another is not added. “If we don’t act soon, about 25.7 million families and individuals will be hit with a very unpleasant surprise next year to the tune of about $65 billion in taxes,” said McConnell.

“We have a very difficult situation building in our tax code right now,” warned Sen. Crapo. “We need immediate action, we need solid and decisive action.”

According to the Congressional Research Service, 168,000 Kentucky taxpayers will be subject to AMT if Congress fails to act soon.

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Washington, D.C. – On Thursday, the House of Representatives voted to sustain the President’s veto of an unworkable transformation of the State Children’s Health Insurance Program (SCHIP). U.S. Senate Republican Leader Mitch McConnell made the following statement regarding the urgent need to reauthorize this program:



“Now that the veto has been sustained, it’s time to move forward with a serious plan to extend health coverage for those SCHIP was meant to cover: low-income children. It’s time to stop the campaign ads and time to start working across party lines to forge a bipartisan compromise.



“Surely Democrats wouldn’t walk away and leave these young people from low-income families uninsured just to make a political point. I don't see how they can refuse to sit down with us to improve this bill when Republicans support and the President will sign legislation maintaining current coverage and extending coverage to additional low-income kids.”



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‘For the sake of our economy, for the sake of our competitiveness, and for the sake of consumers who don’t want to see new taxes on their bills – we need to ban taxes on internet access permanently’



Washington, D.C. –U.S. Senate Republican Leader Mitch McConnell delivered the following remarks on the Senate floor Thursday prior to asking for unanimous consent to allow a vote on the Sununu bill which would create a permanent ban on taxation of access to the internet:



“Mr. President, in just 13 days the internet tax moratorium will expire.



“If Congress hasn’t acted by then, state and local governments will be free to impose new taxes on Internet access – and trust me, they will.



“We need to be straight with the American people about what’s happening here — that the Senate Majority wants to preserve the possibility of taxing access to the Internet.



“The internet has transformed this country. It’s cleared new pathways to learning for rich and poor. It’s brought a level of efficiency and innovation to the shop floor, the home, and the corner office that were unimaginable just a decade ago. Just think of the millions of middle class Americans who’ve lifted their fortunes through online auction sites or made their first stock purchases over online trading sites.



“The internet’s been at the heart of America’s economic growth over the past decade—all because government hasn’t gotten in the way. But those days are over if we let our Democratic colleagues open the Internet to new taxes.



“We can’t let it happen. For the sake of our economy, for the sake of our competitiveness, and for the sake of consumers who don’t want to see new taxes on their bills – we need to ban taxes on internet access permanently.



“The House of Representatives has sent us a bill that would extend the moratorium for four years. Frankly, I don’t think that is long enough.



“If we all agree that taxing Internet access hurts consumers, hurts innovation, hurts broadband deployment, why stop at four years?



“Why not keep I.T. tax-free forever?



“So Mr. President, I say to my friends on the other side – the clock is ticking.



“If you object to considering the Sununu bill to make the moratorium permanent – let’s take up the House-passed bill with a couple of relevant amendments in order. One would make the moratorium permanent, and failing that, one would extend it for substantially longer than four years.



“We can debate these amendments quickly and vote – to see where the Senate stands on this very important question of keeping the Internet free of onerous taxes.



“We can do it this week, Mr. President, or next week – but the Senate must act before the moratorium expires in 13 days. And it is my intention to have a vote on the question of whether the moratorium should be extended permanently, or merely for another four years.”



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