Is the death tax back? 22 March, 2007Posted by stoptaxing in federal.
The estate tax was phased out with the original Bush tax cuts, but due to a Senate accounting gimmick a provision made it and most of the other tax cuts temporary. Next year the tax should go away, but if the new Congress has its way, it will be back with a vengeance in 2010. Will the money from the Death tax be used for middle class and business tax cuts?
The new spending proposals from the House and Senate shows across the board spending hikes. Does that answer the question?
FYI Here is a recent partisan view.
Democrats Propose Largest Tax Increase in American History
Campbell slams Dem Budget Proposal
(Washington, DC) – Today, U.S. Rep. John Campbell (R-Calif.), chairman of the Budget and Spending Taskforce for the Republican Study Committee, made the following statement regarding the release of Democrat’s proposed budget for 2008:
“The Democrats have proposed a budget that is full of empty promises – except one; they promise to implement the largest tax increase in American history. Their budget is so packed with gimmicks and accounting tricks we can’t take seriously the claim that it will eventually balance the budget. Their talk of fiscal responsibility and the realities of this budget just don’t match up.
“The Democrat’s idea of fiscal responsibility is to tax and spend Americans out of economic prosperity. At the heart of this anti-taxpayer budget is a $400 billion tax increase. That is larger than any tax increase Americans have ever had to pay for. Worse of all, the hardest working Americans would be the ones hurt the most. This enormous tax increase would increase every tax bracket, slash the child tax credit, reinstate the marriage penalty and eliminate the tax relief that has benefited the economy the most.
“Looking at the Democrat’s budget it is easy to see why they want to raise taxes – to spend more and make government bigger. They have proposed to increase spending by billions more than the president proposed and they have done nothing to address the looming fiscal crisis presented by ballooning entitlement programs. They are even raiding the Social Security Trust Fund to pay for new spending.
“We don’t have deficits because we aren’t paying enough taxes, we have them because Congress has a spending problem, and the Democrats in Congress are adding to that problem. It is possible to balance the budget without raising taxes or raiding Social Security. However, that requires fiscal discipline and smart decisions with our spending priorities – which is something the tax and spend Democrats seem unable to do.”
FYI from the Republican Study Committee