Control Spending, Balance the Budget, and Keep Taxes Low
As Tax Day has just passed, we are keenly aware of the burden future taxes will have on our daily lives. Fundamentally, I am concerned about the $670 billion in tax hikes Democrats in Washington have enacted into law since January 2009. The reason being is the negative impact the taxes could have on small businesses and families across the country and in East Tennessee.
The current cost of these tax increases and the anticipation of future tax hikes are slowing down job creation because of the uncertainty it causes many businesses. Right now, the vast majority of those tax increases are a result of the health care law, and 14 tax hikes will hit middle class families – a direct violation of the President’s pledge not to raise taxes “one-dime” on American’s earning less than $200,000 (singles) and $250,000 (married couple).
Spending and deficits are out of control in this Democratic-controlled Congress; consequently, the American people will have to foot the bill for generations, and I believe this is wrong.
Given that the unemployment rate is stuck at nearly 10 percent, and in spite of the President’s promises about the stimulus bill – Americans can neither afford the loss in wages or the loss of jobs that will result from this misguided health care law.
About 85 percent of the tax increases are a result of the health care law, which, as the Associated Press reported, is growing less and less popular every day. I understand why. Unfortunately, one dubious record set by the Democrats’ health care law is that it represents the largest tax increase in American history, with over one-half trillion dollars in tax increases – $569.2 billion to be exact. There is a tax on medical devices, a tax on health care plans, and even a tax on people who don’t buy government-approved health insurance.
I support a balanced budget within the Federal government, and believe we can get there by reducing spending. The folks on the other side of this debate want more tax increases. But the reality is, tax increases won’t shrink the deficit because anytime we raise taxes, government finds a way to spend even more money.
Now there are talks about imposing a Value Added Tax (VAT) on top of the tax burden we’ve already got. I am opposed to this, and stand firm in my belief that there are better ways to deal with budget shortfalls – cut spending and grow the economy.