Congressman Poe (TX-02) issued the following statement following last nights vote on the unemployment/tax extension compromise:
This has been a long drawn out process for a very simple solution cut taxes and cut spending. Unfortunately, this lame-duck Congress didnt do that. I fully support extending the tax cuts, but I cannot support the short-term deal negotiated by the White House and party leaders that will only prolong the problem and do little to create stability in the job market. In order to keep taxes from increasing, this so-called deal increased spending and added to the deficit. Thats no deal.
Continuing to leave businesses and families in financial limbo is just kicking the can down the road. A deal for the American people would have been to make the tax cuts permanent, eliminate the death tax and CUT spending. This bill fell way short of that.
I was one of 36 conservatives to vote no. This was not a vote against the tax extension; just the opposite. This was a vote against more spending and for a better deal for the American taxpayer in the next Congress.
Why this is a No Deal for taxpayers:
Legislation Is Not Permanent; Does Not Go Far Enough
This bill extends the current tax rate for three years; not enough to provide long term stability.
Death Tax Reinstated
The death tax was eliminated in 2010 (as part of the 2001 tax law), but is not extended as part of this law.
The bills death tax provision is actually a tax increase compared to keeping it at the current rate of 0%.
Incomplete Solution to our Economic Problems
Tax cuts dont add to the deficit; spending does.
Our formula for economic recovery should be to cut taxes AND spending; this bill only fulfilled half of that formula.
More Strain on Social Security
In the absence of comprehensive Social Security reform, this bill will put further strain on a Social Security system already in dire fiscal straits.
A Better Deal
With a changeover in the House come January, a better deal would be possible.
Congressman Poe is the cosponsor of H.R. 205, the Death Tax Repeal Act to permanently repeal the death tax; and H.R. 470, the Economic Recovery and Middle Class Tax Relief Act that would completely repeal the AMT and reduce individual and corporate income tax rates to facilitate increased investment and additional jobs.