Luetkemeyer: Senate Passage of Spending Bill A Mistake
WASHINGTON, D.C. _ Following is a statement from U.S. Rep. Blaine Luetkemeyer (MO-9) on the Senate’s passage today of the more than $800 billion spending package. Rep. Luetkemeyer voted against the House version of the bill.
“I am acutely aware that many families are hurting out there. I also understand that many families are worried about keeping their jobs or are dealing with the reality that they may have just lost a job. I know this because each day I hear families telling me about the struggles they face.
“This Senate bill is not the right approach to help real people get back to work or help them make ends meet. This is nothing more than a partisan political package that promotes big government and sticks our families with the bill. I am hopeful that House and Senate negotiators will realize the folly of this bill and consider ideas that will get our nation back on track that include real plans for creating jobs, stimulating small businesses and cutting people’s taxes.”
he House Republican Alternative Economic Recovery Plan
Immediate Tax Relief for Working Families: Rather than a refundable credit based on payroll taxes, House Republicans propose reducing the lowest individual tax rates from 15 percent to 10 percent and from 10 percent to 5 percent. As a result, every tax-paying family in America will see an immediate increase in its income with an average benefit of $500 in tax relief from the drop in the 10 percent bracket and $1,200 for the drop in the 15 percent bracket. A married couple filing jointly could save up to $3,200 a year in taxes.
Real Help for America’s Small Businesses: Small businesses (those employing fewer than 500 individuals) employ about half of all Americans, yet they can be subject to tax rates that siphon away one-third or more of their income. House Republicans propose to allow small business to take a tax deduction equal to 20 percent of their income. This will immediately free up funds for small businesses to retain and hire new employees.
No Tax Increases to Pay for Spending: The stimulus proposal pending in Congress includes record levels of government spending that will substantially increase the current deficit. House Republicans are concerned that this level of spending will result in new tax increases on American working families. House Republicans are insisting that any stimulus package includes a provision precluding any tax increases now or in the future to pay for this new spending. House Republicans believe that any stimulus spending should be paid for by reducing other government spending, not raising taxes.
Assistance for the Unemployed: Incredibly, the federal government actually imposes income taxes on an individual receiving unemployment benefits. House Republicans propose to make unemployment benefits tax free so that those individuals between jobs can focus on providing for their families. The plan would also extend unemployment benefits for a full year.
Stabilizing Home Values: The real-estate market is paralyzed as potential buyers wait on the sidelines waiting for prices to fall even further. This is becoming a self-fulfilling prophecy. In order to encourage responsible buyers to enter the market and stabilize prices, House Republicans propose a home-buyers credit of $7,500 for those buyers who can make a minimum down-payment of 5 percent.
Luetkemeyer encourages Missouri families to visit http://republicanwhip.house.gov/jobs, a new website outlining the House Republican Economic Recovery Plan.