A "Taxing" Issue
James Sensenbrenner, June 21, 2002
I remember a conversation I had with my younger son about taxes several years ago. He had just gotten his first paycheck, and he was excited about the $290 check in his hand. Then we started to talk about taxes - since none had been taken out, he still had to pay the government. After I laid out the different major taxes - federal, state, and social security, he realized his actual pay would be quite a bit less.
My son’s experience wasn’t too different from my own reaction when I first received a paycheck and saw the difference between what I earned versus what I was actually paid. Although not the only reason, my view on taxes, and how the government spends Americans’ hard earned tax dollars, is a primary reason for my being a Republican. And as such, I have supported legislation that would result in more responsible spending and fewer federal taxes paid by all of us. It is the reason why I strongly supported the tax relief bill signed into law by the President last year. It is also why I voted favorably on three separate bills passed by the House this month to make permanent the repeal of the death tax, to permanently repeal the marriage penalty, and to keep the retirement savings tax incentives included in last year’s tax bill.
It is wrong for the federal government to tax you when you walk down the aisle. Making marriage tax relief permanent stops the unfair tax that couples pay just for saying "I do." The current expiration of marriage tax relief in nine years is almost enough to make someone reconsider and say, "Maybe I don’t - let’s wait and see what happens in 2011!" Similarly, it’s time to permanently bury the death tax. According to the National Federation of Independent Business (NFIB), one third of small business owners have to sell outright, or liquidate a part of their business to pay death taxes. And when it comes to planning for one’s retirement, hard working employees paying into their retirement fund will be set back when their IRA annual contribution limit is cut from $5,000 to $2,000. Changing things back to the way they were last year makes it difficult for businesses and families - Republican or Democrat - to plan ahead.
Once again, the House has worked hard to pass bills that make sense - only to see them languish in the Senate. The Senate did act on one of the bills - it voted down the bill to make the repeal of the death tax permanent. As for the other two bills, at this point, there is no indication if they will be brought to the Senate floor for a vote.
Spending money responsibly is a lesson most parents try to teach their children. It is something I learned as a child, and have shared with my boys. As a Congressman, I try to represent Wisconsin by voting in a manner consistent with our state’s philosophy of responsibility. And when it comes to tax issues, that means making sure that the federal government doesn’t take away people’s incentives to save money - and live a fiscally prudent life.
James Sensenbrenner is a Republican member of the U.S. House of Representatives from Wisconsin.
© 2002
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