[Congressional Record Volume 141, Number 61 (Monday, April 3, 1995)]
[House]
[Pages H4083-H4084]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                        AMERICANS WANT TAX CUTS

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from Pennsylvania [Mr. Fox] is recognized for 5 minutes.
  Mr. FOX of Pennsylvania. I want to continue the remarks that were 
made by my colleague, the gentleman from Ohio [Mr. Chabot]. I think he 
well elucidates the reasons we need to have the tax credits and the tax 
cuts adopted here in the House this week. You know, looking at what the 
American people want, Mr. Speaker, they want three things. They want to 
see tax cuts, spending cuts, and deficits reduction, 
[[Page H4084]] and under the Contract With America we can achieve all 
three. We have already earmarked $180 billion for deficit reduction, we 
already earmarked $190 billion for spending cuts, and this is according 
to the Congressional Budget Office, and the third is now we are dealing 
with the tax cuts. Let me just review, if I can, a few of those tax 
cuts we are speaking about in legislation this week which we think is 
going to be a positive step for all American families.
  First, the family tax credit. Five hundred dollars tax credit for 
each child in a family; this will help families with their basic 
expenses. We also have the American dream savings accounts. By this we 
will have established a new savings vehicle where we will have on a 
joint return $2,000 for each spouse and a tax deduction dealing with 
the IRA's, $2,000 for each spouse.

                              {time}  1915

  This will increase savings and encourage each family to have the nest 
egg they need in retirement. We are going to take care of our help for 
Senior citizens by repealing the tax increase on Social Security 
benefits. The 1993 increase in the amount of Social Security benefits 
which was subject to income taxation will be repealed. Also we will 
raise the Social Security earning limit from $11,280 to $30,000 phased 
in over 5 years. That will help many of our senior citizens who are 
independent and maintain a degree of income without impinging on their 
Social Security with their own fixed incomes.
  Mr. Speaker, under this legislation we will have tax incentives for 
private long-term care insurance, allow tax-free withdrawals from IRA's 
for long-term care insurance. We will also provide capital gains relief 
for individuals by cutting in half the rate to 19 percent. This will 
encourage savings, business expansion, job creation. For businesses, a 
25 percent alternative tax for capital gains.
  We will also have in this legislation, Mr. Speaker, a taxpayer public 
debt check-off and trust fund. This bill will allow individual 
taxpayers to pay up to 10 percent of their tax liability to a public 
debt reduction trust fund. A tax credit for adoption expenses up to 
$5,000. Tax credit for adoption expenses up to $5,000. Tax credits for 
the home care of the elderly. All of these items will help all of our 
individuals. In addition, we even have special expensing for small 
businesses. The bill will increase the amount of property a small 
business can expense. This will encourage, again, more jobs in our 
society.
  Mr. Speaker, we can have all three: Spending cuts, deficit 
reductions, and tax cuts which will help our families, help our 
businesses expand and produce higher, and will also help every single 
sector of our society do better and achieve the American dream.

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