[Congressional Record Volume 141, Number 62 (Tuesday, April 4, 1995)]
[Extensions of Remarks]
[Page E776]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                   TAX RELIEF FOR THE AMERICAN FAMILY

                                 ______


                            HON. RON PACKARD

                             of california

                    in the house of representatives

                         Tuesday, April 4, 1995
  Mr. PACKARD. Mr. Speaker, as we consider tax cuts this week the 
difference between the Democrat and Republican philosophies underlying 
becomes crystal clear. Democrats believe that taxpayers exist to serve 
Government. They really think that Government confers upon its citizens 
the privilege of earning and keeping money. Republicans work under a 
completely different mindset. Taxpayers--also known as citizens--come 
first, not the Government. Republicans believe that individuals know 
best how to spend the money they earn--at least better than some 
bureaucrat sitting in a Washington office.
  That is why we are proposing to let American families keep more of 
the money they earn. The American family represents the backbone of our 
society. Our current tax system penalizes families with children. It 
does not properly reflect the cost of rearing a child today. The 
average family spends more on taxes than it spends on food, clothing, 
and shelter combined. Many families now need a second earner not to 
support the household, but to support the Government. Republicans know 
this and are working to relieve American families of this tax burden.
  It cost middle-income families more than $5,000 per year to rear a 
child. The American family deserves a $500-per child tax credit. Our 
bill allows families with annual incomes of up to $200,000 to receive a 
full tax credit of $500 per child. For incomes exceeding $200,000, the 
tax credit is proportionally reduced to zero so that families making 
$250,000 or more receive no credit. As a result, over 29 million 
families and 51 million children will benefit. Nearly 70 percent of 
those families benefiting have incomes of less than $75,000.
  Mr. Speaker, the most important thing we can do for the American 
family is to get Government off of their back. The Republican child tax 
credit provision gives American families more of what they earn. Our 
bill increases the resources available for parent to meet their child-
rearing cost, not Government costs.


                          ____________________