[Congressional Record Volume 143, Number 128 (Tuesday, September 23, 1997)]
[House]
[Pages H7608-H7609]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  MARRIAGE TAX PENALTY MUST BE CHANGED

  The SPEAKER pro tempore. Under the Speaker's announced policy of 
January 21, 1997, the gentleman from Illinois [Mr. Weller] is 
recognized during morning hour debates for 5 minutes.
  Mr. WELLER. Mr. Speaker, it is my privilege to represent Illinois' 
most diverse district. I represent part of the city of Chicago, the 
south suburbs in Cook and Will Counties, bedroom communities like 
Morris, where I live, at the center geographically of our district, and 
also rural communities and cornfields. Even though it is a very, very 
diverse district, as a local legislator I always look for the things 
that are in common throughout this district.
  Clearly the election results in 1996, which reelected a Democrat 
President and a Republican majority in Congress for the first time in 
history, clearly gave us a message, a common message, that we should 
work together in a bipartisan way to solve the challenges that we face.
  We have answered that challenge just in the last several months with 
the first balanced budget in 28 years, the first meaningful tax relief 
for middle-class families in 16 years, and extending the life of 
Medicare for 10 years. Those are bipartisan victories, and clearly the 
middle-class working families are the winners.
  Now as I travel throughout the diverse district that I have the 
privilege of representing, when I listen at my town meetings, VFW and 
local union halls and the grain elevators, there is a common concern 
that is getting louder and louder all the time, and that is the issue 
regarding the marriage tax penalty.
  Let me explain why the marriage tax penalty is a common concern to so 
many working middle-class families with a couple of questions. Do 
Americans feel that it is fair that our Tax Code imposes a higher tax 
on married couples than on nonmarried couples? Do Americans feel it is 
fair that the average married working couple pays almost $1,400 more in 
taxes than a working couple with identical incomes living together 
outside of marriage?
  I think not. I know that the taxpayers and middle-class families that 
I represent think not. The marriage tax penalty is not only unfair, but 
it is wrong.

                              {time}  1245

  It is immoral. It is immoral that our Tax Code punishes our society's 
most basic institution, the institution of marriage. According to the 
Congressional Budget Office, 21 million American couples, married 
couples, suffer the marriage tax penalty.
  Let me give an example of an Illinois couple from my district who has 
a combined income of $61,000. Of course, the marriage tax penalty 
results, because a married couple usually files jointly so their 
incomes are combined, and of course that pushes them into a higher tax 
bracket.
  Now, the couple that I have here as individuals, after we factor in 
their personal exemptions and standard deduction, would be in the 15-
percent tax bracket if they filed as singles, but because they filed 
jointly as a married couple, they are pushed into the 28-percent tax 
bracket.
  What this means for this Illinois working couple is a marriage tax 
penalty of $1,378. That is wrong. That is unfair. It is unfair that a 
married couple pays higher taxes just because they are married. Our 
current Tax Code punishes working Illinois married couples, middle-
class families, with an average marriage tax penalty of almost $1,400.
  Think about what that means for this Illinois family. This Illinois 
working couple who just happens to be married, like 21 million American 
couples. That extra $1,400 is a significant portion of a downpayment on 
a home. It is several months' worth of car payments. It is tuition for 
their child to go to a local parochial school or for a child who they 
themselves as adults go to local community college. That is wrong, that 
is unfair.
  What we propose to do with the enactment of the Marriage Tax 
Elimination Act, H.R. 2456, is to give working couples the power to 
choose which filing status makes sense for them. They would have the 
opportunity under the Marriage Tax Elimination Act to choose to file 
jointly or as singles, whichever is to their financial advantage. And 
as two singles, this couple here from Illinois could benefit from 
greater standard deductions, of course, but they would also get the 
full advantage, the full advantage of the lower tax rates. In this case 
each individual would pay in the 15-percent tax bracket rather than the 
28 percent. It is a fair solution to the marriage tax penalty.
  It is similar also to what the State of Virginia has already done, a 
case where the States are always ahead of the Federal Government, where 
there is one form or two columns for each individual and the couple to 
file singly, and, of course, they avoid the marriage tax penalty.
  What is the bottom line? The Marriage Tax Elimination Act puts a 
married working couple on an equal tax footing with working singles. 
Thanks to this Congress, in 1996 we helped working middle-class 
families with the adoption of the tax credit, this year with the child 
tax credit. Our legislation deserves bipartisan support, and I ask for 
bipartisan support.
  Mr. Speaker, I include for the Record data in support of the Marriage 
Tax Elimination Act.

       Christian Coalition Calls for End to Marriage Tax Penalty


                 supports marriage tax elimination act

       Chesapeake, VA.--Christian Coalition President Don Hodel 
     announced that the pro-family grass-roots citizens action 
     organization would fully support the Marriage Tax Elimination 
     Act, introduced today by Reps. Dave McIntosh and Jerry Weller 
     in a press conference on Capitol Hill.
       Elimination of the marriage penalty was first called for by 
     the Christian Coalition in its Contract with the American 
     Family, unveiled in May 1995. This proposal was also included 
     in the American Dream Restoration Act of the 104th Congress, 
     which was approved by the House of Representatives on April 
     5, 1995. Under current law, many married couples pay more in 
     taxes than they would if they remained single. Hodel called, 
     again, for an end to the marriage tax penalty two weeks ago 
     while announcing the Coalition's top legislative priorities 
     for this Fall, which included additional family tax relief 
     following the victory over the $500 per child tax credit 
     recently signed into law.
       ``Government, by taxing married couples at higher rates 
     than singles, has, for too long, been a part of the 
     problem,'' said Hodel. ``At a time when family breakups are 
     so common, the Congress should pass legislation to encourage 
     marriage and ease the burden on families trying to form and 
     stay together. This legislation places government

[[Page H7609]]

     on the side of families when it comes to taxation policy.''
       With the Marriage Tax Elimination Act, married, working 
     couples will receive the same tax treatment as singles. 
     Couples will be allowed to choose the tax filing status that 
     makes the most sense for them. The Congressional Budget 
     Office reported that more than 21 million couples suffered a 
     marriage tax penalty averaging $1,400, and some exceeded 
     $20,000.
       ``For most Americans $1,400 is a lot of money,'' said 
     Hodel. ``That is money that a young family can use to buy 
     clothes for their children, invest in a college savings 
     account or make repairs on a home. The bottom line is it's 
     their money, and a government that truly values families will 
     let families keep it.''
                                  ____



                                    Independent Women's Forum,

                                Arlington, VA, September 12, 1997.
     Hon. David McIntosh,
     Hon. Jerry Weller,
     U.S. House of Representatives,
     Washington, DC.
       Dear Gentleman: The Independent Women's Forum urges 
     Congress to put the tax code where its rhetoric is, and 
     eliminate marriage penalties. Serious steps to reform tax 
     laws would mean real liberation for women, those who work and 
     those who may have to in the future.
       Marriage taxes can impose a nearly 50% marginal tax rate on 
     second earners, most of whom are wives and mothers. This is 
     state sponsored discrimination against women, the unintended 
     consequences of which is to discourage women from entering 
     the labor force. If Congress is sincere in improving the 
     lives of American women and their families, it will eliminate 
     tax loopholes that choke their paychecks. Real support for 
     the family begins with tax reform.
           Sincerely,
                                                Barbara J. Ledeen,
     Executive Director for Policy.
                                  ____



                                     Americans for Tax Reform,

                                Washington, DC, September 5, 1997.
     Hon. Jerry Weller,
     U.S. House of Representatives,
     Washington, DC.

     Subject: End the Marriage Penalty Now!

       Dear Mr. Weller: Americans for Tax Reform supports the 
     Marriage Tax Elimination Act offered by Representatives Jerry 
     Weller (R-IL) and David McIntosh (R-IN). We believe that 
     married working couples deserve the same tax treatment as 
     singles. Now is the perfect time for action because the 
     Congressional Budget Office (CBO) is anticipating an earlier 
     than expected fiscal surplus.
       For many Americans, the average marriage tax is 
     approximately equal in value to half a year of car payments. 
     With an extra $1,400, a couple might be able to send a child 
     to the school of their choice. The bottom line is that the 
     marriage tax is very real to many working couples in this 
     country.
       In fact, many working Americans are so skeptical of real 
     tax relief that they have expressed doubt the Taxpayer Relief 
     Act, which became law on August 5, 1997, would provide them 
     with any real relief of their tax burden. Giving them the 
     opportunity to choose to end their marriage tax penalty will 
     go a long way in restoring their confidence in the process 
     and tax reform. The Marriage Penalty Elimination Act would 
     allow couples to select the filing status that makes the most 
     sense to their personal finances.
       Americans for Tax Reform supports the efforts of the 
     Sophomore Republican Class lead the march towards tax relief 
     for working American couples. We support efforts to enact the 
     Marriage Tax Elimination Act for America's working couples. 
     We would like to thank you and Davis McIntosh in particular 
     for your efforts.
           Sincerely,
     Grover G. Norquist.

                          ____________________