[Congressional Record Volume 157, Number 51 (Friday, April 8, 2011)]
[House]
[Page H2549]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FAIR TAX
The SPEAKER pro tempore. The Chair recognizes the gentleman from
Georgia (Mr. Woodall) for 3 minutes.
Mr. WOODALL. Mr. Speaker, you've heard it a lot of different ways
this morning. Our challenge is not that we tax too little. Our
challenge is that we spend too much, and we're taking steps to make
that happen. But we do tax incorrectly. We do tax in a way that
challenges the patience, the tolerance and the intellect of millions of
Americans every year. We're coming up on that.
One week from today is Tax Day, April 15, that day that folks dread
year after year after year after year. One of the things that makes Tax
Day so complicated is the exceptions, the exemptions, the loopholes and
those special favors that get written into the Code year after year
after year after year.
I want to associate myself with the comments from the previous
speaker, the gentleman from California. And we've talked about the very
serious--the very serious--discussion of the budget that's been going
on in the Budget Committee. I'm pleased to be a member of the Budget
Committee.
Bloomberg came out with a report this morning, $2.9 trillion in
special tax breaks, loopholes and exemptions erased in that budget. Not
that taxes go up for Americans, but that taxes get simpler for
Americans and fairer for Americans by taking away $2.9 trillion in
special favors and special exemptions.
There's a proposal that goes even further, and I want to mention it
now a week out from Tax Day, and that's H.R. 25, the Fair Tax. It's a
bill that started with only two cosponsors, one Democrat and one
Republican. It grew to two Democrats and two Republicans, and then it
grew to four Democrats and four Republicans. Now there are 60
cosponsors in the House, five in the United States Senate, the most
widely cosponsored fundamental tax reform bill in this Congress.
And it does this: It abolishes income taxes and replaces them with
consumption taxes, because the power to tax is the power to destroy.
And what we destroy in this country is productivity. We're the only
OECD country on the planet that doesn't have a consumption tax, the
only one that punishes our producers instead of taxing our consumers.
And it eliminates not $2.9 trillion in loopholes as the budget does,
but 100 percent of every corporate loophole.
We've heard it on this floor again and again: Loopholes for oil
companies, loopholes for this company. It eliminates every single
corporate tax break in existence today. And it eliminates them for
individuals as well in favor of a simple, low-rate personal consumption
tax.
On Tax Day, we talk about the income tax. The largest tax 80 percent
of American families pay is the payroll tax. Everybody in here who's
got a job has seen that FICA line. You may not add it up, but it is the
largest tax that 80 percent of Americans pay. And there is not a single
bill on this floor that deals with that except the Fair Tax, which
abolishes that tax so you get to keep what you earn so that nobody
touches your paycheck before you do.
As you finalize your tax forms over the next 7 days on your way to
April 15, I want you to think about what could be different. I want you
to think about how, with the passage of H.R. 25, April 15 could just be
another spring day.
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