[Congressional Record (Bound Edition), Volume 150 (2004), Part 14]
[Senate]
[Page 19359]
[From the U.S. Government Publishing Office, www.gpo.gov]




                    WORKING FAMILIES TAX RELIEF ACT

  Mr. KOHL. Mr. President, I rise to discuss the conference report 
passed yesterday by the Senate, the Working Families Tax Relief Act of 
2004. I supported this legislation, which will continue tax relief for 
thousands of middle-class families in Wisconsin and across the country. 
Most importantly, this bill provides for the extension of the $1,000 
child tax credit, marriage penalty relief, and the 10 percent bracket. 
The bill also includes extensions important to business, such as the 
Research and Development tax credit, which expired in June of this 
year. Finally, the bill includes an acceleration of the increase from 
10 to 15 percent of refundability in the child credit, a provision that 
helps the families who need it most. The end of the fiscal year is in 
sight, and the expiration of these cuts would negatively impact middle-
class families throughout the country. I supported this legislation 
because I believe it is the responsibility of Congress to do its best 
to provide economic stability for hardworking American families.
  However, by passing this legislation, Congress is also failing in its 
responsibility to our troops. Under current law, many soldiers are 
unable to claim the Earned Income Credit or the child tax credit 
because combat pay is excluded from the definition of earned income. 
Members of the conference had an opportunity to permanently solve this 
oversight in current law--despite Democratic efforts, the conference 
report only solves the problem for two years. Without a permanent 
solution, men and women serving on the front lines could potentially 
see a tax increase in 2006. I believe Congress has a responsibility to 
these brave men and women, and I hope we fulfill it before the end of 
the year.
  This legislation is far from perfect. However, I believe that the 
benefits it will provide to middle class families across America are 
essential in today's economy. I thank my colleagues.

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