Washington, D.C. - United States Representative Chris Van Hollen (D-MD) today released the following statement.
“The House of Representatives was presented with Act II of the Republican majority’s ongoing and tragically misguided reconciliation saga.
“In Act I, we learned who the majority felt most deserved to bear the brunt of their spending cuts: poor citizens who rely on Medicaid, hungry people who turn to food stamps and families trying to afford college.
“Now in Act II we are learning where they propose that money go: for tax breaks that are targeted primarily to the top 1% of wealthiest Americans. And what is the next result? An even bigger deficit that will be paid by our children.
“Let me be clear: In a properly prioritized budget, I believe there is room for targeted, fiscally responsible tax relief. And that’s precisely the kind of tax relief Democrats are offering in our substitute today.
“The Democratic alternative extends all of the tax cuts set to expire next year – including such items as the deduction for college tuition expenses, incentives for brownfields cleanup and the 15-year depreciation schedule for certain small business expenses. Moreover, unlike the Republican package, Democrats provide guaranteed alternative minimum tax relief – so that 16 million middle-class taxpayers won’t be unfairly ensnared by the AMT. Finally, and importantly, the Democratic substitute is completely paid for – and won’t add a dime to the federal deficit.
“By contrast, when considered in its entirety, the Republican reconciliation package will actually increase the deficit – at a time when the nation’s debt is already running over $8 trillion. Additionally, when faced with the choice of whether to use the reconciliation process to protect AMT relief for middle-class taxpayers or tax breaks for the wealthiest investors, the Republicans chose to leave AMT relief unprotected while extending tax breaks on capital gains and dividends that don’t even expire until 2008 – tax breaks over half of whose benefits flow to those who made over $1 million last year.
“During a time of war, in the aftermath of a catastrophic hurricane, with 45 million Americans lacking health insurance and skyrocketing home heating costs projected this winter, this majority is proposing to take from those with the least, give to those with the most – and tell our children they will have to pay for it all later.
“We can do better. In fact, I would submit that -- in this season above all seasons -- we are required to do better.”