FISCAL BLOG

Congress has a proven track record of extending tax provisions without paying for them.

Piling on more debt can harm our economy by crowding out private investment, reducing our fiscal flexibility, increasing the risk of a sharp jump in interest rates, and lowering confidence and certainty.

Several independent organizations have analyzed the budgetary effects of the current tax reform proposals, and they are unanimous in projecting that the legislation would add substantially to our national debt.

In her final press conference as chair of the Federal Reserve, Janet Yellen said that she was “personally concerned about the U.S. debt situation” and how it may limit the government’s ability to respond to future recessions.

Independent analyses agree unanimously that either bill would add significantly to the growing national debt.

The total cost of the Tax Cuts and Job Act is estimated to be $1.7 trillion between 2018 and 2027.

The statutory tax rate is the percentage imposed by law; the effective tax rate is the percentage of income actually paid by an individual or a company after taking into account tax breaks.

The bill as written would move up the date we return to trillion dollar deficits by two years, to 2020.

Lawmakers should pursue policies that don’t make our fiscal outlook even worse.

The federal budget deficit rose to $666 billion for fiscal year 2017 — an increase of around $80 billion from the previous year.