Peterson Foundation Statement on Passage of Senate Tax Bill

NEW YORK — Michael A. Peterson, President and CEO of the Peter G. Peterson Foundation, commented today on Senate passage of tax legislation. Peterson said:
“The Senate has squandered an opportunity to pass fiscally responsible tax reform. There are no credible estimates to show that this bill comes close to paying for itself, even when adding in economic feedback. Further, a number of major provisions are not permanent and the bill includes fiscal gimmicks that hide its true cost.
“Our national debt recently reached $20 trillion, and we are on track to add $10 trillion more over the next decade. With this fiscal outlook, the last thing we need is to pass legislation that makes matters worse.
“It is unfortunate that fiscal concerns have been cast aside in favor of passing the cost on to future generations. As lawmakers reconcile differences between the House and Senate versions, they still have an opportunity to improve the fiscal impact of this bill.”
Further Reading
Budget Resolution Relies on Overly Optimistic Assumptions About Discretionary Spending
Future discretionary spending cuts, which cannot technically be included in reconciliation bills, are difficult to achieve as credible offsets.
Top 10 Reasons Why the National Debt Matters
At $36 trillion and rising, the national debt threatens America’s economic future. Here are the top ten reasons why the national debt matters.
What Are Refundable Tax Credits?
The cost of refundable tax credits has grown over the past several years, with the number and budgetary impact of the credits increasing.