Peterson Foundation Statement on Tax Legislation Advancing Through Congress
Peterson Foundation Statement on Tax Legislation Advancing Through Congress
NEW YORK — Michael A. Peterson, President and CEO of the Peter G. Peterson Foundation, commented today on tax legislation that has passed the full House of Representatives and the Senate Finance Committee. Peterson said:
“This tax legislation is increasingly irresponsible from a fiscal standpoint. The House and Senate have added budgetary gimmicks that hide the true cost of the bill and diminish its effectiveness in growing the economy.
“Our tax code needs simplification, but arbitrary phase-ins and expirations add complexity and obscure the full impact to our national debt. Temporary provisions that sunset early simply push off hard decisions and set up future Congresses to increase deficits further.
“And certainty is a critical factor in making reforms pro-growth. If tax changes aren’t permanent, businesses and families can’t plan and invest for the future, so the benefit to the economy is diminished.
“It’s also unfortunate that both the House and the Senate are moving forward without bipartisan support. Lawmakers should work across party lines on fiscally responsible tax reform, free of budget gimmicks, that grows the economy, not the debt.”
Further Reading
The U.S. Dollar Is the World’s Reserve Currency. Why Does That Matter?
The country’s unsustainable fiscal outlook threatens to diminish the dollar’s standing, which would have damaging fiscal and economic consequences for the United States.
Delaying Fiscal Reform is Costly, Annual Treasury Report Warns
The Treasury projects that debt as a percentage of GDP will grow to more than five times the size of the U.S. economy in the next 75 years.
Senators We Elect in 2026 Will Have to Deal with Automatic Social Security Cuts
Without congressional action within the next six years, millions of Social Security recipients will face an automatic benefit cut of approximately 22 percent.