We are writing to ask Rep. Scott Tipton to support, without delay, the extension of tax cuts for the middle class. We need to deal with our budget deficit in a reasoned and equitable manner, however, using middle class tax relief as leverage for negotiations on other revenue and expenditure polices is not beneficial to our immediate need to maintain the recovery.
We agree with House Republican Tom Cole that tax cuts for middle income wage earners should be extended immediately. In fact, the majority of American voters support this position.
The facts are clear, the nonpartisan Congressional Budget Office (CBO) has determined that extending the middle class tax cuts for households earning less than $250,000 a year would boost Gross Domestic Product, GDP, by 1.3% next year and increase employment by 1.6 million jobs. The CBO also reports that extending tax cuts for the top 2% of Americans would generate a paltry 0.1% change in GDP. Even more alarming, extending tax cuts for the top 2% would add over $950 billion to the nation's debt over the next 10 years. Citizens can check the facts for themselves at: www.cbo.gov/publication/43694.
Rep. Tipton, please work with your colleague Tom Cole and make the middle class tax cuts permanent before Christmas recess. As your constituents, we are asking you to stop using tax relief for hard-working Americans who have lost homes and jobs as leverage for tax cuts on those who have done very well during this massive recession. Decouple the two tax policies now and keep $2,200 in our pocket.
I can guarantee you; we will spend that money to stimulate the economy by shopping at local, truly small businesses in Palisade.
Maggie and Steve Denney