House Debates Fixing the AMT

The House is debating the Temporary Tax Relief Act of 2007, H.R. 3996, which would provide millions of middle-class families with tax cuts and help grow our economy without increasing the national debt. The Temporary Tax Relief Act will provide immediate tax relief for working families by preventing 23 million middle class families from paying higher taxes this April. The legislation also closes unfair tax loopholes that benefit Wall Street millionaires and cost middle class taxpayers billions.

Chairman Charlie Rangel of the Ways and Means Committee, as well as Reps. Jim McGovern (MA-03) and Lloyd Doggett (TX-25) spoke during debate on the rule, which has just passed allowing debate on the bill itself.

Chairman Rangel: "The President realizes we should eliminate this, he hasn't given us a plan, an idea, a thought, just get rid of it... Common logic would dictate that if we do get rid of the AMT, which is the right thing to do, that we will lose $50 billion from the budget... One of the things we could do is cut spending by what? $50 billion. Another thing we could do is say forget about it. We did it before with the tax cut, just borrow the money. Just borrow $50 billion... Or we could say the responsible thing to do is raise the additional revenue."

Extended transcript:

"The President realizes we should eliminate this, he hasn't given us a plan, an idea, a thought, just get rid of it... Common logic would dictate that if we do get rid of the AMT, which is the right thing to do, that we will lose $50 billion from the budget... One of the things we could do is cut spending by what? $50 billion. Another thing we could do is say forget about it. We did it before with the tax cut, just borrow the money. Just borrow $50 billion... Or we could say the responsible thing to do is raise the additional revenue. Standing by itself, forgetting the fact that it's a pay-for, who in the world would believe that it's fair for corporations and partnerships to be doing the same work, managing other people's money, being successful, making this great contribution to society except one group pays 15% because of their creative imagination that their work is really capital when they take no risks, and the others get 35%. Fairness dictates this is not a tax increase, this is a closing of a loophole and you should be proud to participate in that."

Rep. Doggett: "We're hearing the same old tired Republican borrow-and-spend rhetoric. They're all for our middle-class tax relief and extension of important tax incentives, they just don't want to pay for it. They'd rather borrow from our grandchildren. Borrow it, you'll like it... A vote for this bill today is a vote for middle class tax relief and it is also a long overdue vote to repudiate this Republican fantasy."

Extended transcript:

"We're hearing the same old tired Republican borrow-and-spend rhetoric. They're all for our middle-class tax relief and extension of important tax incentives, they just don't want to pay for it. They'd rather borrow from our grandchildren. Borrow it, you'll like it... Over the last seven years, no one in this country has spoken louder about fiscal responsibility and cutting spending than President Bush, and no one in this country has done less about it. Oh, 'Rip Van' Bush, he snoozed while the spending soared. And he just borrowed more and more with a happy face toward our children. Today we Democrats fulfill our pledge to stop making things worse and eventually to be able to turn them around. A vote for this bill today is a vote for middle class tax relief and it is also a long overdue vote to repudiate this Republican fantasy."

Rep. McGovern: "Mr. Speaker, I have two kids, a 9-year-old son and a 6-year-old daughter. I don't want to leave them with a future in which they have to pay for all of the mistakes and all of the mismanagement of my generation. The Republicans want to have it in a way that they can do things and not pay for anything. We have a war in Iraq, it's not paid for. Doesn't bother them in the least. Their prescription for health care is take two tax breaks and call me in the morning. It doesn't bother them in the least that the bill is going to be paid for by our kids and our grandkids."

Extended transcript:

"Mr. Speaker, I have two kids, a 9-year-old son and a 6-year-old daughter. I don't want to leave them with a future in which they have to pay for all of the mistakes and all of the mismanagement of my generation. The Republicans want to have it in a way that they can do things and not pay for anything. We have a war in Iraq, it's not paid for. Doesn't bother them in the least. Their prescription for health care is take two tax breaks and call me in the morning. It doesn't bother them in the least that the bill is going to be paid for by our kids and our grandkids. Tax cuts for the rich, again, put it on the backs of our kids and our grandkids. Mr. Speaker, that is irresponsible. Our nation is currently burdened with over $9 trillion of national debt, $9 trillion. The average daily interest accruing on this debt exceeds $1 billion. Each american's share of this debt is more than $30,000. We cannot afford to keep taking on this additional debt. When the Democrats regained control of the Congress, we instituted pay-go rules, pay-as-you-go..."