| Joint Select Committee on Deficit Reduction:
Hensarling (TX) co-chair, Toomey (PA), Upton (MI),
Kyl (AZ), Camp (TX), Sen. Portman (OH),
Murray (WA) co-chair, Kerry (MA), Baucus (MT),
Clyburn (SC), Becerra (CA), Van Hollen (MD)
The after-tax income of the top 1% of US Households has almost quadrupled since 1979. Meanwhile those at the bottom experienced an 18% increased according to the Congressional Budget Office.
Accordingly 68% of Americans are asking the richest to do their fair share and pay an extra couple of percent on their marginal tax rate for their income beyond $1,000,000. Nevertheless, the Republicans on the “Supercommittee” charged with reducing the deficit are intransigent. They have signed Grover Norquist pledge to never increase taxes and want to balance the budget by cutting expenses. This puts onus largely on the backs of the working poor who will suffer the most from reductions in social security and other entitlements.
However, the Republicans did offer a token compromise. Yesterday, they offered to eliminate certain deductions. Millionaires would no longer be able to write off interest paid for their yacht or summer home.
However, in exchange they want to make the Bush tax cuts permanent and expand them, slashing one-fifth of the income tax for millionaires by reducing the top rate from 35% to 28%.
That’s not tax reform.