Editorial: Congress taxes our patience
The U.S. Capitol in Washington (April 7, 2012) Credit: AP
As millions of Americans take part in the nation's annual tax-filing ritual today, Congress has taxes on its agenda too. But when all is said and done this week in Washington, there will be a lot more said than done as elected officials jockey for advantage on this key election issue.
The U.S. Senate debated the "Buffett rule," which would impose a 30 percent minimum tax on income of more than $1 million a year. President Barack Obama and his fellow Democrats have championed the rule as tax fairness, noting the current system sometimes imposes higher tax rates on middle-income workers than it does on members of that exclusive million-dollar club.
But the Buffett rule is mostly symbolic. It would raise $4 billion a year, a pittance with budget deficits topping $1 trillion a year.
The House of Representatives will debate the budget plan from Rep. Paul Ryan (R-Wis.) that, like most comprehensive tax reform proposals, calls for lowering rates, closing loopholes and scaling back popular deductions. Done right, that formula would simplify the federal income-tax code, which needs it badly, and raise revenue that, paired with spending cuts, would shrink federal deficits.
But the Ryan budget is all candy and no medicine. The Republicans promise lower taxes but offer no specifics about which deductions to eliminate or programs to cut to balance the books.
Congress is talking the talk on taxes. But taxpayers are walking the walk.
