10th District, Dold for Congress: We Can Do Better

From the Dold for Congress campaign (10th District)…

It is once again Federal income tax season in the United States and this April is a reminder of the problems we face. For a large number of Americans, 2009 represented a year during which many made less than in previous years compared to their expenses. Yet we worked harder than ever and made sacrifices to meet the obligations of both our families and our nation. But those in Washington, DC who are charged as responsible custodians of our tax dollars have not met our sacrifice with the same diligence and seem disconnected from the reality of what it takes to earn those dollars. We now find ourselves facing the reality that we may be the first generation of Americans who leave to our children a country worse off than the one we inherited. We cannot and will not accept this. We can do better.

It is simply common sense that we need to spend less than we earn. We save for our families and in our businesses to invest in our future. But that’s not how business is done in Washington. It is estimated that in 2009 the federal government spent some $3.5 trillion, while taking in some $2.1 trillion in taxes. The federal government spent $1.67 for every dollar it collected. Washington spends at a rate that requires a 67% increase in taxes if Congress were to balance the Nation’s budget in the same way as we do for our households or businesses. In reality, Washington is spending at a rate that requires borrowing the difference between taxes and expenditures, committing Americans to pay interest in the future on this debt. The interest on this borrowing is simply a hidden tax on all Americans. Washington politicians hide this tax, because they understand that it is simply unacceptable to raise taxes at the rates sufficient to support their spending. This is unsustainable. We can do better.

As a small business owner, I understand the need to save and invest for the future. We must continue to make prudent investments to ensure that future generations will continue to benefit from the opportunities available in a prosperous nation. In 2010 the federal government will need to sell $1 trillion worth of bonds to finance the annual deficit. Over time, the hard-earned savings of the prudent – who have invested for the future – will be taxed in order to repay the mounting public debt. Raising income taxes alone will not be sufficient. This profligate spending must end. We can do better.

Lower taxes and more predictable regulations will give businesses the confidence that they need to invest in workers and capital. We need to lower the corporate tax rate, eliminate the Alternative Minimum Tax and the death tax, keep the capital gains tax rate low, and ensure that the tax code encourages, not discourages, Americans to save. There is a better way to a brighter future. Let’s get back to work and bring common sense back to Washington.

www.doldforcongress.com

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