Study Calls GOP Tax Cut Plan "Fair
(CNSNews.com) - An independent study of the Republican tax cut plan indicates the package is "modest, balanced and fair," despite President Bill Clinton's promise to veto the bill when Congress sends it to the White House. Meanwhile, Clinton continues to garner criticism from Capitol Hill and at least one Republican governor.
The National Center for Policy Analysis reviewed the GOP tax rebate plan, calling it a "fair effort to give something back to those who are mainly responsible for the surplus - the taxpayers." On Saturday, Arizona Republican Governor Jane Hull lashed out at Clinton's vow to veto the tax relief bill.
House Speaker Dennis Hastert (R-IL) praised the NCPA study for validating what Republicans have been pushing as a tax plan working Americans deserve. Hastert said the NCPA study "concludes what we've been saying all along - because our tax relief package benefits all working Americans, it is the most modest, balanced and fair approach to putting more dollars into taxpayers' pockets."
Hastert points out that the NCPA study of the GOP tax package reveals the plan "disproportionately benefits lower-income workers more than higher-income taxpayers." The Speaker attributes the finding to the "across-the-board tax rate cut."
The NCPA study is another in a series of independent studies supporting the reduced tax rate plan which, over a ten-year period, reduces federal taxes by $792 billion. The Institute for Policy Innovation last week released a similar analysis which found such a plan would be a boost to the economy.
Hull, in a her radio address, dealt a blow to Clinton's veto vow, saying the president is "playing games with (taxpayer) money." Hull said Clinton "either has a deep-seated desire to increase government spending, or he just does not want to give the money back to the people who earned it in the first place."
The government would end up collecting more in tax revenue due to increased consumer spending if Clinton signs the tax relief bill, according to IPI. In a statement released Friday, the public policy group said, "Because of added growth generated by these tax cuts, the federal government would collect $260 billion more in income, payroll, excise and other tax revenues over the next ten years."
That report came on the heels of a Zogby International survey which found that nearly two-thirds of Americans believe they're over taxed.
During a speech to members of the Democratic National Committee meeting in New York, Clinton took a jab at Republicans. "Our friends in the other party, they say that all that's not attributable to Social Security taxes, we ought to give it back to you in a tax cut."
But later, Clinton discounted the notion of a tax rate reduction, maintaining that such a plan would endanger Social Security and other government programs.