Feeney Strives for a Flat Income Tax

Representative Tom Feeney was previously Speaker of the Florida House of Representatives he is currently the representative of the 24th District of Florida. He is known as "Taxpayer Superhero" and "Taxpayers' Friend" by the Citizens Against Government Waste and the National Taxpayers Union respectively.

Since the enactment of tax relief plans from 2001 to 2005, we have seen dramatic improvements in the economy as well as tax receipts. According to the U.S. Department of Treasury, Americans have witnessed an extraordinary 3.3 percent growth average, created 7.5 million new jobs, and have held the unemployment rate below its average of the last three decades. American families are bringing in real after-tax incomes which are over ten percent higher since December 2000.

Hardworking taxpayers are taking home more of their hard earned money and have invested it back into the economy. The result: tax receipts are up and the deficit is down. In fact, tax receipts are up a total of $1.042 trillion in fiscal 2007 through August. That is a 12 percent increase from the same period in 2006. Corporate tax receipts are up as well, $293.52 billion for the first 11 months of fiscal 2007 which is a 9 percent increase from that period during 2006. This has resulted in a decline in the deficit of 9.8 percent for the first 11 month of fiscal 2007.

There are disturbing items on the current Congressional agenda which will come at a high price for seniors and hardworking American families. Programs such as SCHIP, a so-called children's health insurance program has close to a $50 billion price tag over 5 years. That has tacked on taxes to tobacco merchants that would total $53 billion. The SCHIP health care legislation that I voted against would have been paid for by cutting at least $194 billion in Medicare spending, specifically for the 30,623 seniors in my district who are enrolled in a Medicare Advantage Program. Moreover, this legislation would have created a new entitlement program that would be available to large numbers of illegal immigrants.

The expansion of Terrorism Risk Insurance (TRIA), which has an estimated cost to taxpayers close to $9 billion over nine years, unless the event is worse than estimated, was originally a 3 year short-term stop gap program in the wake of 9/11. However, it has now been increased to a 15 year program with hardworking taxpayers taking on the risk instead of the insurance companies holding the policies.

Even when a program is fundamentally good in principle, the tax increases that are tacked on will have a crippling affect on the economy if implemented. The United States is currently struggling to retain its preeminence in the global capital markets through overly burdensome regulation such as Sarbanes-Oxley Section 404. We are also currently facing a shortage in credit due to a rapidly declining mortgage market. Why would we compound these problems by adding overly burdensome tax increases on top of the expiration of tax cuts that are rapidly approaching?

I am committed to finding fiscally responsible ways to tackle the challenges facing our economy. Florida is currently facing many economic hurdles from the housing market to disaster insurance. It is important to find a resolution that encourages personal responsibility with realistic reforms of current law. I have introduced legislation, along with Rep. Debbie Wasserman-Shultz (D-FL) that would allow individuals to open Catastrophe Savings Accounts (CSA's). Very similar to Health Savings Accounts (HSA's), CSA's would allow individuals to put pre-tax dollars into an account that would grow tax free to be used towards disaster related expenses.

No problem has a single, one size fits all solution, but it should be the government's goal to exhaust all options before turning to the taxpayers pockets for a fix. Great tax relief removes barriers to economic growth and prosperity that confers greater independence and dignity to all Americans and generates resources to help protect America from its national security threats.

Responsible budget practices include tax relief for individuals and families. This would include elimination or reform of the AMT, permitting investing a portion of Social Security contributions into private accounts, and full repeal of the death tax. Ultimately, I strive for a flat income tax or the fair tax.

These actions, combined with responsible spending discipline would result in a balance budget, declining deficit, and robust economy. Common sense spending should resemble your family or business budget. You work hard for your money and sadly are forced to send some of it to Washington. In turn, you should be able to trust your elected officials to spend your hard earned dollars responsibly and in a transparent, honest manner.