|Tax Hikes Aren’t Common Ground|
|The day after the election, we warned that abandoning our conservative principles would condemn America to a future of managed decline. Two weeks later, our fears are confirmed: in an effort to avoid the so-called fiscal cliff, many lawmakers appear willing to abandon their promise not to raise taxes.
Rather than give in to President Obama’s divisive rhetoric, lawmakers must understand the lack of tax revenue is not our nation’s problem. Revenues will return to normal as the economy improves, something that will be made even more difficult if politicians agree to a tax increase. As The Heritage Foundation’s JD Foster explains, “Spending and spending alone – both the Obama spending surge and the entitlement wave now building – produces these deficits.”
After Congressional Republicans put “revenue,” i.e. taxes, on the table, President Obama called for a $1.6 trillion tax increase. Over the weekend, Nancy Pelosi made clear simply “clos[ing] loopholes is far too little money.” Pelosi added that tax rates must go up.
For their part, Senate Democrats are demanding a new round of “investment,” i.e. stimulus, for roads and education. At the same time, labor leaders have demanded, and liberals in Congress have agreed, serious entitlement reform must be off the table.
Higher taxes and more spending is not the recipe for American success. Indeed, it is just the opposite: a smaller, less expensive and less expansive government will unleash the entrepreneurial spirit that built our great nation.
In this lame duck Congress, we cannot allow Washington to raise our taxes.
Michael A. Needham