Washington, D.C. – Following a much anticipated tax vote, Congressman Dan Lungren, who represents California’s 3rd District, including Amador County, explained in a release why he supported the legislation.

He said he supported the December 16th bill “because it will prevent the government from claiming a larger share of your income essentially preventing a job-killing, $624 billion tax increase on all Americans during a recession.”

He said: “The enactment of the tax bill agreement should be seen as but the first step in working to improve the economic well being of our nation’s families and small businesses.”

Lungren said: “Preventing scheduled tax increases on January 1st is not a tax cut,” but is merely allowing people “to keep income that was scheduled to be sent to the IRS had we failed to take legislative action to stop it.”

He said “pro-growth policies and serious action by the new Congress to reduce federal spending are both necessary to the creation of a fiscal environment that is consistent with sustained economic recovery.”

Lungren said: “It is not the government’s money, and the attempt to let taxes automatically rise was simply a version of fiscal sleight of hand.”

He said “there are provisions in the tax agreement which I would not have included,” but “we must not allow the perfect to be the enemy of the good.” He said spending in the bill such as ethanol subsidies “are simply pork,” and he believes that “any extension of unemployment benefits should be paid for with reduced spending.” He said while some “suggested that we could have gotten a better deal if we had waited until the new Congress is sworn in, there is no assurance of this.” Lungren said “both the Senate and the White House would certainly fight any attempts to expand pro-growth tax policy. A continued struggle might continue for months.”

Lungren said “increased withholding taxes would have begun at the turn of the New Year.” He said at a time when our economic recovery remains fragile, imposing a new tax burden on individuals and businesses could stifle growth or even threaten a double dip recession.”

Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.