As Congress turns its attention to tax reform, Iowans should be aware of two areas in which the success of tax reform will hinge upon.
The first area is the legislative process that will be used to pass tax reform. Senate Majority Leader Mitch McConnell on Aug. 1 stated his intention to use a process called reconciliation to pass tax reform on a simple party line vote. This would be a mistake. The result would likely be a repeat of the contentious, divisive and ultimately legislatively unsuccessful process that just took place around health care reform.
The second area is whether tax reform gives tax cuts to the wealthy. Several tax reform proposals from the Trump administration, including eliminating the estates tax and alternative minimum tax and lowering the capital gains tax rate, would result in concentrating more wealth in the hands of members of our society who are already extremely wealthy. Providing tax cuts to those who do not need them is not a justifiable reason to increase our country’s national debt.
I urge my fellow Iowans to contact their senators and representatives in Congress to ensure a bipartisan and responsible overhaul of the United States’ tax code.