Mike Levin: “I oppose the Republican marriage penalty tax reform proposal and support the Democratic alternative for three simple…”

“I oppose the Republican marriage penalty tax reform proposal and support the Democratic alternative for three simple reasons: the Democratic alternative is targeted, provides comprehensive relief, and is fiscally responsible, and the Republican plan is not. First, the Democratic relief plan is targeted: It confers 100% of its benefits on couples suffering a marriage penalty--when two individuals pay more in income taxes as a married couple, filing jointly than they would if they remained single. The Republican plan confers only 40 percent of its benefits to taxpayers who currently suffer a penalty. Of the remaining benefits, 37 percent go to couples currently receiving a marriage bonus--when two individuals pay less in income taxes as a married couple, filing jointly than they would if they remained single. So the Republican plan is effectively a singles penalty bill. Second, the Democratic relief plan is comprehensive: There are 65 areas of the tax code where a marriage penalty occurs--from the standard deduction to the earned income tax credit. The Democratic plan addresses all of them. In fact it completely eliminates the penalty--in all its forms--for couples earning up to $100,000, 80% of all married couples. The Republican plan addresses only 3 of the 65 places in the tax code where the marriage penalty occurs--it doesn't address the other 62. So the Republican plan provides inadequate, incomplete relief.”