Max Baucus: “this issue is really quite simple. It is unfortunate that it has been confused by lots of statements, which are somewhat…”

“this issue is really quite simple. It is unfortunate that it has been confused by lots of statements, which are somewhat true but not entirely true. The goal here is to eliminate the marriage tax penalty. Remember, there is nothing in the code that we enacted to create the penalty. It was not an intentional act. It is just a consequence of the way the code has worked. It is a necessary consequence if we want to have progressive tax rates and also have the same taxation for American citizens with the same income. We also have to remind ourselves that there is a bonus in the Tax Code; that is, certain people who get married get a bonus. In fact, there are more taxpayers receiving a bonus than there are taxpayers who receive a penalty. That is indisputable. That is a solid fact. But we are here to try to find a way to help eliminate the marriage tax penalty for those who get a penalty as a consequence of getting married. There are two approaches here. One is the approach by the majority, and one is the approach by the Democratic side of the aisle. The majority eliminates only 3 of the 65 provisions in this code that create a penalty--only 3. The Democratic proposal eliminates them all, all 65. There is a big difference between the two. In the Democratic alternative, taxpayers have the right to choose. They can choose which way to file their taxes so it benefits them. On the majority side, the taxpayer does not have a choice. That is just the way it is.”