State of the Union 2012 – A Glimmer of Hope for Tax Reform
Last night, President Obama delivered his annual State of the Union address to Congress with no shortage of proposals designed to continue to spur economic confidence and growth. While many of the specifics of his proposals will be laid out over the coming weeks, I was pleased to hear several overtures to take the tax reform bull by the horns and make real progress while recognizing the needs of our hardest working taxpaying families.
The President’s speech emphasized fairness, and I look forward to seeing how the optimism expressed for our economy last night will be translated into honest reform.
Among the specifics to watch for:
- An extension of the American Opportunity Tax Credit, created under ARRA, set to expire at the end of 2012
- Putting the “Buffet Rule” into action requiring millionaires to pay at least a 30 percent tax rate on income
- Similarly, reform the corporate code requiring a minimum tax for multinational corporations while providing credits and deductions for those companies returning jobs to and increasing production in the U.S.
- Assurances of not raising taxes on the 98 percent of Americans earning less than $250,000 per year
The State of the Union address is simply a rough blueprint of what’s to come from the administration. As details emerge for the better or worse, NCTC will continue to monitor and respond to ensure that the interests of low- and moderate-income taxpayers heard and protected in any reform proposal.
For the full text of the 2012 State of the Union address, please visit http://www.whitehouse.gov/the-press-office/2012/01/24/remarks-president-state-union-address.
By Holden Weisman, Policy Analyst