Editor’s note: This op-ed is by Ron Pulcer of Rutland Town.
The Bush Tax Cuts are set to expire after Dec. 31, 2010, and Congress must decide what to do. Given the Great Recession and the recent “shellacking” election, chances are these tax cuts will remain in place to some extent. I have a suggestion for another approach to tax cuts and dealing with our country’s federal debt: Ask the American people if they are willing and able to help out.
The so-called Bush Tax Cuts were actually embodied in two separate bills, which President George W. Bush signed. The Republican-controlled 107th Congress passed the “Economic Growth and Tax Relief Reconciliation Act of 2001” (EGTRRA) (http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=107_cong_public_laws&docid=f:publ016.107.pdf). The Republican-controlled 108th Congress also passed the “Jobs and Growth Tax Relief Reconciliation Act of 2003” (JGTRRA) (http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=108_cong_public_laws&docid=f:publ027.108.pdf). Both laws are to sunset after 2010.
Notice the timing of these bills: EGTRRA (BTC #1) became law two months and four days before the 9/11 attacks. JGTRRA (BTC #2) was signed into law two months and eight days after the March 20, 2003 invasion of Iraq.
President Bush and prior Congresses never asked the American people for “shared sacrifice” for the Wars in Afghanistan and Iraq. This approach was taken during World War II (war bonds, victory gardens, recycling metals). After 9/11 when the War in Afghanistan began, President Bush and Republican leaders decided to “stay the course” in terms of the Bush Tax Cut #1 law. For what appears to be the first time in American history, our country continued to cut taxes while fighting a war.
If the American people had known the result of the Bush Tax Cuts and the War of Choice (Iraq) would be higher prices and more federal debt, would they have really wanted it? We were never asked. We were never encouraged to “share the sacrifice”.
Republican leaders passed the Bush Tax Cuts without asking the American people if they even really wanted it. We later learned about the Walter Reed Hospital scandal, and that many soldiers were without proper equipment in Iraq, possibly because the federal government was already in too much debt to properly fund these items. Anyone watching C-SPAN hearings would have eventually heard about some war contractors (profiteers) ripping off the American Taxpayer.
Throughout President Bush’s time in office, the War in Iraq was “off the books”; not in the Pentagon’s operating budget, but instead funded via emergency and supplemental spending. When President Obama and the current Democratic-controlled 111th Congress responsibly put this spending back in the federal budget, the deficit appeared to “suddenly mushroom.” How many angry Tea-Party folks are even aware of this?
As a middle-class taxpayer who received a relatively small amount of the so-called “Bush Tax Cuts”, my tax savings were more than offset by higher gasoline prices, higher food prices and higher healthcare costs. If the American people had known the result of the Bush Tax Cuts and the War of Choice (Iraq) would be higher prices and more federal debt, would they have really wanted it? We were never asked. We were never encouraged to “share the sacrifice”. Only military members and their families are making this sacrifice. The oldest son of one my cousins served in Iraq and elsewhere during this past decade. He continues to serve in the military.
Here is my suggestion: Replace a question on the IRS Form 1040. Every year, Form 1040 asks us: “Presidential Election Campaign: Check here if you, or your spouse filing jointly, want $3 to go to this fund.” Every year, I leave that box unchecked, and I am tempted to yell in John Boehner-like fashion: “For even more negative ads? HELL NO!”
Replace that question on Form 1040 with, “Shared Sacrifice: Do you want $XX.xx (you decide) to go towards paying off our country’s federal debt?” Another option might be to put the question on the IRS W-4 Form, when you specify your withholding deductions.
Maybe a separate form could specify which budget area(s) you want your contribution to go to (i.e. debt reduction, Veteran’s healthcare, Veteran’s college education, equipment for soldiers, education, renewable energy, etc). This could be a “Citizen Earmark”, where “We the People” decide how to spend our money.
Even with extending the Bush Tax Cuts, this could provide a means for “shared sacrifice”.
I understand that some Americans today could not afford this optional extra amount, due to job loss or healthcare reasons. That is perfectly fine. Maybe for another year, it would work out for them
But if someone just doesn’t want to “share the sacrifice”, or is just being greedy, then they will be confronted with this question every tax year. This will also shine a light on the fact that earlier Republican leaders did not ask for shared sacrifice.
If such a question appeared on my Form 1040 or Form W-4, I would choose to “share the sacrifice” of our ongoing wars and our nation’s debt. I am fortunate and grateful to still be working at this time. I believe that many other Americans who love this country would also do the same thing. Congress just needs to ask the American people to help out.
As I wrote this, I realize that my suggestion might appear to be naïve. Especially given the recent tax evasion scandal of Rep. Charles Rangel (D-NY). Also, new Tea Party and Republican Congress members who oppose healthcare reform will soon be enjoying “taxpayer funded healthcare insurance”. Also, Alan Simpson, co-chair of the so-called Debt Commission, wants to cut our Social Security while also enjoying his own Congressional pension. Yes, hypocrisy abounds in both political parties.
But if citizens who are willing and able to help pay down the federal debt are asked, and have a chance for “citizen earmarks”, Americans might begin to get more involved and informed about our government. If so, maybe someday we will elect better politicians, and better people will run for office. I can only hope.
I have already e-mailed and phoned the offices of Sen. Leahy, Sen. Sanders, and Rep. Welch about this “Shared Sacrifice Question” on our IRS 1040 or W-4. If you are so inclined, I encourage you to do so as well.
