New CBO report details dire circumstances of non-action
Washington, D.C. - Congressman Dave Loebsack made the following statement today after the nonpartisan Congressional Budget Office (CBO) released a report that details the effects of Congress failing to pass tax and budget policies by the end of the year. The report stated that Congress' inaction would throw the economy into recession and drive up unemployment rates by the end of 2013.
Earlier this month, Loebsack introduced the Middle Class and Small Business Tax Relief Act of 2012 to address a significant part of the so-called 'fiscal cliff' that the economy would go over if bipartisan, commonsense, compromise legislation is not passed and signed into law by the end of the year.
"The release of today's report underscores the urgent need for the real action that I have been calling for. We've seen time and again that kicking the can down the road and playing political games doesn't work for Iowans. Commonsense, fiscally responsible tax cuts for middle- and low-income families, small businesses, and family farms, all of which are key to our economic recovery, must be passed.
"Last year the economy was taken to the brink by a group in Washington that is more concerned about rigid ideology than people's jobs. We cannot allow our economy to be held hostage once again. From tax cuts to stopping the automatic, arbitrary cuts that were created as a political gimmick, Iowans can't afford more Washington politics as usual. That's why I've introduced an initiative to allow these folks to keep their tax cut. That's also why I've repeatedly called on Congress to end its undeserved vacation and work every day until these and the many other pressing issues facing Iowans are addressed. I continue to stand ready to work with anyone who will put people before politics and support a commonsense compromise to get these tax cuts done; stop the arbitrary cuts; boost the economy; and responsibly reduce the deficit.
Loebsack's Middle Class and Small Business Tax Relief Act of 2012 extends tax cuts for married joint filers making up to $250,000 and individual filers making up to $200,000. The legislation also includes an exemption for small businesses and family farms.
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