Elizabeth Dole on Tax Reform

Flat tax “a disaster” for charitable groups Dole said that a flat tax or single-rate income tax would be a “disaster” for charitable groups and home owners. “In terms of a flat tax just having left the Red Cross, let me tell you that would be a disaster for humanitarian organizations without that charitable deduction - and a lot of home owners without that mortgage deduction as well,” Dole told reporters. “You can go to a simpler, fairer system but not to an absolutely flat system,” she said. Source: Kevin Landrigan, Nashua Telegraph Aug 22, 1999

End marriage penalty; more R&D credit; no new taxes

  • Dole said her tax plan would include some provisions of the $792 billion tax cut that the Congress approved last week, including:
  • · Marriage penalty: increase the exemptions for a married couple
  • · Health insurance: allow small-business owners to fully deduct all premiums
  • Estate taxes: repeal the inheritance tax for those who own a small business
  • · Research and development tax credit: make it permanent.
  • · Dole has signed a pledge to veto any increase in federal income tax rates. Source: Kevin Landrigan, Nashua Telegraph Aug 22, 1999

Dole calls on Clinton to sign tax relief into law Dole today issued the following statement concerning the $700 billion tax relief plan: “The American people deserve to keep more of their hard-earned money and President Clinton should sign this measure into law. The tax burden is at a fifty-year high and I believe it’s wrong to keep taxes at this level. It’s right to let people keep more of the money they make. Unless Clinton wants to be known as the President who perpetuated the marriage penalty, he should sign this tax relief plan into law.” Source: “Campaign News” Aug 4, 1999

Tax cuts are top priority; eliminate marriage penalty Dole said that tax cuts must be a top priority for presidential hopefuls, but she also called for more government spending in several areas, including defense and crime fighting. Dole said she wants to eliminate the so-called marriage penalty tax structure that causes some married couples to pay more in taxes than people who are single. Source: Mary Neubauer, Associated Press Jul 12, 1999

Allow self-employed to deduct health costs Dole proposes an immediate 100% tax deduction for the amount of money farmers and other self-employed individuals are allowed to deduct for their health insurance premiums. Corporations are permitted to deduct 100% of the health insurance premiums they pay for their employees. This change would help family farmers receive health insurance and it will put family farmers on a level playing field with corporate farmers. Source: “Campaign News” Jun 12, 1999

End death taxes on family farms Dole’s farm program proposes the complete elimination of the federal death tax on family farms. Abolition of “death taxes” for farmers would protect farmers so they are not forced to sell their land to pay federal estate taxes, which can reach 55% of an estate’s value. In addition to allowing farmers to keep their land in the family, this provision will help protect the environment and maintain open spaces in western states where farmland, once sold, is often converted into ranchettes and condos. Source: “Campaign News” Jun 12, 1999

Tax rates are at all-time highs, yet budget adds taxes Today’s families are paying an average of 40 percent of their hard-earned dollars in taxes. People are working five months a year just to pay their taxes. Last year, federal receipts - income, social security, excise and other taxes - totaled 20.5% of the gross domestic product. 1998 taxes were a larger percentage of GDP than at any time since 1944.[If that budget is passed], the share of the nation’s resources claimed by the federal government will remain at historic levels. Source: Remarks to the Detroit Economic Club, 29 April 1999 Apr 29, 1999

Unfunded mandates cost $700 billion annually Nearly 12% of municipal revenue is spent meeting unfunded mandates imposed by the federal government. County governments spent more than $16 billion on environmental mandates between 1994 and 1998. The federal government may have passed the buck to somebody else’s budget - but it all comes out of our pockets in the end. All told, complying with government regulations costs Americans some $700 billion a year - an invisible “tax bill” often concealed in the price of goods and services. Source: Remarks to the Detroit Economic Club, 29 April 1999 Apr 29, 1999

Cut the tax burden on Americans Today our taxes have reached the highest percentage of gross domestic product in 50 years. The average American family spends 40 percent of its income just paying the tax bill. According to the Tax Foundation, that means the family spent more than 5 months in 1998 working for the government -- in federal, state and local taxes combined. Source: Exploratory Committee Launch: March 10, 1999 Mar 10, 1999