For Immediate Release:
WASHINGTON, D.C., March 9, 2015 – The below letter was sent today to the Chairmen of the Senate Finance Committee’s individual income tax and business income tax working groups The letter urges them to draft and pass comprehensive revenue-neutral tax reform this year.
March 9, 2015
Dear Sens. Thune, Cardin, Grassley, Enzi and Stabenow:
The Coalition for Fair Effective Tax Rates is eager to work with you on tax reform. As your working groups begin meeting to discuss potential legislation, we urge you to place comprehensive, revenue-neutral tax reform among your top priorities. America needs to fix its convoluted Tax Code in order to grow our economy and create more jobs.
The Coalition believes that a comprehensive approach must be taken to correct the many flaws in our broken federal income tax. By this we mean that the tax system needs to be simplified and the tax base should be broadened. In addition, tax rates should be lowered for both corporations and for businesses that pay taxes through the individual rate system.
Please allow us to repeat the last point for emphasis: True reform needs to address the tax laws that impact both corporations and the many “pass-through” entities that use individual tax rates. Repairing the tax system of one without the other would be unfair and incomplete.
The current Tax Code is needlessly complicated and unfair. Large disparities exist between industries in the amount of taxes they pay – their effective tax rates. For this reason, the Coalition strongly believes that tax reform should be viewed through the lens of effective tax rates. Successful reform should be measured by lawmakers’ ability to reduce these discrepancies and create a more level playing field for all businesses of all sizes across all sectors.
The Coalition for Fair Effective Tax Rates is a diverse group of national, regional and state associations representing more than 1,500,000 businesses, of varying sizes, which support comprehensive tax reform. Thank you in advance for pressing ahead with tax reform and remembering to keep your focus on effective tax rates, the amount businesses actually pay in taxes.
We look forward to working with you to develop and eventually approve comprehensive, revenue-neutral tax reform this Congress.
Management Committee, Coalition for Fair Effective Tax Rates
National Federation of Independent Business, Co-chair
Retail Industry Leaders Association, Co-chair
Associated Builders & Contractors
Associated General Contractors
International Foodservice Distributors Association
International Franchise Association
National Association of Wholesaler-Distributors
Small Business and Entrepreneurship Council
About the Coalition for Fair Effective Tax Rates:
The Coalition for Fair Effective Tax Rates is a diverse group of national, regional and state associations representing more than 1,500,000 businesses, both large and small, whose mission is to educate Congress and key stakeholders that tax reform should be viewed through the lens of effective tax rates, the amount of taxes businesses actually pay. The Coalition intends to use the metric of effective tax rates to bolster the case for comprehensive tax reform that broadens the tax base while lowering tax rates for corporations and pass-through businesses that pay taxes using individual tax rates. More information about the coalition is available at http://www.faireffectivetaxrates.com/.