WASHINGTON, DC -- Today, Congressman Mike Michaud voted to support extending tax cuts for the middle class (H.R. 15) and against extending tax cuts on income over $200,000 for individuals and $250,000 for couples (H.R. 8).
"Extending tax cuts for the middle class is something Democrats and Republicans agree on," said Michaud. "Instead of moving this forward, we have a gridlocked Congress with one chamber pitted against the other. American families and our businesses want this standoff ended so they can have some bit of certainty about their economic future."
H.R. 8 does not extend the improvements made in the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) in 2009. According to a report done by the Citizens for Tax Justice, H.R. 8 extends tax cuts for 2.7 million high earners while ending tax breaks for 13 million working families with 26 million children. In Maine, 35,042 families with 64,730 children would lose a total of $21.5 million due to these provisions expiring. The average loss per family would be $613.
In addition, a new report by the Center for American Progress details how H.R. 8 negatively impacts active duty servicemembers. H.R. 8 also fails to extend the American Opportunity Tax Credit for higher education expenses, which 35,000 Mainers used in 2011.
"Raising taxes on our servicemembers, students, and thousands of lower income Mainers is just plain wrong, especially at a time when so many families are struggling to make ends meet," said Michaud. "The fact that congressional leaders are taking these actions while providing tax breaks to the top 2 percent of earners shows how off base their priorities are right now. Congress would do well to listen to the American people on this issue."