Conference Report on H.R. 1308, Working Families Tax Relief Act of 2004

CONFERENCE REPORT ON H.R. 1308, WORKING FAMILIES TAX RELIEF ACT OF 2004 -- (House of Representatives - September 23, 2004)

Mr. REYNOLDS. Mr. Speaker, by direction of the Committee on Rules, I call up House Resolution 794 and ask for its immediate consideration.

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Ms. DeLAURO. Mr. Speaker, today we prepare to pass what this majority has called "The All American Tax Relief Act." But that name masks the fact that the Republicans are, in fact, increasing the taxes on 4 million working Americans. If I could make reference to the prior speaker, these are 4 million people who are getting their taxes increased. Because the House Republican leadership refused to lower the income threshold for the child tax credit, 9 million children are being deliberately left out of the tax relief that is included in this legislation. This is the story.

The eligibility level for the child tax credit will rise to $11,000 next year. So a family making $10,000, that qualifies now will be in for a rude awakening on April 15. They will not qualify. And because household income has actually declined by more than $1,500 under this administration, many families whose income taxes have gone down in the last 4 years will see their child tax credit shrink or even disappear next year because of this bill. So much for no new taxes.

And the Republican leadership has demonstrated the depth of their disdain for these families, saying that the child tax credit is not intended to serve as a "welfare program." But these families are not on welfare. They work hard. They earn the minimum wage. And I would challenge any Member of this body to raise a family earning the minimum wage. It is just about impossible. As a matter of fact, this body voted itself a raise in salary just not a week ago.

Righting this injustice would cost about $4.3 billion, a little more than a third of the cost of the $12 billion in tax breaks for big businesses in this bill.

This very morning, The Wall Street Journal, the article on page 2, some top companies avoided Federal income tax under Bush. So much for the people being able to get a break. It would appear that the friends of the administration, the large corporations are getting a break. Eighty-two of the country's largest profitable corporations have paid no Federal income tax in at least one of the last 3 years. Yet this Republican leadership saw fit to give them more tax breaks while raising taxes on minimum wage families and middle class families.

What this administration does is reward wealth and it taxes wages. So this is the All American Tax Relief. Eighty-two of our most profitable corporations, companies like Enron, pay nothing in income tax. Twelve billion dollars in tax breaks at the last minute for businesses. Nine million children are left out in the cold.

I want to remind this majority, those children are every bit as American as the rest. They deserve better than this tax.

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