House Republican Study Committee introduces new jobs plan

posted at 2:05 pm on November 2, 2011 by Tina Korbe

From the folks who brought you “Cut, Cap and Balance” comes a plan to create jobs by growing the economy — not the government. The Republican Study Committee this morning unveiled the Jobs Through Growth Act, a bill that incorporates tax reform, regulatory rollback and boosts to energy production. The legislation builds upon the past work of House Republicans, packaging “the best of the best” into one neat program.

Among other things, the bill creates a new optional tax system, in which taxpayers pay just two rates: 15 percent on the first $50,000 of income for single filers or the first $100,000 of income for joint filers and 25 percent on all income above that. The system also includes generous deductions for dependents and eliminates the marriage penalty. No matter what — even if no taxpayers were to opt in to the new system — the bill eliminates the Alternative Minimum Tax and caps the tax rate on investment income at 15 percent. Jobs Through Growth also lowers the corporate tax rate to 25 percent and eliminates the Death Tax.

The regulatory rollback components of the program are, perhaps, the cleanest-cut. The bill imposes a moratorium on major regulation until the economy has fully recovered, expands small business exemptions from regulations and returns oversight authority of regulations to Congress. (That last part comes from The REINS Act, which will surely reach the floor independently at some point in the near future. That legislation, which I’ve supported for some time, simply requires congressional approval for any rule that would have an annual economic impact of $100 million or more. We’ve seen that legislating through the executive branch has become a growing problem. This could curtail that somewhat.)

Lastly, with this legislation, the House reiterates its commitment to domestic energy production. Jobs Through Growth would enable the Gulf permitting process to resume its usual rate (remember, permitting has slowed inexcusably under the Obama administration), opens up federal lands for energy production, extends leases to drill on the Outer Continental Shelf and greenlights the Keystone Pipeline project.

The entire program stands in stark contrast to the president’s second stimulus, a series of short-term measures that sound good in theory, but have to be paid for with tax hikes. The RSC’s plan — especially when considered in tandem with the Committee’s serious, substantive proposals to rein in spending, starting with its budget and continuing with “Cut, Cap and Balance” — hits at the heart of what has caused the nation’s present joblessness: out-of-control government spending, a regulatory environment run amok, the crony capitalism made possible in part by a complicated tax code and the clampdown on energy production.

The program also stands in stark contrast to the lack of action in the Senate. The House has already passed fifteen jobs bills that still await action in the Senate. Now, the RSC has added a comprehensive plan to that list. When will the Senate and the president stop looking for the easy political solutions and start addressing the underlying problems with the hard solutions? Both could take a lesson from the RSC.

Update: This post originally incorrectly stated the tax brackets under the new alternative, optional tax system. The post has been corrected above.


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This is more like it.

And anyone want to get a better Repub candidate? How about an add in:

http://flagandgeneralofficersnetwork.org/index.htm

I’m serious.

IlikedAUH2O on November 2, 2011 at 2:10 PM

All Republican candidates should say “I’m in, and that’s my first piece of legislation”

tomg51 on November 2, 2011 at 2:11 PM

Good start, I wish we could also change some aspects of the Fed.

We need to end the Obama jihad against the energy companies.

Oil Can on November 2, 2011 at 2:12 PM

This entire program is exactly what this country desperately needs…

… and Obowma would veto it in a Rose Garden press conference.

Seven Percent Solution on November 2, 2011 at 2:14 PM

When will the Senate and the president stop looking for the easy political solutions and start addressing the underlying problems with the hard solutions?

not these folks…never gonna happen

cmsinaz on November 2, 2011 at 2:15 PM

25 percent on the first $50,000 of income for single filers or the first $100,000 of income for joint filers and 15 percent on all income above that.

If that is accurate, then it’s clear the GOP leadership is BRAIN DEAD, and being kept alive by artificial means.

If this quote is accurate it just screams TAX CUTS FOR THE RICH.

If they had gone with 15% on the first 50K, and 20-25% on the rest, they would have had a chance. This proposal is DOA. That quote has to be a typo, or inaccurate. I can’t believe the GOP leadership really proposed that.

Skandia Recluse on November 2, 2011 at 2:16 PM

It’s incorrect.

Tina, the first $50 is taxed at 15%:

http://rsc.jordan.house.gov/UploadedFiles/Jobs_Through_Growth_Act–two-pager–FINAL–11-02-11.pdf

jondun5 on November 2, 2011 at 2:17 PM

With my tax deductions, I can net a 17% effective tax rate currently with a 50K income.

Some folks who make 10K or less have a zero percentage tax rate according to the tax tables as per the Bush Tax Cuts.

This plan sucks in regards to the income tax portion of it. If one guy makes 100K and another makes 50K. The 50K guy pays 25% and the 100K guy pays an effective rate of 20%.

Opposite Day on November 2, 2011 at 2:18 PM

jondun5 on November 2, 2011 at 2:17 PM

Well, okay then.

Like that makes any difference.

Nothing changes until Obama, and the democrats are voted out of office. So if the GOP candidates don’t start talking this up, they might as well retire.

Skandia Recluse on November 2, 2011 at 2:26 PM

Good start. They also need to repeal Sarbanes-Oxley.

BVM on November 2, 2011 at 2:27 PM

Odd:

just two rates 15% (first $50,000 taxable income for single filers, $100,000 for joint filers) and 25% (taxable income above that);

I think Tina misread it.

lorien1973 on November 2, 2011 at 2:28 PM

Ray LaHood was on Fox about an hour or so ago insisting the Jobs Bill be passed immediately- today, he doesn’t care how it’s paid for. Is LaHood, worried he’s going to become unemployed in 2013? If the administration can’t get the money through congress to their union supporters? Exit question, how stupid does the Obama administration think the republicans are?

Ray LaHood became the 16th Secretary of Transportation on January 23, 2009.

Dr Evil on November 2, 2011 at 2:31 PM

Good job, now its time to get the candidates to get on board and push this message to the American People. You can either have failed stimulus part two, or a real jobs bill that will get you back to work. Would be nice if instead of the scandal of the week nonsense in the Republican field and tearing each other a part that they would actually start hitting Obama and pressuring him to pass this.

nswider on November 2, 2011 at 2:35 PM

It’s incorrect.

Tina, the first $50 is taxed at 15%:

jondun5 on November 2, 2011 at 2:17 PM

face palm

justltl on November 2, 2011 at 2:37 PM

Tina,

Editing before posting is your friend.

AlexJ on November 2, 2011 at 2:38 PM

I like it…

Khun Joe on November 2, 2011 at 2:41 PM

Heh. We really need an edit function in the comments section, too…

jondun5 on November 2, 2011 at 2:44 PM

Sounds good to me … of course anything that isn’t pushing socialism these days sounds good to me.

I especially like the energy part. Unleashing America’s vast reserves will fuel not only the US, but the rest of the world.

darwin on November 2, 2011 at 2:48 PM

I’m sure that Barry will just call this more “Republican obstructionism”.

As for Reid, once again; Thank you Nevada for sending that senile old fool back to the Senate. Enjoy your unemployment rate. You earned it!

GarandFan on November 2, 2011 at 2:51 PM

Among other things, the bill creates a new optional tax system, in which taxpayers pay just two rates: 25 percent on the first $50,000 of income for single filers or the first $100,000 of income for joint filers and 15 percent on all income above that.

Definitely bass ackwards on that.

Certainly a starting point. And if President Toonces rejects it, come right back with just the regulatory and energy portions.

MNHawk on November 2, 2011 at 2:52 PM

Just posted the RSC page on our FB, with the following Tina quote, in hopes the FB idjits will actually see/read the truth: “The House has already passed fifteen jobs bills that still await action in the Senate. Now, the RSC has added a comprehensive plan to that list.”

pambi on November 2, 2011 at 2:54 PM

IlikedAUH2O on November 2, 2011 at 2:10 PM

As a Goldwater fan I assume you lean libertarian with fiscal conservatism thrown in. Far too many flag/general officer types lean heavily progressive. So while they may have excellent leadership skills it doesn’t mean they are what we want.

chemman on November 2, 2011 at 3:40 PM

So are they going to get on TV and talk about it, go out to the constituents too? Or is this just more “hot air”?

PattyJ on November 2, 2011 at 4:11 PM

I was about to say, who the hell would file as married if you end up paying 25% instead of 15% for an extra $50,000.

The hard truth is that government should not cost even the 15% that they are asking at the low end. 5% for the stability and insurance that the military offers and another few percent for the judicial system, a tiny fraction of what is currently spent for congress, and the executive. We should be able to pay off our current debt and fund government with no more than 10% of GDP.

astonerii on November 2, 2011 at 5:17 PM

jondun5 on November 2, 2011 at 2:17 PM

Thank you! I knew I had to read the comments before I commmented because it was too crazy to be true. The reverse Progressive tax – woo hoo! Vote for us!/

Buy Danish on November 2, 2011 at 7:00 PM

Real tax reform is going to have to involve significant pain to those who are being payed through the tax code with those deductions and credits.
Of course, the biggest pit of deductions and credits is in the corporate tax code, so we really should just scrap that tax entirely, and just tax the dividends that result as personal income.

Count to 10 on November 2, 2011 at 7:51 PM

Republicans…job plan…really? Sounds like the same BS we get from the Dems. Either private industry will hire more and pay more or it won’t. Not in any politician’s control.

boosts to energy production.

More Pickens windmill farms maybe?

Or perhaps those zillions of barrels of oil sands that actually take tons of energy to refine into something usable?

Sounds like a great plan!

Dr. ZhivBlago on November 3, 2011 at 12:31 AM

astonerii on November 2, 2011 at 5:17 PM

Well maybe, but guess what…no one cares what you think. Would you like to know why?

People like you should get no vote.

astonerii on October 4, 2011 at 11:58 AM

Apologize.

runawayyyy on November 3, 2011 at 11:12 AM