A proposed simplified tax code, drafted by GOP Ways and Means Chairman Dave Camp, will be released this week, and Republicans are anxious about the reaction it may generate, according to Politico
Though Republicans have for years advocated simplifying the cumbersome, 4,000-page tax code, doing so in a midterm election year has many in the party worried it could be a double-edged sword.
While Republicans agree about simplifying the tax code, some senior GOP officials tell Politico they're concerned that tackling it in an election year might upstage issues, such as the flagging economy and Obamacare, that are likely to help them gain seats in November.
According to The Washington Post
, Camp’s proposed revised code lowers tax rates while collecting nearly the same amount of money for the government, with both the poorest and richest Americans not unduly burdened.
Details about how Camp will achieve this won’t be known until the proposed code is released but several sources told Politico that it strikes a good balance of incorporating ideals from both sides of the aisle, such as Democrats’ desire to tax big banks to offset bailout money they received, as well as maintaining the tiered system, which determines tax burden by income level.
"It’s a negotiated bill without the other party having showed up," an unidentified House Republican told Politico.
The tax system would be reduced to two brackets – set at 10 percent and 25 percent – instead of the current seven. According to The Post, a 10 percent surtax would be imposed on certain types of earned income over $450,000 a year and would affect many salaried professionals and the very rich, many of whom who live off interest and investments.
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