Thank you for contacting me regarding H.R. 4646, the Debt Free America Act. I welcome your thoughts and comments.
Out-of-control spending has put the United States in a tenuous economic position. In fiscal year (FY) 2009, annual federal discretionary spending in the regular appropriations process surpassed $1 trillion for the first time in U.S. history, leading the federal government to a record $1.4 trillion deficit. Since then, spending has not abated. The federal government posted a $1.3 trillion deficit in FY 2010.
Our nation’s debt is on an upward trajectory, surpassing an historical $14 trillion benchmark in December 2010. The American people are tired of this excessive spending, and they do not see any relief. The U.S. Department of the Treasury estimates that it will borrow $362 billion for the first quarter of FY 2011 and another $431 billion for the second quarter, adding nearly $800 billion to the national debt.
During the 111th Congress, a number of proposals were suggested about how our nation should close these soaring budget deficits. One such proposal is found in H.R. 4646, the Debt Free America Act of 2010. Introduced by Representative Chaka Fattah (D-PA), this legislation would impose a one-percent tax on every financial transaction, whether paid by cash, check, credit card or other financial instrument. This tax could also be imposed on transactions involving the transfer of stock and bonds, subject to the recommendation of the Secretary of the Treasury.
Upon introduction on February 23, 2010, the Debt Free America Act was referred to the House Committees on Ways and Means, Budget, Rules, and Appropriations. H.R. 4646 was not considered by the full House of Representatives prior to the adjournment of the 111th Congress.
We need fiscal sustainability going forward. Yet raising taxes on hard-working Americans, especially during the current economic climate, is not the solution for fiscal sustainability. We must get our financial house in order, even if that means making tough choices. I believe that the best way to address our nation's long-term budget crisis is to reduce wasteful government spending. If initiatives are truly national priorities that need to be addressed, I believe we should find a way to budget and pay for them by cutting back in other areas.
You may be certain that I will continue to work toward responsible spending cuts. I will also keep pushing for smaller government, a balanced federal budget, and lower taxes on families and small businesses.
I appreciate hearing from you. I hope that you will not hesitate to contact me on any issue that is important to you.
Kay Bailey Hutchison
United States Senator
284 Russell Senate Office Building
Washington, DC 20510
SEE: "Naw, He Ain't Going to Raise Taxes on the Poor and the Middle Class"
This is a prime example of why you ALWAYS have to check things out no matter where they came from. I did not check this out. Just skip anything on HR 4646. Look here: ~ Faye
H.R. 4646: Debt Free America Act
111th Congress: 2009-2010
To establish a fee on transactions which would eliminate the national debt and replace the income tax on individuals.
Sponsor: Rep. Chaka Fattah [D-PA2]
This bill never became law. This bill was proposed in a previous session of Congress. Sessions of Congress last two years, and at the end of each session all proposed bills and resolutions that haven't passed are cleared from the books. Members often reintroduce bills that did not come up for debate under a new number in the next session.