MINEOLA, Texas—Congressman Jeb Hensarling (R-TX), Chairman of the House Financial Services Committee, spoke to members of the Kiwanis Club inMineola Tuesday. As tax day looms large in the minds of all Americans, today’s remarks centered on Republicans’ pro-growth economic agenda, specifically efforts to reform our nation’s broken tax code and to roll back unnecessary Washington red tape, which have the potential to spur economic growth and job creation in East Texas.
“Too many small business owners are struggling under mountains of job-killing red tape and a tax code that benefits those who have the money and the ability to work the system,” said Congressman Hensarling. “But, relief is on the way.”
“When I talk to small business owners, I hear about a number of different concerns they have, but I always hear about the crushing burden of red tape that Washington imposes upon them. In 2015, that burden was $1.885 billion—almost $15,000 per American household—and President Obama continued adding to that burden to the very end of his presidency. According to one estimate, the Obama Administration averaged roughly 45 rules per month throughout 2016. Fortunately for the American economy, Congress created an expedited process for overturning newly issued regulations known as the Congressional Review Act. Until 2017, this process had been used just once, in 2001, to successfully overturn a federal regulation. Under unified Republican control of the House and Senate under President Trump’s leadership, we’ve already successfully overturned more than 10 Obama-era economy-stunting regulations—with more yet to come.”
“Not all regulations are unwarranted, of course. But, there’s a difference between smart regulation that keeps Americans safe, and job-killing, economy-stagnating regulation that harms small business owners and families. President Trump recognizes the difference and is working every day alongside Congress to roll back frivolous red tape and unleash our country’s economic potential.”
“On top of the unseen—but not unfelt—regulatory burden that is imposed upon the American economy, our nation’s broken tax code directly imposes a burden that is all too visible to American businesses and families. Today, our tax code clocks in at 2,600 pages and the entirety of federal tax law spans 70,000 pages. Americans spend over $400 billion and 8.9 billion hours trying to comply with the tax code. Unless you’re an accountant or tax attorney, this is time and money that I think most Americans believe could be better spent elsewhere. Like the brush at my home in Murchison, our tax code is in severe need of pruning down to a manageable size through fundamental tax reform. We’ve not reformed our tax code since 1986, but through the good work of Chairman Brady of the House Ways and Means Committee, tax reform is on the horizon.”The House Republican tax plan simplifies the tax code by lowering rates, streamlining seven tax brackets into three, and eliminating a host of special-interest provisions. In fact, most workers and families will be able to file their taxes on a postcard. The Republican tax plan also cuts America’s 35% corporate income-tax rate—the highest in the industrialized world—to a flat 20%.
As Chairman of the House Financial Services Committee, Hensarling will continue in the 115th Congress to promote consumer choice, competitive markets, and smart regulation in our financial markets. His bill, the Financial CHOICE Act, is the Republican plan to replace the Dodd-Frank Act and promote economic growth.
The Financial CHOICE Act will end taxpayer-funded bailouts of large financial institutions; relieve banks that elect to be strongly capitalized from growth-strangling regulation that slows the economy and harms consumers; and impose tougher penalties on those who commit fraud as well as greater accountability on Washington regulators.
“For far too long, our economy has been growing significantly below its potential, essentially going 20 miles per hour down a highway built for going 70 miles per hour,” said Hensarling. “This subpar growth has resulted in fewer jobs and smaller paychecks. It’s time to get the American economy firing on all cylinders again, and that’s just what we’re going to do as we continue rolling back Washington red tape, promote smart regulation in our financial markets, and work to enact once-in-a generation fundamental tax reform under President Trump’s leadership.”