The Boehner Rapid Economic Recovery Plan

THE BOEHNER RAPID ECONOMIC RECOVERY PLAN As an alternative to the $300 billion “stimulus” spending plan Democrats are threatening to pass before January, House Republican Leader John Boehner (R-OH) has put forth a plan for economic growth, jobs, and rapid recover that relies on tax relief for working families and small businesses instead of higher taxes and increased spending on government programs. The Boehner rapid economic recovery plan would:

 

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Give Working Families Tax Relief: Make the tax code fairer and friendlier for the middle-class by doubling the child tax credit from $1,000 to $2,000 per child to put more money back in the pockets of working families.

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Rebuild 401(k)s and Spur Investment through a Zero Capital Gains Tax: Immediately suspend the capital gains tax on newly acquired assets for the next two years. This will encourage investment and boost the value of sagging 401(k) accounts on behalf of workers and retirees.

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Provide Tax Relief So American Businesses Create More Jobs: Increase the Section 179 limits that allow small businesses to expense new equipment, and extend bonus depreciation for an additional year and increase its value so that 75% of equipment costs can be deducted in the first year. Provide net operating loss relief for all employers by allowing all employers to “carry-back” losses for three years (five years for small businesses).

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Keep American Jobs at Home: At 35%, the American corporate tax rate is the second highest such rate in the industrialized world -– a cost passed on to consumers in the form of higher prices for goods and services. The Boehner plan would immediately reduce the rate to 25% to reduce prices for U.S. consumers and give employers additional incentive to keep good-paying jobs in America.

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Create Jobs through an “All of the Above” Energy Plan: Accelerate exploration of new sources of American-made energy and begin implementing the “all of the above” energy strategy House Republicans introduced last summer in the American Energy Act (H.R. 6566). The GOP plan, which would create up to 1 million new jobs in the United States once implemented, calls for increased production of American energy, accelerated development and use of alternative and renewable fuels, and greater conservation and efficiency to reduce energy prices.