Twenty-two House Republicans urged House Budget Committee chairman and 2012 vice-presidential nominee Rep. Paul Ryan, R-Wis to reduce the highest tax rate to 25% and repeal the alternative minimum tax, among other things, in his budget resolution for FY 2014.
They made their request in a recent letter, outlining their tax reform goals this year and what they would like to see included in the budget resolution, which is expected to be released Tuesday.
The four-page letter highlighted the work that the House Ways and Means Committee did in the 112th Congress in an effort to move forward with comprehensive tax reform, including more than 20 hearings, three joint hearings with the Senate Finance Committee and the creation of 11 bipartisan working groups.
"Our ultimate goal remains enactment of comprehensive tax reform during fiscal year 2014," wrote the members, led by Ways and Means Committee chairman Rep. Dave Camp of Michigan. "The Committee intends to build on that work in the first session of the 113th Congress by introducing and reporting to the House of Representatives legislation that provides for the comprehensive reform of the U.S. tax code."
Earlier in February, House Speaker John Boehner, R-Ohio., announced that H.R. 1 would be designated for the Ways and Means committee's tax reform legislation. Typically H.R. 1 is a bill that the party who controls the House designates for signature legislation.
The committee aims to develop tax legislation that achieves a "simpler, fairer" tax code by scaling back tax preferences that "distort economic behavior and that often benefit only a narrow group of individuals or businesses" and spurs job creation, the letter stated.
Specifically, the lawmakers said Ryan's FY 2014 budget resolution should include lower tax rates for individuals with a goal of achieving a two rate structure of 10% and 25%; repeal the alternative minimum tax; reduce the corporate tax rate to 25%; simplify the tax code; and transition the tax code to a more competitive system of international taxation.
"American families and businesses must navigate a maze of different statutory tax rates, hidden rates, confusing deductions, credits, limitations, phase-outs and the alternative minimum tax," the letter said. "The trifecta of maddening complexity, high tax rates on business income and the prevalence of double taxation of capital and investment, all combine to suppress innovation, job creation, and economic growth."
The letter comes as Camp will unveil his third discussion draft on Tuesday, this time on small business. He previously released discussion drafts on international taxation and financial products.
