J.C. Watts on Tax Reform

Former Republican Representative (OK-4)

Tax cuts are the beginning of tax relief & tax fairness

The House approved the centerpiece of the Bush administration’s $1.6 trillion tax-relief plan. The bill to reconfigure the tax code’s rate system -- which sets the formulas for the amount of yearly tax paid depending on a filer’s income -- passed the chamber by a vote of 230-198. The bill now moves to the Senate, where it is unlikely to be considered before May.

The measure could cost the federal government an estimated $958 billion - money that would be recovered from the government’s projected 10-year, $5.6 trillion surplus. “These across-the-board tax reductions are not the end, but only the beginning, for tax relief and tax fairness,” declared GOP Rep. J.C. Watts of Oklahoma, chairman of the House Republican Conference, as the day of debate dawned. “Today, we are putting people before politics,” Watts said at a rally held by the Republican leadership while the debate was waged on the House floor.

Source: CNN.com Mar 8, 2001

Voted YES on $99 B economic stimulus: capital gains & income tax cuts.

Vote to pass a bill that would grant $99.5 billion in federal tax cuts in fiscal 2002, for businesses and individuals.

The bill would allow more individuals to receive immediate $300 refunds, and lower the capital gains tax rate from 20% to 18%.

Bill HR 3090 ; vote number 2001-404 on Oct 24, 2001

Voted YES on Tax cut package of $958 B over 10 years.

Vote to pass a bill that would cut all income tax rates and make other tax cuts of $958.2 billion over 10 years. The bill would convert the five existing tax rate brackets, which range from 15 to 39.6 percent, to a system of four brackets with rates of 10 to 33 percent. Reference: Bill sponsored by Thomas, R-CA; Bill HR 1836 ; vote number 2001-118 on May 16, 2001

Voted YES on eliminating the Estate Tax ("death tax").

Vote to pass a bill that would gradually reduce revenue by $185.5 billion over 10 years with a repeal of the estate tax by 2011. Reference: Bill sponsored by Dunn, R-WA; Bill HR 8 ; vote number 2001-84 on Apr 4, 2001

Voted YES on eliminating the "marriage penalty".

Vote on a bill that would reduce taxes for married couple by approximately $195 billion over 10 years by removing provisions that make taxes for married couples higher than those for two single people. The bill is identical to HR 6 that was passed by the House in February, 2000. Reference: Bill sponsored by Archer, R-TX; Bill HR 4810 ; vote number 2000-392 on Jul 12, 2000

Voted YES on $46 billion in tax cuts for small business.

Provide an estimated $46 billion in tax cuts over five years. Raise the minimum wage by $1 an hour over two years. Reduce estate and gift taxes, grant a full deduction on health insurance for self-employed individuals, increase the deductible percentage of business meal expenses to 60 percent in 2002, and designate 15 renewal communities in urban rural areas. Reference: Bill sponsored by Lazio, R-NY; Bill HR 3081 ; vote number 2000-41 on Mar 9, 2000

Phaseout the death tax.

Watts co-sponsored the Death Tax Elimination Act:

Title: To amend the Internal Revenue Code of 1986 to phaseout the estate and gift taxes over a 10-year period.

Summary:

property shall be treated as transferred by gift; and
the basis of the person acquiring the property shall be the lesser of the adjusted basis of the decedent or the fair market value of the property at the date of the decedent's death.
Requires specified information to be reported concerning non-cash assets over $1.3 million transferred at death and certain gifts exceeding $25,000.
Makes the exclusion of gain on the sale of a principal residence available to heirs.
Revises current provisions concerning the transfer of farm real to provide that gain on such exchange shall be recognized to the estate only to the extent that the fair market value of such property exceeds such value on the date of death.
Provides a similar rule for certain trusts.
Amends the special rules for allocation of the generation-skipping tax (GST) exemption to provide that if any individual makes an indirect skip during such individual's lifetime, any unused portion of such individual's GST exemption shall be allocated to the property transferred to the extent necessary to make the inclusion ratio for such property zero; and
if the amount of the indirect skip exceeds such unused portion, the entire unused portion shall be allocated to the property transferred.
Provides that, if an allocation of the GST exemption to any transfers of property is deemed to have been made at the close of an estate tax inclusion period, the value of the property shall be its value at such time.

Source: House Resolution Sponsorship 01-HR8 on Mar 14, 2001

Repeal marriage tax; cut middle class taxes.

Watts signed the Contract with America:

[As part of the Contract with America, within 100 days we pledge to bring to the House Floor the following bill]:

The American Dream Restoration Act:
A $500-per-child tax credit, begin repeal of the marriage tax penalty, and creation of American Dream Savings Accounts to provide middle-class tax relief.

Source: Contract with America 93-CWA7 on Sep 27, 1994

Click here for definitions & background information on Tax Reform. Click here for a profile of J.C. Watts. Click here for HouseMatch answers by J.C. Watts. Agree? Disagree? Voice your opinions on Tax Reform in The Forum. Click here for a summary of J.C. Watts's positions on all issues. Click here for issue positions of other OK politicians.
*Other candidates on Tax Reform:*		*J.C. Watts on other issues:*
*OK Gubernatorial:* Brad Henry *OK Senatorial:* Andrew Rice James Inhofe Tom Coburn Democratic retirements & special elections: D,AL-5:Cramer D,CA-12:Lantos D,CO-2:Udall D,IN-7:Carson D,NY-21:McNulty D,ME-1:Allen D,MD-4:Wynn D,NM-3:Udall D,OR-5:Hooley *Republican special elections:* R,IL-14:Hastert R,LA-1:Jindal R,LA-6:Baker R,MS-1:Wicker R,OH-5:Gillmor	*Republican retirements:* R,AL-2:Everett R,AZ-1:Renzi R,CA-4:Doolittle R,CA-52:Hunter R,CO-6:Tancredo R,FL-15:Weldon R,IL-11:Weller R,IL-18:LaHood R,KY-2:Lewis R,LA-4:McCrery R,MD-1:Gilchrest R,MN-3:Ramstad R,MO-9:Hulshof R,MS-3:Pickering R,NJ-3:Saxton R,NJ-7:Ferguson R,NM-1:Wilson R,NM-2:Pearce R,NY-13:Fossella R,NY-25:Walsh R,NY-26:Reynolds R,OH-7:Hobson R,OH-15:Pryce R,OH-16:Regula R,PA-5:Peterson R,VA-11:Davis R,WY-0:Cubin	Abortion Budget/Economy Civil Rights Corporations Crime Drugs Education Energy/Oil Environment Families/Children Foreign Policy Free Trade Govt. Reform Gun Control Health Care Homeland Security Immigration Infrastructure/Technology Jobs Principles/Values Social Security Tax Reform War/Iraq/Mideast Welfare/Poverty

Page last updated: Sep 17, 2008