Quick Hit Monday April 25th, 2011, 12:32pm

Seniors Slam GOP Budget, Schakowsky Touts Fairness In Taxation Act

The radical changes to Medicare as proposed by U.S. Rep. Paul Ryan (R-WI) in the Republican budget plan are meant to save money, but the hypocrisy of those program cuts plus tax breaks to keep the current budget numbers in line have been well-documented. The concern surrounding the Republican's budget prompted Rep. Jan Schakowsky (D-IL) to meet up with some Illinois residents to discuss her Fairness in Taxation Act , which continues to be stalled in the House Committee on Ways and Means.

Schakowsky, small business owners and senior citizens slammed the proposal that would, essentially, destroy the social safety net currently in place. Instead, Schakowsky said the military budget can be trimmed, corporate tax breaks should be cut down, and Medicare, specifically, could negotiate for lower drug prices. Schakowsky said the Fairness in Taxation Act is also nessesary. See her comments:

HR 1124 would create a new series of tax brackets for the country's very wealthiest earners. The current top income tax rate of 35 percent starts for incomes above $379,150. That rate rate is down from 39.6 percent during the Clinton White House years and the new tax bracket breakdown proposed by the GOP would look like this:

  • $1-10 million: 45%
  • $10-20 million: 46%
  • $20-100 million: 47%
  • $100 million to $1 billion: 48%
  • $1 billion and over: 49%

The highly controversial -- and by and large unpopular -- budget bill seeks to phase out Medicare, turning it into a voucher program, and severely reduce the amount the federal government pays to the states for Medicaid. The proposal promises to cut more than $4 trillion in federal spending during the next decade, while President Barack Obama also recently unveiled his budget plan to cut $4 trillion over the next 12 years -- something Schakowsky called “balanced” in terms of cuts and revenue.


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