What: All Issues : Fair Taxation : Tax Breaks for the Rich : A vote on a Democratic motion to instruct House conferees reconciling their chamber's Republican-backed budget resolution (S CON RES 95) with that of the Senate, to adopt the Senate's position that tax cuts and other pending contributing to raising the deficit should have corresponding offsets somewhere else in the budget. (2004 house Roll Call 171)
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A vote on a Democratic motion to instruct House conferees reconciling their chamber's Republican-backed budget resolution (S CON RES 95) with that of the Senate, to adopt the Senate's position that tax cuts and other pending contributing to raising the deficit should have corresponding offsets somewhere else in the budget.
house Roll Call 171     May 13, 2004
Progressive Position:
Yea
Progressive Result:
Loss

Calling the conservative-backed budget resolution (S CON RES 95) fiscally irresponsible, House progressives supported this Democratic motion instructing House members working to square their bill with the Senate's to adopt the Senate's position that tax cuts and other pending contributing to raising the deficit should have corresponding offsets somewhere else in the budget. This philosophy is summed up as a "pay-as-you-go" (PAYGO), but this Democratic request was narrowly defeated in the House 207-211. Progressives argued that the motion was the key to budget discipline, something conservatives have traditionally claimed to support. And progressives noted that such discipline was ever more important as the Baby Boomer generation ages and entitlement spending is expected to surge. But conservatives argued that the concept of PAYGO "is really fundamentally flawed economic policy." Conservatives said the Democratic motion makes an underlying assumption that for every $1 of tax relief, there will be a corresponding $1 reduction in federal revenue. But that only holds true, conservatives added, if one has no faith in the ability of the "free market" system to make America strong economically. Conservatives asserted that the Senate PAYGO language will only cause tax increases in the future. As one Rep. Roy Blunt (R-Mo.), a conservative opposed to the motion put it, "We do not need to have a Senate rule, a rule from the other body to tie our hands for tax reform, tax relief [and] tax simplification in the future."

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