“Instead of raising rates, Republicans have proposed capping deductions through tax reform instead. If the only way to get Democrats to agree to pro-growth tax reform and meaningful entitlement reform is through more revenue, a smarter way to do it is by capping deductions. Capping deductions, or tax expenditures as some call them, is a far less painful, more economically sound way of closing deficits,” McConnell said.
McConnell noted that Obama has proposed several ideas for capping deductions in the past, and he said those ideas combined would “dwarf the $442 billion revenue his own Treasury estimates he could grab from increasing the top two rates.”
Meredith Shiner and Humberto Sanchez contributed to this story.
Vice President Joe Biden waits to conduct a mock swearing-in ceremony with Sen. Brian Schatz, D-Hawaii, in the Capitol's Old Senate Chamber, December 2, 2014. Schatz was sworn in to serve the remainder of his term since he was appointed to the seat after Sen. Daniel Inouye, D-Hawaii, passed away.