Congressman Walberg, I want to thank you for your leadership during this special hour that we are enjoying this evening, talking to the American people about Tax Freedom Day. For a lot of people, they just can't believe it when they find…
Congressman Walberg, I want to thank you for your leadership during this special hour that we are enjoying this evening, talking to the American people about Tax Freedom Day. For a lot of people, they just can't believe it when they find out what the definition is.
I can't thank you enough for your leadership, not only for this special hour to talk about this very special day that is coming tomorrow with Tax Freedom Day eve, you might say this evening, but also with your leadership on the Tax Increase Prevention Act. I can't thank you enough for the work that you are doing, not just on behalf of the great constituents that you have in Michigan, but on behalf of all Americans, because the last thing Americans need right now is a tax increase. So we all thank you, and I thank you that I have had the opportunity to sign onto your legislation as well.
I couldn't help but think when Congressman Sali, our fellow freshman, was standing here earlier, he is a gentleman who fought for years in his own State assembly in Idaho for tax cuts and for fiscal sanity in Idaho. I think that is why the people in Idaho sent him here, because they knew they could trust Bill Sali. They could trust him to come to the floor and make the case for fiscal sanity in our country.
When we see tax increases around every corner, what was it, maybe 6 weeks ago we saw that the majority passed I believe it was a $683 billion tax increase for the budget, the largest tax increase in American history. I know I was flabbergasted when I saw that. Could it be possible that the Congress, in a time of a weakened economy, would come here to this Chamber, to this floor, and make a decision like that, that they would heap burden upon burden upon burden upon our constituents? I didn't think it would be possible.
Then when I listened to our fellow colleague, Congressman David Davis from the State of Tennessee, who has said so well so many times about the average American family, who sits
around their kitchen table wondering are they going to be able to fill up their gas tank tomorrow morning when they get up and go to work? What about buying that gallon of milk? You go to the grocery store and you see that grocery store prices have gone up 64 percent since the beginning of the year.
Well, I think the gentleman already knows the answer before he is asking the question, because it has been now hundreds and hundreds and hundreds of days since the majority said to the American people that they had a commonsense plan, they had a commonsense plan for reducing the price of gasoline. And as of today, the average price of gasoline across America is now a whopping $3.51.
I went with our family this weekend, we went to visit my father-in- law. It was his 84th birthday on Sunday. So we had my daughter's car, because it had the best gas mileage of any car that we had in our family, so we took her car. On the way back, we were in Baldwin, Wisconsin. We pulled up to a gas station. We put gas in. I could not believe it. It was $45 that I put in her little gas tank. Just a few years ago, that is what we spent on our big conversion van, our high- top conversion van. We are not alone. We are here as Members of Congress, but we hear this every day from people back home.
Let me give you just one example. You remember Art Linkletter and the show that he had years ago called House Party? He had a little segment called ``Kids Say the Darndest Things.'' I loved that segment.
I thought about that, because just recently I went to speak to Minnesota Pheasants Forever. It is a wonderful outdoor heritage group. I love to do that. That is one marvelous thing about being a Member of Congress, you can go to speak to great groups about things.
So I went to go speak to them. So I laid my notes, Congressman Walberg, on the island in our kitchen, and it said ``Minnesota Pheasants Forever.'' Our little daughter Caroline came, and she picked up the notes and she said, ``Mom, what is Minnesota peasants forever?'' And I said, ``Well, Caroline, that would be the taxpayers of the State of Minnesota.''
The reason I say that is because tomorrow will be Tax Freedom Day, and in Minnesota, we are a little bit worse off. Our Tax Freedom Day won't occur until next Sunday.
What that means for people across America that might be listening to our repartee as we go back and forth tonight, Tax Freedom Day is the first day the American people stop working for Uncle Sam and start working for themselves. When you average all your Federal, State and local taxes together, the American taxpayer spends the first 113 days of the year as a Federal employee. Basically, that is what it comes down to. We are all Federal employees because we are working for the man. We are not working for ourselves.
That is exactly right. You talked about Adams and Jefferson. We have the wonderful privilege, you and I and Congressman Davis, we have the wonderful privilege of being a part of that great cloud of witnesses that went before. They laid down the freedom.
Just think, it was a stamp tax that our founders were willing to lay down their lives for, their fortune, their sacred honor. They were willing to give up everything, just to throw off a stamp tax. My goodness, we do that just in the morning before we have even gotten to lunch yet around here. I can't believe the level of tax increases we have seen, can you?
Weren't you floored coming here as a new Member of Congress? I know if there is one thing that I have learned, Congressman Walberg, in the time I have been in Congress, what has been now maybe 15 or 16 months, it has been how easy it is to spend somebody else's money. How easy it is. I know it isn't for me. It is really hard for me to spend my own money, and it is really hard for me to spend other people's money. I am not there yet. I haven't drank that Kool-Aid. But I am floored when I see how easy it is for Members of this body to spend other people's money. What is your reaction to that?
If the gentleman will yield further, that has been my impression as well. It strikes me to think that the serfs in the Middle Ages paid over about 25 percent of what they earned in the year to a nobleman. We could only wish, many of us, that 25 percent was our total tax burden. We haven't seen that in this country for many, many years. It is almost unthinkable that the serfs in the Middle Ages would be better off from a tax point of view than the average American taxpayer today. We are far beyond 25 percent of our income.
As a matter of fact, don't you agree, Congressman, that it would be I think very enlightening for most Americans to learn that they spend more on their tax bill, they pay more on their tax bill, than they do for food, clothing and housing combined?
The average American works 108 days to pay for their food, their clothing and their housing. They work on average 113 days to pay their tax bill. Just think of that. Those are necessities that Americans can't do without. You have to have food, you have to have clothing, you have to have housing. But the one thing that will happen is that you will go to jail if you don't pay your tax bill.
I am a former Federal tax litigation attorney. I tried a lot of cases in Federal Tax Court. The reason why people showed up when it was time for their court date was because if they didn't show up, the judgment may be that they go to jail. Because in this country if you don't pay your tax bill, you have the potential of going to jail. So that is the first bill you have to pay, because if you don't pay it, you may end up in a place you don't want to be, so a lot of sacrifices have to be made by a lot of people.
I will tell you one thing, and I think you would agree as well, Congressman. You have probably seen a lot of waste, a lot of fraud and a lot of abuse in legislation that has gone through this body. We will be taking up legislation tomorrow that is trying to squeeze waste, fraud and abuse out of the Medicare system.
Don't you agree, Congressman, that is something that the American people have been looking for for a long time? I know you are a reformer. I know you came here because you did not want to be part of the status quo. You are an outsider, and you came here because you wanted to change the way that Washington does business. I feel the
same way. I know that Congressman Sali shares that opinion and Congressman Davis shares that opinion. We are not about continuing the levels of waste, fraud and abuse.
That is right. And if the gentleman would yield, I would absolutely agree. And that is why it is important and imperative, I believe, that we shout it from the rooftops. This is not a hypothetical we are talking about, this is reality that we are talking about tonight, the fact that these tax cuts right now are on automatic pilot. They are going away. They are the engines that have propelled the growth in this economy, both with the cuts on capital gains and on dividends, that has provided the jobs, the growth, the unparalleled level of prosperity that we have enjoyed. It is all going away if we don't stop that.
That is why I thank you again, Congressman Walberg, for being willing to sponsor this important legislation. It is why I am on it, it is why Congressman Davis and so many of our colleagues are on it. As a matter of fact, there is a piece of legislation that I believe you signed on recently as well as I signed on; this is one that our colleague John Campbell came up with, and that is putting a spending ceiling on what Congress can spend. Because I think that Congressman Davis said it very well earlier: We have a spending problem. That is what leads to our taxing program. And John Campbell came forward, the Congressman from California, and he said, let's put a ceiling on government spending, and let's make sure it is not more than one-fifth of GDP.
What is GDP? Gross domestic product. Well, what is that? That is basically everything that we produce in this country every year. Just think of that. Government eats up one-fifth, almost one-fifth, 20 percent, of everything that is produced in this country just to run the machine. Sometimes I think that government is just a big money eating machine, and we are all the people that are working to stoke that furnace to keep it going. But this legislation that we signed says that there is a limit. We are going to draw a line in the sand, and no more. And that is what your great legislation does as well, the Tax Increase Prevention Act, it draws a line in the sand and it says we are going to keep this prosperity going, and the way we do it is by cutting those taxes.
If the gentleman would yield. I want to thank you for your wonderful words and your eloquent statement and your deep passion that you have stated. And you are again to be commended for the Tax Increase Prevention Act. Thank you for doing that, and for putting this evening together to let the American taxpayer know that tomorrow is a day of freedom, but it is also a day of reality to realize, finally, that we are going to be able to take off our ball and chain and be unshackled and finally breathe again and be able to work for ourselves.
But when Americans go to the pump tomorrow, I just want to remind them, Congressman Walberg, when they go to the pump and they put $1 worth of gasoline in their vehicle, over 60 cents of that dollar will go to taxes in one form or another. Just think about that. We hear a lot about oil companies and about profits, but when you have $1 of gasoline, over 60 cents of that dollar goes to taxes. That is something we really need to think about here in Congress. We need to consider it. It is just a microcosm, just a picture of the heavy tax burden every day that impacts the average American. I can't thank you enough for putting this together this evening.