Concord Issue Statement: In Payroll Tax Cut Extension, Political Convenience Wins Again

WASHINGTON, Feb. 17, 2012 /PRNewswire-USNewswire/ -- The Concord Coalition today released an issue statement expressing concern with the failure of congressional negotiators to agree on a comprehensive plan to finance an extension of the Social Security payroll tax cut this year. Concord praised lawmakers for finding ways to offset the cost of extending unemployment benefits and the "doc fix" through the end of the year. And a case can be made for bolstering the economic recovery by extending the payroll tax cut as well.

"But the cost of this short-term boost for the economy could have been covered through offsets that would be phased in later, as the economy strengthened," Concord said. "Instead, the $90 billion in costs are simply being piled onto the $15.3 trillion federal debt with a 'Let's worry about it later' attitude." Concord expressed concern that this sets a precedent for a year in which the large tax cuts originally enacted in 2001 and 2003 are set to expire.

The full issue statement can be found at: http://concordcoalition.org/issue-briefs/2012/0217/payroll-tax-cut-extension-political-convenience-wins-again

The Concord Coalition is a nonpartisan, grassroots organization dedicated to fiscal responsibility. Former U.S. Senators Warren B. Rudman (R-NH) and Bob Kerrey (D-NE) serve as Concord's co-chairs.

SOURCE The Concord Coalition