Why n4a Is Weighing in on Tax Reform
Current tax reform measures moving incredibly swiftly through Congress have direct and indirect implications for older adults and those who serve them.
As n4a CEO Sandy Markwood's statement explained on Wednesday, n4a has called on Congress to reject any tax cut proposals that fail to recognize the fiscal realities of the aging of our nation and/or would undermine critical aging programs.
In October, both chambers of Congress approved a budget resolution that creates the process, called reconciliation, that is being used to pass trillions of dollars in tax cuts. Unfortunately, the Republican vision for tax legislation includes $1.5 trillion over 10 years in unpaid-for provisions—in other words, it adds $1.5 trillion to the federal deficit.
Given that the FY 2018 budget resolution also calls for major cuts to Medicare, Medicaid and non-defense discretionary (NDD) programs like Older Americans Act to the tune of $2.5 trillion and in the name of deficit reduction, we don't believe this is the right set of financial priorities at a time when 10,000 Baby Boomers turn 65 every single day. Further deficit spending, especially in exchange for only very modest tax cuts for the vast majority of Americans, will put tremendous pressure on Congress to cut Medicaid and Medicare and further cut NDD spending. This is not a down-the-road scenario: the program cuts laid out in the FY 2018 budget resolution may be taken up as early as next spring, using the FY 2019 reconciliation process to speed passage.
Stay tuned for more details on the House and Senate versions of tax cuts in our next Legislative Update, as well as an Advocacy Alert for you to use to raise your concerns with Congress.
As always, n4a members with policy questions or concerns should reach out to n4a's policy team: Amy Gotwals and Autumn Campbell.