Camp Formally Introduces Tax Reform Legislation

Outgoing House Ways and Means Committee chairman Dave Camp, R-Mich., officially introduced Thursday the comprehensive tax reform package he has been laboring over in recent years.

The proposal formalizes the tax reform discussion draft that Camp released on Feb. 26, 2014, without modifications. Camp had worked on the Tax Reform Act of 2014 legislation with other members of the committee as well as the Senate Finance Committee after a series of hearings and drafts, but so far it has failed to advance in Congress. He and former Senate Finance Committee chairman Max Baucus, D-Mont., had also launched a TaxReform.gov website and held a series of meetings around the country with taxpayers to gauge their suggestions for tax reform.

With the congressional term ending this month, the package is unlikely to make any further headway. However, the package may provide a basis for future tax reform efforts. Rep. Paul Ryan, R-Wis., is set to take over the chairmanship of the tax-writing Ways and Means Committee next month in the new Congress.

Camp submitted a statement on the tax reform proposal for the Congressional Record.

“At its core, the Tax Reform Act of 2014 is about making the tax code simpler and fairer for hardworking taxpayers,” he said. “I believe every taxpayer should be able to do his or her taxes without fear that someone with better accountants or lawyers is getting a better deal. This legislation does that by ensuring that virtually all taxpayers would pay the least amount of taxes without having to keep track of every receipt and record and live in fear of an IRS audit. This legislation makes the Code more effective and efficient by getting rid of narrowly targeted provisions to lower tax rates across the board.  This will enable small and large businesses alike to expand operations, hire new workers, and increase benefits and take-home pay. I hope that the formal introduction of this proposal in the House today will help spur further action on this critical issue in the 114th Congress.”

Based on an analysis by the non-partisan Joint Committee on Taxation, Camp’s office said the Tax Reform Act of 2014 would enable approximately 95 percent of tax filers to get the lowest possible tax rate by claiming the standard deduction without needing to itemize or keep track of receipts.