Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Pelosi Backtracking on Tax Cuts

Details

  • Description

    Sen. Tom Coburn, (R-Okla), on the future of taxes and the need to restore confidence in the economy.

  • Duration 4:52
  • Date

Clips

Also in this playlist...

Varney and Co.

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

-- -- -- congresswoman Nancy Pelosi is backing off raising taxes on Americans making -- 50000 dollars or more she's backed off.

Now ms.

Pelosi says the bush tax cuts should expire only for people making one million dollars -- mall she's changed.

He wants to fifty -- now is a million -- The White House disagrees.

Kind of -- fifth I want to fifty but ms.

Pelosi is -- -- -- -- a million dollars only millionaires should be taxed more.

Oklahoma senator Tom Coburn is it also all of the debt bomb he's on Capitol Hill and -- -- -- -- joins us now.

You know that was a surprise to me 88 it ms.

Pelosi is moving from OK tax everybody making 250 formal law.

To tax people making a million or more that was a surprise could that be a negotiating position with Republicans.

Oh sure could but you know you just like your previous segment showed how do you restore confidence and certainty.

In America so that some of the two point six trillion that's already -- their bank accounts it's invested.

I think that's -- key thing.

What we have to do is reform the tax code so that it causes capital formation and capital expenditure.

And until we do -- -- -- you know the people who make money in this country the ones that invest money.

And I that there's no question it could be a starting point that is what really needs to happen is reform of the tax code so we quit mr.

-- capital.

Now and tax reform to me at least that means you lower tax rates on everybody.

And you eliminate some deductions in some loopholes for everybody.

Results that you bring in more money to the treasury from tax reform as opposed to tax increases -- about it right.

You do plus you get significant economic growth.

The last time this happened was in the eighties and we saw almost five years of excess of 4% real GDP growth.

And that's because you created some certainty and some confident.

DO most of our economic problems really are associated with the people's confidence about the future.

And that requires leadership -- it also requires action in terms of the tax -- a predictable.

Rate of return and tax for those people who are -- -- invest dollars in capital good but we've got the exact opposite.

We've gone on hybrid version of this so called tax and again.

Whether taxes on income capital gains dividends interest estates and the -- -- -- that they all go off.

That's the exact opposite of tax reform.

-- can you tell us and we can you assure us that -- not gonna get this tax in the getting come January the first.

Well I think so I mean.

You know you that you're in -- in campaign and silly season in Washington.

Where people are playing games dividing the country rather than -- the country and bring in the country together.

Nobody's gonna allow the long term consequences of all that happy -- wants it would be devastating to our economy everybody knows that.

And so what you're seeing now is jockeying based on political positions rather than.

Standing up and -- and saying we need to reform the tax code we have to reform -- entitlements to save them.

And we have to cut discretionary spending that we can do all those things.

And most Americans will not feel the pinch at all and in fact what we'll see is real legitimate.

-- Greater than average economic growth.

Now you'll -- is in the debt bomb.

Around about smoke is it oldest in September of this year we crossed the sixteen trillion dollar mark.

Do you think we've passed the tipping point where we really cannot come without debt situation -- -- yet.

Well we've -- it all depends on the action and leaders of this country.

First of all.

We're gonna stop growing our debt and for one very get real reason is people are gonna quit loaning -- money.

The cost of our -- is gonna go up for one very real reason is people gonna lose confidence in our ability to repay it.

Having.

We need to take the actions that sends a signal to the world.

That we understand our problem we understand that we're -- a 102%.

Debt to GDP we understand that -- The -- is our economy.

And that we are grown ups and we're willing to could make the hard choices them to solve that problem.

The problem is you don't see any leadership from the president or and some Republicans for that matter to address that issue and a total.

Total manner and a comprehensive manner much like we were talking earlier that will actually create confidence.

So we appreciate you being with us senator Tom -- -- good to be with you thank you -- --

Load More