The current U.S. tax system is unnecessarily complicated and costly. Our leaders must reform the tax system to support economic growth and long-term debt reduction by making the system more efficient, fair and simple.

Deficit and Tax Policy

TAX CUT

No such thing as a temporary tax break

Oh, temporary tax breaks, music to the ears of their beneficiaries and the bane of CBO Director Douglas Elmendorf who must make budget projections accounting for them.

If it weren’t for the recent explosion in the number of tax breaks, they wouldn’t be such pesky pieces of economic policy. In 1998, there were only nine temporary tax breaks. By 2009, there were 73; meaning that in more than 10 years the number of temporary tax breaks built into the tax code has increased by 711%.

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