OnTheIssuesLogo

Lincoln Chafee on Tax Reform

Libertarian presidential challenger; Independent RI Governor; Republican Senator (1999-2007)

 


Ordinary Republicans vote against their economic interests

He thinks most ordinary Republican voters are pulling the lever against their economic interests. "Tax cuts for the wealthy!" he says. "What is the average person thinking when they go to vote for someone who supports more tax cuts for the wealthiest Americans? The average person is gonna end up with a bill, but when the economy crashed millionaires still had their homes and their jets and still did fine."
Source: The Week magazine on 2020 presidential hopefuls , Jul 3, 2017

Repeal Bush tax cuts that favor wealthy

Let me talk about income inequality. We've had a lot of talk, but no one is saying how we're going to fix it. It started with the Bush tax cuts that favored the wealthy. So let's go back to the tax code. 0.6 percent of Americans are at the top echelon. That's less than 1 percent. But they generate 30 percent of the revenue. And they're doing fine. I'm saying let's have another tier and put that back into the tax bracket. And that will generate $42 billion. And then we can help the middle class.
Source: 2015 CNN Democratic primary debate in Las Vegas , Oct 13, 2015

End excessive loopholes; tax cuts for wealthy & corporations

Chafee wants a $10.10 minimum wage. (The $15 favored by Martin O'Malley, Chafee explains, "could have a significant adverse effect on small businesses.") He also wants to spend more money on Head Start and Pell grants, to expand paid medical leave, to fight gender-based wage discrimination with a Paycheck Fairness Act, and to "work for a fair tax structure that removes excessive loopholes and tax cuts for wealthy citizens and corporations."
Source: Reason magazine on 2016 presidential hopefuls , Oct 13, 2015

I voted against every Bush tax cut favoring the wealthy

A strong middle class is the bedrock of any prosperous community. However, today's system is stacked against too many American families. They play by all the rules; they are educated, often at great cost; they work hard all week, and are barely making ends meet. This is not right. As a U. S. Senator I voted against every Bush tax cut that favored the wealthiest and deepened the disparity between the few and the many. At the local, state and federal level I have supported incentives and protections that help grow the middle class. Beneficial social programs have a long history of being a force for good in the lives of Americans.
Source: 2016 presidential campaign website Chafee2016.com , Jun 4, 2015

2000: Repeal the marriage tax penalty

After seeing the postelection Bush-Cheney agenda after the 2000 election, I wrote a letter to Dick Cheney as a fair warning:

In the Fiscal Year 2000 federal budget, majorities from both parties in Congress expressed support in the past year for reform of the estate tax and repeal of the so-called marriage tax penalty. This appears to be an area of great promise for early bipartisan cooperation. Democrats can be expected to support reform in both these areas at least to the extent contained in the substitute amendments proposed this past summer by the fiscally irresponsible Senator Moynihan.

Source: Against the Tide, by Sen. Lincoln Chafee, p. 15 , Apr 1, 2008

Draw down budget surplus to pay to abolish Marriage Tax

It was a longstanding inequity in our income tax code that an unmarried couple filing separately pays less than a married couple filling jointly. We would have to draw down some of the federal budget surplus to pay for abolishing the "Marriage Penalty Tax," but what a good use for the surplus. I thought eliminating this inequity would honor the political sacrifices that Republican and Democratic presidents alike had made to end deficit spending in America.

Now that we no longer had to spend enormous sums to counterbalance the former Soviet Union, it was time to do constructive things with our hard-won surplus. Both parties overwhelmingly supported fixing the marriage penalty.

I parted ways with my leadership on these votes and supported Democratic amendments that targeted the relief where it was needed. I argued, "We're in the majority. Let's pass a bill that President Clinton will sign and then remind the voters that it was our bill."

Source: Against the Tide, by Sen. Lincoln Chafee, p. 38-40 , Apr 1, 2008

Opposes making income tax flatter & lower

Chafee voted NO on HR.8, a bill that would eliminate the tax imposed on estates and gifts by 2010.

Chafee voted YES on HR.4810, the ‘Marriage Penalty Tax Elimination’ bill, that would reduce taxes on married couples by increasing their standard deduction to twice that of single taxpayers.

Source: Voted AGAINST repealing the death tax , Sep 20, 2000

Voted NO on supporting permanence of estate tax cuts.

Increases the estate tax exclusion to $5,000,000, effective 2015, and repeals the sunset provision for the estate and generation-skipping taxes. Lowers the estate tax rate to equal the current long-term capital gains tax rate (i.e., 15% through 2010) for taxable estates up to $25 million. Repeals after 2009 the estate tax deduction paid to states.

Proponents recommend voting YES because:

The permanent solution to the death tax challenge that we have today is a compromise. It is a compromise that prevents the death rate from escalating to 55% and the exclusion dropping to $1 million in 2011. It also includes a minimum wage increase, 40% over the next 3 years. Voting YES is a vote for that permanent death tax relief. Voting YES is for that extension of tax relief. Voting YES is for that 40% minimum wage increase. This gives us the opportunity to address an issue that will affect the typical American family, farmers, & small business owners.

Opponents recommend voting NO because:

Family businesses and family farms should not be broken up to pay taxes. With the booming economy of the 1990s, many more Americans joined the ranks of those who could face estate taxes. Raising the exemption level and lowering the rate in past legislation made sense. Under current law, in my State of Delaware, fewer than 50 families will face any estate tax in 2009. I oppose this legislation's complete repeal of the estate tax because it will cost us $750 billion. Given the world we live in today, with clear domestic needs unmet, full repeal is a luxury that we cannot afford.

To add insult to this injury, the first pay raise for minimum wage workers in 10 years is now hostage to this estate tax cut. We are told that to get those folks on minimum wage a raise, we have to go into debt, so that the sons and daughters of the 7,000 most fortunate families among us will be spared the estate tax. We must say no to this transparent gimmick.

Reference: Estate Tax and Extension of Tax Relief Act; Bill H.R. 5970 ; vote number 2006-229 on Aug 3, 2006

Voted NO on permanently repealing the `death tax`.

A cloture motion ends debate and forces a vote on the issue. In this case, voting YES implies support for permanently repealing the death tax. Voting against cloture would allow further amendments. A cloture motion requires a 3/5th majority to pass. This cloture motion failed, and there was therefore no vote on repealing the death tax.
Reference: Death Tax Repeal Permanency Act; Bill HR 8 ; vote number 2006-164 on Jun 8, 2006

Voted YES on $47B for military by repealing capital gains tax cut.

To strengthen America's military, to repeal the extension of tax rates for capital gains and dividends, to reduce the deficit, and for other purposes. Specifically, a YES vote would appropriate $47 billion to the military and would pay for it by repealing the extension of tax cuts for capital gains and dividends to 2010 back to 2008. The funds wuold be used as follows:
Reference: Tax Relief Extension Reconciliation Act; Bill S Amdt 2737 to HR 4297 ; vote number 2006-008 on Feb 2, 2006

Voted NO on retaining reduced taxes on capital gains & dividends.

Vote to reduce federal spending by $56.1 billion over five years by retaining a reduced tax rate on capital gains and dividends, as well as.
Status: Bill passed Bill passed, 66-31
Reference: Tax Relief Extension Reconciliation Act; Bill HR 4297 ; vote number 2006-010 on Feb 2, 2006

Voted NO on extending the tax cuts on capital gains and dividends.

This large piece of legislation (418 pages) includes numerous provisions, generally related to extending the tax cuts initiated by President Bush. This vote was on final passage of the bill. The specific provisions include:
  1. Extension Of Expiring Provisions: for business expenses, retirement savings contributions, higher education expenses, new markets tax credit, and deducting state and local sales taxes.
  2. Provisions Relating To Charitable Donations, and Reforming Charitable Organizations
  3. Improved Accountability of Donor Advised Funds
  4. Improvements in Efficiency and Safeguards in IRS Collection
Reference: Tax Relief Act of 2005; Bill S. 2020 ; vote number 2005-347 on Nov 18, 2005

Voted NO on $350 billion in tax breaks over 11 years.

H.R. 2 Conference Report; Jobs and Growth Tax Relief Reconciliation Act of 2003. Vote to adopt the conference report on the bill that would make available $350 billion in tax breaks over 11 years. It would provide $20 billion in state aid that consists of $10 billion for Medicaid and $10 billion to be used at states' judgment. The agreement contains a new top tax rate of 15 percent on capital gains and dividends through 2007 (5 percent for lower-income taxpayers in 2007 and no tax in 2008). Income tax cuts enacted in 2001 and planned to take effect in 2006 would be accelerated. The child tax credit would be raised to $1,000 through 2004. The standard deduction for married couples would be double that for a single filer through 2004. Tax breaks for businesses would include expanding the deduction that small businesses could take on investments to $100,000 through 2005.
Reference: Bill HR.2 ; vote number 2003-196 on May 23, 2003

Voted YES on reducing marriage penalty instead of cutting top tax rates.

Vote to expand the standard deduction and 15% income tax bracket for couples. The elimination of the "marriage penalty" tax would be offset by reducing the marginal tax rate reductions for the top two rate bracket
Reference: Bill HR 1836 ; vote number 2001-112 on May 17, 2001

Voted NO on increasing tax deductions for college tuition.

Vote to increase the tax deduction for college tuition costs from $5,000 to $12,000 and increase the tax credit on student loan interest from $500 to $1,000. The expense would be offset by limiting the cut in the top estate tax rate to 53%.
Reference: Bill HR 1836 ; vote number 2001-114 on May 17, 2001

Voted YES on eliminating the 'marriage penalty'.

Vote on a bill that would reduce taxes on married couples by increasing their standard deduction to twice that of single taxpayers and raise the income limits on both the 15 percent and 28 percent tax brackets for married couples to twice that of singles
Reference: Bill HR.4810 ; vote number 2000-215 on Jul 18, 2000

Voted NO on phasing out the estate tax ("death tax").

Vote on a bill that would eventually eliminate the tax imposed on estates and gifts by 2010 at an estimated cost of $75 billion annually when fully phased in.
Reference: Bill HR 8 ; vote number 2000-197 on Jul 14, 2000

Rated 46% by NTU, indicating "Satisfactory" on tax votes.

Chafee scores 46% by NTU on tax-lowering policies

Every year National Taxpayers Union (NTU) rates U.S. Representatives and Senators on their actual votes—every vote that significantly affects taxes, spending, debt, and regulatory burdens on consumers and taxpayers. NTU assigned weights to the votes, reflecting the importance of each vote’s effect. NTU has no partisan axe to grind. All Members of Congress are treated the same regardless of political affiliation. Our only constituency is the overburdened American taxpayer. Grades are given impartially, based on the Taxpayer Score. The Taxpayer Score measures the strength of support for reducing spending and regulation and opposing higher taxes. In general, a higher score is better because it means a Member of Congress voted to lessen or limit the burden on taxpayers. The Taxpayer Score can range between zero and 100. We do not expect anyone to score a 100, nor has any legislator ever scored a perfect 100 in the multi-year history of the comprehensive NTU scoring system. A high score does not mean that the Member of Congress was opposed to all spending or all programs. High-scoring Members have indicated that they would vote for many programs if the amount of spending were lower. A Member who wants to increase spending on some programs can achieve a high score if he or she votes for offsetting cuts in other programs. A zero score would indicate that the Member of Congress approved every spending proposal and opposed every pro-taxpayer reform.

Source: NTU website 03n-NTU on Dec 31, 2003

Implement socially fair, broad-based tax cuts.

Chafee adopted the Republican Main Street Partnership issue stance:

Not only has the Republican-led Congress achieved a balanced budget for the first time since 1969, but it has also created a budget surplus -- a feat not previously even imaginable. It is currently projected that the Fiscal Year 1999 budget surplus will be along the order of some $80 billion, of which $66 billion is earmarked for Social Security. This envious state of affairs would seem to indicate that equitable, far-reaching tax reductions may be in order -- not as an ideological or political strategy, but as a primary element of an economic growth policy and a legitimate tool for holding down unnecessary government growth in times of surplus.

The United States is enjoying steady economic prosperity thanks in no small measure to prudent fiscal policies implemented by the Republican-led Congress. However, we must look not only at the positive side of the economy but also at the problems the economy faces -- at the present time and into the twenty-first century. Limiting government spending (i.e., spending caps) is a good beginning to address some difficulties. In addition, current and future Congresses should maintain a balanced federal budget, pay down the national debt (which will help protect Social Security for current and future generations), redefine the federal government's role in the society and, finally, think about fair tax reductions for the American people and the businesses that drive our economy. [We need] an evaluation of implementing tax cuts based on their social fairness.

Source: Republican Main St. Partnership Issue Paper: Fiscal Policy 98-RMSP6 on Sep 9, 1998

Other candidates on Tax Reform: Lincoln Chafee on other issues:
2020 Presidential Candidates:
Pres.Donald Trump (R-NY)
V.P.Mike Pence (R-IN)
V.P.Joe Biden (D-DE)
Sen.Kamala Harris (D-CA)
CEO Don Blankenship (Constitution-WV)
CEO Rocky De La Fuente (R-CA)
Howie Hawkins (Green-NY)
Jo Jorgensen (Libertarian-IL)
Gloria La Riva (Socialist-CA)
Kanye West (Birthday-CA)

2020 GOP and Independent primary candidates:
Rep.Justin Amash (Libertarian-MI)
Gov.Lincoln Chafee (Libertarian-RI)
Gov.Larry Hogan (R-MD)
Zoltan Istvan (Libertarian-CA)
Gov.John Kasich (R-OH)
Gov.Mark Sanford (R-SC)
Ian Schlackman (Green-MD)
CEO Howard Schultz (Independent-WA)
Gov.Jesse Ventura (Green-MN)
V.C.Arvin Vohra (Libertarian-MD)
Rep.Joe Walsh (R-IL)
Gov.Bill Weld (Libertarian-NY,R-MA)

2020 Democratic Veepstakes Candidates:
State Rep.Stacey Abrams (D-GA)
Mayor Keisha Lance Bottoms (D-GA)
Rep.Val Demings (D-FL)
Sen.Amy Klobuchar (D-MN)
Sen.Kirsten Gillibrand (D-NY)
Sen.Maggie Hassan (D-NH)
Gov.Michelle Lujan-Grisham (D-NM)
Sen.Catherine Masto (D-NV)
Gov.Gina Raimondo (D-RI)
Amb.Susan Rice (D-ME)
Sen.Jeanne Shaheen (D-NH)
Sen.Elizabeth Warren (D-MA)
Gov.Gretchen Whitmer (D-MI)
A.G.Sally Yates (D-GA)
Abortion
Budget/Economy
Civil Rights
Corporations
Crime
Drugs
Education
Energy/Oil
Environment
Families/Children
Foreign Policy
Free Trade
Govt. Reform
Gun Control
Health Care
Homeland Security
Immigration
Infrastructure/Technology
Jobs
Principles/Values
Social Security
Tax Reform
War/Iraq/Mideast
Welfare/Poverty

External Links about Lincoln Chafee:
Wikipedia
Ballotpedia

2020 Withdrawn Democratic Candidates:
Sen.Michael Bennet (D-CO)
Mayor Mike Bloomberg (I-NYC)
Sen.Cory Booker (D-NJ)
Gov.Steve Bullock (D-MT)
Mayor Pete Buttigieg (D-IN)
Secy.Julian Castro (D-TX)
Mayor Bill de Blasio (D-NYC)
Rep.John Delaney (D-MD)
Rep.Tulsi Gabbard (D-HI)
Sen.Mike Gravel (D-AK)
Gov.John Hickenlooper (D-CO)
Gov.Jay Inslee (D-WA)
Mayor Wayne Messam (D-FL)
Rep.Seth Moulton (D-MA)
Rep.Beto O`Rourke (D-TX)
Gov.Deval Patrick (D-MA)
Rep.Tim Ryan (D-CA)
Sen.Bernie Sanders (I-VT)
Adm.Joe Sestak (D-PA)
CEO Tom Steyer (D-CA)
Rep.Eric Swalwell (D-CA)
Marianne Williamson (D-CA)
CEO Andrew Yang (D-NY)





Page last updated: Sep 01, 2020