Allen’s Silence on Payroll Tax Cut Extension is Deafening

11/30/2011

As the Senate prepares to vote on a payroll tax cut extension affecting millions of Virginia families and businesses, Virginians want to know: where does George Allen stand?  Allen was quick to denounce an earlier proposal to extend the payroll tax cut, calling it “just another spending package.”  But, instead of supporting working Americans and businesses, Allen continues to fight to protect tax breaks for his buddies in the oil industry.

 

Economists are now sounding the alarm over the expiration of the payroll tax cut and Allen and his fellow Republicans should listen. Mark Zandi, chief economist at Moody’s and former advisor to John McCain, says that up to 750,000 jobs could be lost if payroll tax cut expires. Michael Pond of Barclays says that letting the cuts expire will reduce growth by up to 1.5%. JPMorgan fears that expiration could cost 1.5%-2.0% in growth. But Allen won’t hear any of it as he continues to build his new Tea Party-approved image in his campaign for reelection.

 

"Only a true Washington insider like George Allen would rather protect tax breaks for his friends in the oil industry who don't need them, than stand up for a middle class tax cut," said DPVA Chairman Brian Moran.  "During his last term in the Senate, Allen exploded our nation’s deficit by supporting George Bush’s expensive tax cuts for the wealthy that did nothing for job creation. By refusing to support a payroll tax cut extension, George Allen is proving that this campaign is pushing the same deficit-busting, economy-damaging policies we saw from Allen during his last term in the Senate."