CATS E-Briefing
Citizens for an Alternative Tax System
2020 Pennsylvania Ave., NW, #423
Washington, DC 20006
800-767-7577
www.cats.org
CATS E Briefing 19 June 2001
I would like to invite you to visit the new CATS web site, built from the ground up to reflect the idea that we must increase the volume and speed with which we communicate; to other citizens, and to government. Go to the site and grab an e-brochure and e-mail it right from www.cats.org. Try it. Click on the symbol with the lightening bolt and the Capitol on the home page. Read the introductory information and send an e-brochure to everyone on your list.
When Phase Two development is completed (shortly) you will have the added feature of being able to grab any information in the site and send it as an e-mail. This means that if someone asks you a question and you don't know the answer you can go to www.cats.org and grab the needed information from the FAQ Section and send it along. Also in Phase Two, we will provide a page that will facilitate quick communication to your Senators and Representatives.
The site is built so that information, articles, and new FAQ's can be easily added. If you want to know something that isn't answered just send a note to: mailroom@cats.org and we can add the new information.
In the mail to you is a direct mail piece that is designed to drive people to the site. I wanted each one of you to have a copy so you can immediately send the enclosed post card to the President. Also, I ask that you send in a donation to CATS that will go into the fund to reprint this direct mail piece to send it out broadly. We have some great mailing lists and just need the print and postage money. We need a way to contact people who are not on the net, as well as drive the wired population to www.cats.org. When they arrive they have an easy way to communicate to others, who in turn come to the site, grab an e-brochure and so on.
We are seeing a re-emergence -- right here in DC. Interest is turning back to Fundamental Tax Reform and this time coming down from the higher echelons. It is time to increase the speed and volume of communication.
Glenn Wahlquist
Director of Operations
CATS National Office
CATS on "The Hill"
Two weeks ago, a delegation from the CATS National Office spoke to Congressman Jim DeMint (REP-SC), who is planning on introducing his own sales tax legislation in the next month or two. This is good as it represents more communication and additional leadership in the House on fundamental tax reform.
Traditionally CATS has not had as much support in the Senate as we have had in the House. But that is about to change. Glenn Wahlquist and Howard Mason, from the CATS National Office, recently met with Senator Tim Hutchinson (REP-AR), Senator Jesse Helms (REP-NC), Senator John Edwards (DEM-NC), and Senator Richard Lugar (REP-IN).
Glenn and Howard have also scheduled meetings with Senator Fred Thompson (REP-TN), Senator George Allen (REP-VA), and Senator Phil Gramm (REP-TX).
The purpose of these meetings is to achieve the goal of forming an unofficial working group to raise the communication level in the Senate on the subject of real tax reform.
With the emphasis from the Presidential level, and the increased activity in the House, some Senators will find it in their political interest to move on this issue in the Senate.
What we need to do in the interim is to mail plenty of post cards to the President. CATS is in the process of printing more post cards now, so that we can get them out to everyone over the summer.
If you do not have your "Liberty Post Card", please contact CATS immediately at 1-800-767-7577.
Sales Tax Gets Attention
On Tuesday, June 26, 2001, the CATO Institute was host to a Policy Forum on the subject, "With a Tax Cut in Place, the Next Step Is Major Tax Reform." The Keynote Speaker was Dr. R. Glenn Hubbard. At the Policy Forum, Dr. Hubbard discussed the need for major tax reform, the steps required to move the current system toward a consumption-based tax, and reform options that are being considered by the Bush administration.
Before taking his current position as chairman of the Council of Economic Advisers, Hubbard was the Russell L. Carson Professor of Economics and Finance at Columbia University. He has been director of the Tax Policy Program at the American Enterprise Institute, and was deputy assistant secretary (tax analysis) at the U.S. Department of the Treasury from 1991 to 1993.
Below is a message from the CATS National Office regarding this important event:
26 June 2001
Top Advisor Speaks Out on Tax System
Washington, DC -- Dr. Glenn Hubbard is the Chairman for the Council on Economic Advisors, the group that helps the President formulate policy on issues that would promote a healthy economy.
Looking around the room at the CATO Institute, the site of the briefing, one sees all of the familiar faces of the individuals who have supported fundamental tax reform over the years. The theater style seats are full.
Dr. Hubbard, a professor at Columbia University turned political advisor steps forward. "This year's tax bill reduces income tax rates, repeals the estates tax, and modestly liberalizes the tax treatment of retirement savings plans. But major tax reform, which would replace the complex income tax with a simpler, consumption-based tax, awaits further action."
Dr. Hubbard goes on to lay out the four components that would have to be present in the new consumption-based tax system.
- It would have to be a system that was pro-economic growth, moving away from a system that punishes capital formation and productivity.
- It would have to be visible, eliminating the hidden costs of government in the products we manufacture.
- It would have to be simple, so that a minimum of time or expense was involved in "compliance".
- It would have to be fair. We must remove the multiple layers taxation in our complex tax system.
Dr. Hubbard is the third highest-ranking official in this administration to speak out for fundamental tax reform. Early on, Treasury Secretary, Paul O'Neill promoted the merits of a consumption tax, as well as the Economic Advisor to the President, Lawrence Lindsey.
What do we, as CATS Members, do at this moment? The President needs to hear from us.
It would be easy to do a few minor adjustments to the current system that would promote savings or remove some of the complexity.
Do you have your "Liberty Post Card" that was mailed to you in the CATS Direct Mail Package? Make sure to send it in! If you do not have your "Liberty Post Card", call CATS at 1-800-767-7577. Encourage the President to junk the whole system and go to a national retail sales tax. No stopping short on this one.
We do not want to simply tinker with the current system, but make a clean break with the antiquated income tax system, shedding the past and moving into the new century with something that makes good economic sense.
Citizens for an Alternative Tax System
2020 Pennsylvania Ave. NW, #423
Washington, D.C. 20006
Phone: 800-767-7577
Fax: 703-368-5843
www.cats.org
Meet Your Nevada MOC
As soon as the National Retail Sales Tax legislation is re-introduced in Congress (see following article), we will be scheduling face-to-face meetings with our Nevada Senators and Representatives.
If you would like to meet with your Nevada Members of Congress and be part of the delegation from CATS Las Vegas, contact us at (702) 454-5736.
If you have never met your MOC in person, here is your big chance. Don't miss your opportunity!!
Legislation Looming
Rep. Steve Largent (REP-OK) and Rep. W.J. "Billy" Tauzin (REP-LA) both wanted to introduce their bills in the U.S. House of Representatives before the Legislature went on recess for the 4th of July.
Unfortunately, the focus was primarily on the Health Care/HMO debate, which took center stage. Congress will be back in session on Monday, the 9th of July, and both Largent and Tauzin promised to move forward.
Largent is going to re-introduce his "Sunset The Tax Code" bill, and Tauzin will re-introduce his "National Retail Sales Tax" bill. Since the number "H.R. 2001" is already taken this session, we will have the new bill number for you as soon as it is made known.
Americans For Fair Taxation (AFFT) is waiting for H.R. 2525 to come along so they can keep their same bill number for "The Fair Tax".
