Center on Budget and Policy Priorities

Tax Reform

Revenue-Neutral Tax Reform: The Road to Nowhere on Deficit Reduction

Congressional Republicans reportedly may insist upon revenue-neutral tax reform as part of their price for agreeing to raise the debt limit later this year. Such a course, however, would effectively block further progress in reducing long-term deficits.

As a result, its negative effects would likely substantially outweigh any positive economic benefits from tax reform. Read more

Related: Tax Reform Reality Check

More: Federal Budget analyses

Impact of Sequestration

Congress Addresses Flight Delays, But Leaves Other Problems Unsolved

Delays in air travel inconvenience travelers and harm the economy. But many other sequestration-related cuts that receive much less attention are far more damaging:

So far, roughly 800,000 workers in 19 states have seen their unemployment benefits cut by a little more than 10 percent — or about $120 a month, on average.
Already, some Head Start programs are cutting their programs for the current school year — dropping children from the program, ending the school year several weeks early, or cutting services such as bus transportation.
Some Meals on Wheels seniors programs in various states are cutting the number of home-delivered meals provided or seniors served.
CBPP estimates that 140,000 fewer households will receive vouchers to help them afford decent housing.

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