Camp Announces Hearing on Economic Models Available to the Joint Committee on Taxation for Analyzing Tax Reform Proposals
Congressman Dave Camp (R-MI), Chairman of the Committee on Ways and Means, today announced that the Committee will hold a hearing to review and examine the variety of economic models used by the Joint Committee on Taxation (JCT) to analyze and score tax reform legislation. In particular, the Committee will review the tools available to the JCT that would enable it to measure the effect of proposals on economic growth and job creation as well as the effect on revenue levels. The Committee last reviewed this topic at a hearing in 2002, so this hearing will not only examine changes in economic thinking and the Joint Committee’s capabilities since then, but also review the extent to which the current economic climate poses new challenges to this analysis. The hearing will take place on Wednesday, September 21, 2011, in Room 1100 of the Longworth House Office Building, beginning at 10:00 A.M.
In view of the limited time available to hear witnesses, oral testimony at this hearing will be from invited witnesses only. However, any individual or organization not scheduled for an oral appearance may submit a written statement for consideration by the Committee and for inclusion in the printed record of the hearing. A list of invited witnesses will follow. BACKGROUND: JCT serves a critical role in the legislative process by providing expert and impartial analysis of the potential effect of proposals to change U.S. tax policy. Under current practice, the analytical methods used by JCT do not take into account the potential effects of statutory tax changes on economic growth. For most of the proposals analyzed by JCT, this practice is appropriate because the proposed changes would not be large enough to have a material impact on an economy as large as that of the United States. However, JCT has worked to develop the capacity to conduct macroeconomic modeling of significant changes to U.S. tax policy. Comprehensive tax reform by its very nature constitutes a significant change in U.S. tax policy and has the potential to significantly boost economic growth and job creation. The hearing will review the current status and capabilities of JCT’s macroeconomic analysis and how it can be used to measure accurately the impact of comprehensive reform on economic growth and job creation. In announcing this hearing, Chairman Camp said, “A wide array of economists and business leaders have testified before the Ways & Means Committee that comprehensive tax reform that lowers rates by broadening the tax base will promote economic growth and job creation. This hearing will examine the importance of ensuring that Congress can accurately measure the broad economic impact of comprehensive tax reform.” FOCUS OF THE HEARING: The hearing will review JCT’s revenue estimating methodologies and its ability to analyze the impact on economic growth and job creation of comprehensive tax reform proposals. DETAILS FOR SUBMISSION OF WRITTEN COMMENTS: Please Note: Any person(s) and/or organization(s) wishing to submit written comments for the hearing record must follow the appropriate link on the hearing page of the Committee website and complete the informational forms. From the Committee homepage,https://waysandmeans.house.gov, select “Hearings.” Select the hearing for which you would like to submit, and click on the link entitled, “Click here to provide a submission for the record.” Once you have followed the online instructions, submit all requested information. ATTACH your submission as a Word document, in compliance with the formatting requirements listed below, by the close of business on Wednesday, October 5, 2011. Finally, please note that due to the change in House mail policy, the U.S. Capitol Police will refuse sealed-package deliveries to all House Office Buildings. For questions, or if you encounter technical problems, please call (202) 225-3625 or (202) 225-2610. FORMATTING REQUIREMENTS: The Committee relies on electronic submissions for printing the official hearing record. As always, submissions will be included in the record according to the discretion of the Committee. The Committee will not alter the content of your submission, but we reserve the right to format it according to our guidelines. Any submission provided to the Committee by a witness, any supplementary materials submitted for the printed record, and any written comments in response to a request for written comments must conform to the guidelines listed below. Any submission or supplementary item not in compliance with these guidelines will not be printed, but will be maintained in the Committee files for review and use by the Committee. 1. All submissions and supplementary materials must be provided in Word format and MUST NOT exceed a total of 10 pages, including attachments. Witnesses and submitters are advised that the Committee relies on electronic submissions for printing the official hearing record. 2. Copies of whole documents submitted as exhibit material will not be accepted for printing. Instead, exhibit material should be referenced and quoted or paraphrased. All exhibit material not meeting these specifications will be maintained in the Committee files for review and use by the Committee. 3. All submissions must include a list of all clients, persons and/or organizations on whose behalf the witness appears. A supplemental sheet must accompany each submission listing the name, company, address, telephone, and fax numbers of each witness. The Committee seeks to make its facilities accessible to persons with disabilities. If you are in need of special accommodations, please call 202-225-1721 or 202-226-3411 TTD/TTY in advance of the event (four business days notice is requested). Questions with regard to special accommodation needs in general (including availability of Committee materials in alternative formats) may be directed to the Committee as noted above. Note: All Committee advisories and news releases are available on the World Wide Web at http://www.waysandmeans.house.gov/. |