HOUSE PASSED BUDGET ACHIEVES BALANCE, SETS PRIORITIES
Extension of Sales Tax Deduction Included in Budget March 29, 2007

WASHINGTON, D.C. -- The U.S. House today passed a fiscally responsible budget outlining priorities for America in Fiscal Year 2008, said Rep. Lincoln Davis.

Davis praised the House budget for adhering to the Pay-As-You-Go (PAYGO) rule, which he has long advocated as a solution to end deficit spending, while balancing our most pressing needs. For the first time in several years the House has passed a budget with responsible spending reforms, such as PAYGO, in place.

"We have put together a balanced budget that ends the deficit spending of the last several years and charts us towards a path of budget surpluses once again," Davis said. "Every working family in the 4th District has to make tough decisions to keep their house in order, the least we can do is the same with their tax dollars."

During the 1990s when PAYGO rules were in place we saw the largest economic growth in our nation's history with a surplus in the hundreds of billions.

Tennessee's families and veterans will fare particularly well under the House passed budget. The budget states that the deduction for state and local sales tax, child tax credit, and marriage penalty relief among other tax cuts should be extended beyond 2010.

"I know everyone in Tennessee wants to be on equal footing with the rest of America's taxpayers," Davis said. "This budget allows Tennessee taxpayers to keep their hard earned money."

Head Start will see an increase in funding as well as other vital education programs.

The budget seeks to honor promises made by our government to look after our soldiers returning from Iraq and Afghanistan and veterans with a funding boost for healthcare. The additional resources will go towards repairing VA health care facilities, investing in mental health care and traumatic brain injury, and speeding up disability claims processing.