Revenue-Neutral Tax Bill Opposed By Rostenkowski: Rostenkowski Opposes Revenue-Neutral Bi
Rep. Dan Rostenkowski (D-Ill.), chairman of the House Ways and Means Committee, said yesterday that he will oppose any tax bill that does not also raise revenue to reduce the federal budget deficit.</br></br>Rostenkowski said that reducing the deficit, estimated at $200 billion per year for several years, is the first priority of Congress and that revenue-neutral tax plans such as -the one advanced last week by the Treasury Department would not be j acceptable.</br></br>Incoming Senate Finance Committee Chairman Bob Packwood (R-Ore.), appearing with Rostenkowski on ABC's "This Week with David Brinkley,Û said he would oppose action on any tax bill until after Congress deals with spending cuts, although committee hearings could proceed. Packwood repeated his opposition to a basic element of the Treasury planÛÓtaxing employer-paid benefits such as health insurance.</br></br>The opposition of the two leaders of CongressÛª tax-writing committees further dims the already bleak prospects for the Treasury plan, which would cut tax rates for individuals and businesses but remove many current deductions and preferences.</br></br>Incoming Senate Majority Leader Robert J. Dole (R-Kan.) also said emphasis should be put on spending cuts and cautioned against quick action on a tax plan.