Business

Lew Says Congress Should Turn Efforts Toward Business Taxes

Published

11 years ago

January 22, 2015

In this Feb. 13, 2013, file photo, Jack Lew testifies at his confirmation hearing to be the new Treasury Secretary in Washington. (AP Photo/J. Scott Applewhite)

STEPHEN OHLEMACHER, Associated Press

WASHINGTON (AP) — The Obama administration is pushing Congress to simplify federal business taxes after Treasury Secretary Jacob Lew said Democrats and Republicans are too far apart to agree on sweeping changes to taxes paid by individuals and families.

Lew said the Obama administration has no interest in lowering the top income tax rate paid by individuals, a key goal for Republicans. He said there are more areas of agreement on business taxes.

“I don’t think that there’s any advantage in pretending that there aren’t big disagreements on the individual tax side,” Lew said at a forum hosted by the Brookings Institution, a Washington think tank. “We had a national debate just two years ago about the top rate. We’re not looking at the kind of negotiation to go back to lower the top rate.”

“While our views on individual tax reform may be far apart,” Lew added, “there is a broad set of business tax reforms on which we should be able to agree.”

Lew’s comments came after President Barack Obama proposed raising taxes on the rich and using some of the revenue to finance tax breaks for the middle class. In his State of the Union address this week, Obama called his approach “middle-class economics.”

Congressional Republicans panned the speech, saying there is no way they would use their majorities in the House and Senate to enact tax increases.

“This White House is more about redistribution and populist class warfare than about actual bipartisan tax reform,” said Sen. Orrin Hatch, R-Utah, chairman of the Senate Finance Committee.

Congressional Republicans said they were disappointed the Obama administration isn’t pushing to simplify taxes for individuals. They noted that the vast majority of small business owners report business income on their individual tax returns.

Still, key Republicans said they would welcome more talks about business taxes.

“We’re going to keep talking. We’re going to exhaust the possibilities of seeing where the common ground exists and see if we can get something done,” said Rep. Paul Ryan, R-Wis., chairman of the tax-writing House Ways and Means Committee.

“We do have big differences of opinion and our next step is to explore the areas of common ground if and where they exist,” Ryan said. “I’d like comprehensive tax reform and I think it’s important that you make sure that small businesses don’t fall by the wayside. And that is very important to us, and so we’ll see if we can complete the circle.”

Hatch and Sen. Ron Wyden of Oregon, the top Democrat on the Finance Committee, have formed five bipartisan working groups to work on various aspects of the tax code, with the goal of developing comprehensive legislation by the end of the year.

“I don’t want to just release a framework or a proposal that doesn’t go anywhere,” Hatch said in a speech this week. “My only goal when it comes to tax reform is to make new law.”

Democrats and Republicans alike agree that the nation’s tax laws are too complicated for businesses and individuals, filled with too many exemptions, deductions and credits. The tax code is so complex that most Americans pay someone to do their taxes or they buy commercial software to help them file.

There is also widespread agreement that lawmakers should eliminate some targeted tax breaks and use the extra revenue to lower tax rates for everyone. However, there is no consensus on which tax breaks should go and whose tax rates should be cut.

The top federal income tax rate for individuals and families is 39.6 percent. Some Republicans in Congress would like to lower it to 25 percent.

“I don’t think lowering the top individual rate is the way to grow our economy or create a better future for middle-class workers or for the country at large,” Lew said.

Obama released a framework for business tax reform in 2012. In it, he called for lowering the top corporate income tax rate from 35 percent — the highest in the industrialized world — to 28 percent. Obama would finance the cut by eliminating dozens of targeted tax breaks for corporations.

The corporate income tax, however, only affects a small percentage of American businesses. More than 30 million tax returns a year report business income. But in 2013, only 2.2 million were traditional corporations that paid the corporate income tax.

The overwhelming majority were sole proprietorships, partnerships and other corporations in which the owners report their business income on their individual tax returns. These businesses, known as pass-throughs, would not benefit from a cut in the corporate income tax rate.

Lew said Obama’s plan would help these businesses in other ways, such as easing accounting rules and enabling them to more quickly write off business expenses.

Key Republicans in Congress, however, are skeptical that Obama’s proposals would do enough to help small businesses.

“Let’s start the discussion on businesses, but it’s difficult to follow that all the way through without having a real adult conversation about individual rates because so many of our businesses are filing over there,” said Rep Kevin Brady of Texas, a senior Republican on the Ways and Means Committee.

___

Follow Stephen Ohlemacher on Twitter: http://twitter.com/stephenatap

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Oakland Post: Week of July 1 – 7, 2026

The printed Weekly Edition of the Oakland Post: Week of July 1 – 7, 2026

Published

4 days ago

July 5, 2026

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Arts and Culture

Prescott Circus Theatre Presents Free Summer Performance Series

Now in its 41st year, the Prescott Circus Theatre is a nationally recognized performing arts education program for Oakland youth. The circus offers safe environments that challenge Oakland youth, through circus arts training, to develop the skills and confidence to thrive on stage, in school, and in life.

Published

2 weeks ago

June 26, 2026

Oakland Post

Prescott Circus showcase pathways pyramid. Photo courtesy of Prescott Circus.

By Post Staff

The Prescott Circus, Oakland’s longest-running youth circus, is returning this summer with its free shows. Join the Prescott Circus’s young stars as they share their joys and talents through stilt-dancing, tumbling, juggling, and more.

At the heart of this one-hour show, which demonstrates teamwork, pride, and joy, are Oakland Unified School District students ages 8 – 17 from more than 10 different schools

This is accomplished through no-cost school and community programs for more than 300 Oakland youth each year. Performing company members from Prescott, where the program began, perform and make appearances at as many as 40 Bay Area events each year.

The summer program is funded in part by Oakland Fund for Children and Youth, California Arts Council, Port of Oakland, and the West Davis & Bergard Foundation.

Performances will be held Tuesday, July 14, 11 a.m. and 1:30 p.m. (ASL interpreted) and Wednesday, July 15, 11 a.m., at the Malonga Casquelourd Center for the Arts, 1428 Alice St., Oakland. For free reservations go to

https://PrescottCircusSummerShows.eventbrite.com

For group reservations for camps, childcare centers, senior centers, go to www.prescottcircus.org

A community show will be held Saturday, July 18, 2 p.m. to 3 p.m., at DeFremery Park,1651 Adeline St., Oakland.

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NPRC Joins National Grand Jury Proceedings Seeking Accountability, Constitutional Restoration

Organizers state that testimony will explore historical and political developments that they believe have contributed to the expansion of corporate influence over public institutions and governmental decision-making. Participants are expected to discuss concerns regarding constitutional governance, individual liberties, property rights, and the protection of vulnerable populations, including seniors and persons with disabilities.

Published

2 weeks ago

June 26, 2026

Oakland Post

Photo by Billie Powers.

Special to The Post

The National Probate Reform Coalition (NPRC) has joined Toll and Roll and a growing coalition of advocacy organizations, victims, whistleblowers, and citizen groups in support of a nationally broadcast People’s Grand Jury proceeding scheduled for July 1 and July 7.

Organizers describe the event as a public forum designed to examine allegations of government abuse, judicial misconduct, legislative failures, and the erosion of constitutional protections affecting millions of Americans.

The proceedings will feature testimony from victims, families, advocates, and organizations from across the country who contend they have experienced harm through government actions, institutional neglect, and failures of oversight.

According to organizers, the People’s Grand Jury will focus on concerns involving probate courts, guardianships, conservatorships, child welfare systems, property rights, civil liberties, and what participants view as a growing disconnect between government institutions and the constitutional rights of the people they are sworn to serve.

NPRC is participating because many of the issues being examined mirror the concerns raised by advocates, victims, and families who have participated in its monthly town halls. For years, families have reported cases involving exploitation of elders, questionable guardianships, estate depletion, denial of due process, and a lack of meaningful oversight within probate court systems.

“This proceeding gives victims and advocates an opportunity to place their experiences on the public record,” said Tanya Dennis, lead facilitator of NPRC. “For too long, families have struggled to have their voices heard regarding elder abuse, probate exploitation, and government inaction. This forum allows those stories to be shared before a national audience.”

In keeping with principles of transparency and fairness, invitations have been extended to legislators, members of the judiciary, law enforcement representatives, and other public officials who may wish to respond to concerns raised during the proceedings or defend actions taken by their respective institutions.

One of the primary outcomes sought by organizers is public consideration and support for the People’s Remedy and Restoration Act, a proposed legislative framework that advocates believe would strengthen oversight, increase accountability, provide remedies for victims of governmental abuse, and restore constitutional protections.

The proceedings are expected to be broadcast nationally, providing citizens throughout the United States an opportunity to observe testimony, review evidence presented, and participate in an ongoing conversation regarding government accountability and the protection of individual rights.

Advocates hope the hearings will encourage meaningful dialogue, legislative reform, and renewed public engagement in the democratic process.

Individuals, organizations, public officials, and members of the media interested in attending or obtaining access information may contact the organizers at tollandroll2025@gmail.com.

As Americans continue to debate the future of constitutional governance, judicial accountability, and the protection of vulnerable citizens, the July proceedings are expected to serve as a significant forum for public testimony and civic engagement. For more information, go to https://tollandroll.com