Campaign 2010

Oct 19, 2010

Dan Benishek’s Wishful Thinking Can’t Hide His Support For A New 23% Sales Tax

Dan Benishek’s Wishful Thinking Can’t Hide His Support For A New 23% Sales Tax

Dan Benishek Falsely Claims DCCC Ad Was Pulled From The Airways

In a press release, Dan Benishek falsely announced yesterday the Democratic Congressional Campaign Committee removed a television advertisement highlighting his support for a new 23% sales tax on almost all new purchases, including groceries, gasoline, and prescription drugs.  In an effort to support his false claim, Dan Benishek incorrectly cites a news story from The Hill Newspaper that clearly stated “The DCCC did not pull this ad.”

“Even Dan Benishek’s wishful thinking will not stop voters from learning about his support for a new 23 percent sales tax on almost everything Michigan families buy, including groceries, gasoline, and prescription drugs,” said Gabby Adler, Midwestern Regional Press Secretary at the Democratic Congressional Campaign Committee.  “We will continue to make certain Michigan voters know Dan Benishek wants to raise taxes on hardworking families, while giving a huge break to millionaires, billionaires, and corporations.”

BACKGROUND:

Dan Benishek Falsely Claimed The DCCC Pulled Down an Ad:

In a press release, Dan Benishek falsely claimed “The Democratic Congressional Campaign Committee has “pulled” a television ad that misstated Dr. Dan Benishek’s position on taxes.” [benishekforcongress.com, 10/18/10]

The DCCC Did Not Pull Down an Ad in MI-01:

According the The Hill newspaper, The DCCC did not pull down an ad running in MI-01 highlighting Dan Benishek’s support for a new 23 percent sales tax, reporting “The DCCC did not pull this ad.”  [TheHill.com, 10/17/10]

Benishek Supported the Fair Tax

In 2010, Benishek said, “I do really believe that the fair tax is probably the best way to go.” [iCaucus interview]

Benishek Supported by Michigan FairTax Association

Benishek was supported by the Michigan FairTax Association in his 2010 Republican primary against Jason Allen.  “The reason the MI FairTax Association is becoming involved is that in the closing days of the primary campaign Jason Allan sent literature to voters that misrepresented the national FairTax as a means to attack Dan Benishek for his favorable stance on the FairTax,” the organization said. [ResistNet.com, accessed 10/19/10; Letter from MI Fair Tax]

Fair Tax Would Drastically Raise Middle Class Taxes, Slash Taxes For Millionaires and Billionaires

Under the Fair Tax, middle-income families in Michigan would see their taxes increase by $3,106 while the wealthiest 1% in the country would see their taxes cut by $225,000.  [Institute on Taxation and Economic Policy, September 2004]

Fair Tax Would Apply to All Goods and Services Sold at Retail

According to Americans for Fair Taxation, the group that is backing the effort to impose a Fair Tax, the tax would apply to all goods and services sold at retail. In a summary of the proposal, the group noted that the 23 percent sales tax would replace the individual income tax, payroll taxes, the corporate income tax, the self-employment tax, and the estate tax. It would NOT apply to the purchase of used goods or to education expenses. [Americans for Fair Taxation, “The Fair Tax Act of 2007 – HR 25: Plain English Summary,” fairtax.org, accessed 7/30/08]

Food Included in FairTax.

Fairtax.org an organization dedicated to the implementation of the FairTax specifically addresses the question “Why not just exempt food and medicine from the tax?” in the frequently asked questions section of their website. According to the group, “Exempting items by category is neither fair nor simple.” [Fairtax.org FAQ]

Medicine Included in FairTax.

Fairtax.org an organization dedicated to the implementation of the FairTax specifically addresses the question “Why not just exempt food and medicine from the tax?” in the frequently asked questions section of their website. According to the group, “Exempting items by category is neither fair nor simple.” [Fairtax.org FAQ]

Corporate Income Tax

“The FairTax Act (HR 25, S 296) is nonpartisan legislation. It abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax administered primarily by existing state sales tax authorities.” [FairTax.org, About the FairTax, accessed 7/28/10]