The non-partisan Tax Policy Center last month released a study showing that if Mitt Romney were to keep his promise to cut tax rates by 20 percent while still balancing the budget, he would have to raise taxes on middle class families by more than $2,000. The Romney campaign has disputed the study, saying that it will close enough loopholes to pay for its huge rate cut; however, it refuses to divulge one single loophole that would be on the chopping block.
Notably, the TPC study found that even if Romney eliminated every single loophole and deduction for wealthy taxpayers, he still couldn’t offset the revenue loss without raising taxes on the middle class. During an interview yesterday on NBC’s Meet The Press, Romney claimed that five other studies show that he could, in fact, accomplish all his budget goals:
GREGORY: So Governor, we talked last night about jobs and the economy and also the debt. And I want to begin there. You’ve called the debt and our deficit a moral crisis, and yet in addition to extending the Bush tax cuts, you want to cut tax rates an additional 20 percent. You’ve rejected a 10 to one spending ratio when it comes to spending to increasing taxes. And, yet, you want to balance the budget. The math simply doesn’t add up, does it?
MR. ROMNEY: Well, actually, it does. And the — the good news is that five different economic studies, including one at Harvard and Princeton and AEI and a couple at The Wall Street Journal all show that if we bring down our top rates and actually go across the board, bring down rates for everyone in America, but also limit deductions and exemptions for people at the high end, while you can keep the progressivity in the code, you could remain revenue neutral and you create an enormous incentive for growth in the economy.