Let's Toast: Dems and Repubs Plan Business Tax Cut

The people elected to serve us in Washington have their work cut out for them. There's the bi-partisan bickering over issues both small and large, the pressure from special interest groups, and the inherent temptations that come with being a cog in the most powerful wheel in the world. Curiously, they fight tooth and nail to stay in the game.

Most of us understand that Washington politics is essentially about deal-making, and what happens when there's no compromise, or too much compromise. Beltway politics can get pretty complicated. Unfortunately, the media do little in helping to make sense of it all.  So while the average person may not know the specifics of key political issues, still, they know full well when politicians aren't getting the job done.

You don't have to be a political junkie to know that the economy is very weak and has been so for the past few years. Don't expect too much in the way of change, since both parties seem committed to defending and supporting their economic growth theories--whether they make sense or not.  Democrats say the economy grows when businesses pay more taxes and republicans say that businesses grow when they have smaller tax burdens. Outside the beltway, I don't think most people really care about the specifics of the opposing ideologies, they just want the economy to grow.

If I were Queen of the United States, I'd end this stalemate today. Taxes would be cut for businesses, with the caveat being tax savings would have to be used to reinvest in the business, by hiring more Americans (this is not a novel idea, it's what they usually do).  It's not complicated. Clearly, taking more from anything means... there's less. Just as taking less, means there's more.  So, if the government requires you to pay more taxes, you have less to spend. If they take less, you have more to spend. The same goes for business.  When the government says they must pay more in taxes (or wages for that matter), it impacts the bottom line, and they will not spend more (at least not in this country--and that includes hiring). But again, logic be damned, and the economy be damned. It's all about the gridlock baby.

So imagine my surprise when I read that a couple of bills have been introduced in Congress that would reduce the federal excise tax on business.  Let me be more specific. A couple of bi-partisan bills have been introduced in Congress that would reduce the federal excise tax on a specific industry.
Rep. Todd Young (R-Ind.) and Rep. John Yarmuth (D-Ky.) introduced the Distillery and Innovation Excise Tax Reform Act to help large and small distilleries grow with reduced taxes.  The bill's sponsors say new craft distilleries are creating jobs and adding to the tax base, and the bill will help reduce the red tape involved in getting the businesses up and running.  On the Senate side, Sen. Ben Carden (D-Md.) and Sen. Susan Collins (R-Me.) have reintroduced the Small Brew Act, which slashes the federal excise tax on small and large brewers.  If passed, it will likely mean that the cost of beer and spirits will be reduced.

Ah-ha, so it can be done.  Politicians from different sides of the aisle can work together to grow the economy.  My only question is why can't they apply this same cooperative spirit (no pun intended) and give tax relief across the board? If cutting taxes will help grow the beer and spirits industry, it'll certainly do the same for every other industry.

Maybe there's one other question, why did they choose this particular industry?