HR 17-1010 — Federal Tax Reform

HOUSEFirst RESOLUTIONRegular 17-1010Session BYSeventy-first REPRESENTATIVE(S)General Foote,Assembly Bridges,STATE Garnett,OF Hamner,COLORADO Hansen,ENGROSSED Herod,LLS Jackson,NO. Lee, Leonard, Lontine, McLachlan, MichaelsonJenet,MitschBush,Pabon,Pettersen,Rankin,Rosenthal, Salazar, Singer, Van Winkle, Weissman, Winter, Young, Duran.

R17-0986.01 Esther van Mourik x4215 HR17-1010 HOUSE SPONSORSHIP Foote, House Committees HOUSE RESOLUTION 17-1010 CONCERNING THE IMPACT OF FEDERAL TAX REFORM ONTHESTATEANDANENCOURAGEMENTTOTHESTATE'SON THE STATE AND AN ENCOURAGEMENT TO THE STATE 'S CONGRESSIONAL DELEGATION TO PASS REFORMS THAT MAKE THE FEDERAL TAX SYSTEMSYSTEMSIMPLE SIMPLE,,EASYTOUNDERSTAND EASY,ANDNOTPRONETOTAX TO UNDERSTAND, AND NOT PRONE TO TAX AVOIDANCE EFFORTS.EFFORTS .

WHEREAS,Well-designedtaxsystemsprovidethemoneyneededtoWHEREAS,Well-designedtaxsystemsprovidethemoneyneeded to support government institutions, services, and programs that protect people and promote general public welfare, and the money to make investments in infrastructure and other public goods that ensure equal economicopportunity,rewardentrepreneurship,andpromotejobgrowth;

and WHEREAS,g The7 Internald Revenue0 CodeS wase updated, inO 1954l in1 theShading firstdenotes wide-sweepingHOUSE taxamendment. reform, and that Code remained the primary framework of the income tax system, but became increasingly complex through a combination of high tax rates and a wide range of tax deductions and tax shelters;

Double underlining denotes SENATE amendHeita Capital letters indicate new material to be added to existing statuteF M Dashes through the words indicate deletions from existing statute.

WHEREAS, The Internal Revenue Code was updated in 1954 in the first wide-sweeping tax reform, and that Code remained the primary framework of the income tax system, but became increasingly complex through a combination of high tax rates and a wide range of tax deductions and tax shelters;

and WHEREAS, Federal tax law spans 70,000 pages and as a result, the current tax system is widely regarded as complex, unfair, unwieldy, andinefficient.Thesheervolumealonereflectsmanybargainsmadeover time, thus moving away from anyone's concept of an ideal way to raise revenue fairly and inefficient.efficiently;

The sheer volume alone reflects many bargains made over time, thus moving away from anyone's concept of an ideal way to raise revenue fairly and efficiently;

and WHEREAS, Congressional leadership has indicated it will focus on taxreform,bothforcorporationsandindividuals,thisyearsoastocorrecttax reform, both for corporations and individuals, this year so as to correct and simplify the Internal Revenue Code;

and PAGEWHEREAS, 2-HOUSEAs RESOLUTIONtaxes 17-1010are WHEREAS,Astaxesareleviednow,taxplanningallowsindividualslevied now, tax planning allows -2- 1010 individuals and companies to divert taxable earning and assets to minimizeminimizethetaxowedinamultitudeofways.Thisleaveslessmoneyfor theimportant taxgovernment owedpriorities insuch aas multitudepublic ofsafety, ways.roads, and education;

Thisand leavesWHEREAS,Overthepastseveraldecades,corporationshavebeen lesspaying moneya forsmaller importantand governmentsmaller prioritiesshare suchof asthe publictotal safety,federal roads,tax andburden. education;

and WHEREAS, Over the past several decades, corporations have been paying a smaller and smaller share of the total federal tax burden.

and WHEREAS, The current tax code also provides many ways to avoidavoidpayingindividualincometax,butsuchmethodsareoutofreachfor paying individual income tax, but such methods are out of reach for almost all average individual income taxpayers.

and WHEREAS, In whatwhatis is called an "inversion", the current tax code rewards companies for relocating their legal domicile to a lower-tax nation while the company continues its operations in the United States, imposing the same public costs and using the same infrastructure as before the inversion;

now, therefore, BeBeItResolvedbytheHouseofRepresentativesoftheSeventy-first It Resolved by the House of Representatives of the Seventy-first General Assembly of the State of Colorado:

PAGE(2) 3-HOUSEThe RESOLUTIONtax 17-1010system (2)should Thetaxsystemshouldbetransparentsothatthepublicwillknowthatbe transparent so that the public will know that the tax system meets standards of fairness and will be assured that individuals and corporations are all meeting their obligations;

and -3- 1010 (3) Any tax reform that occurs should adhere to the above considerations.

____________________________-4- ____________________________1010 Marilyn Eddins Crisanta Duran CHIEF CLERK OF THE HOUSE SPEAKER OF THE HOUSE OF REPRESENTATIVES OF REPRESENTATIVES PAGE 4-HOUSE RESOLUTION 17-1010