Revenue Equity

June 11, 2009

NETWORK works to bring about greater economic equity, to support legislation which will bring this nation closer to functioning for the common good. Therefore, we believe that tax policy must be progressive by nature and in its procedures. We are in a time of great economic disparity where those possessing the greatest wealth have been favored in tax policy – to the extreme detriment of those who struggle merely to be housed, to feed their families, and to meet basic health needs.

In a May 2009 statement on the federal budget, the USCCB stated that they “support (a federal) budget and tax provisions that would protect and assist poor and vulnerable families and children.” This builds on the 1986 document: ECONOMIC JUSTICE FOR ALL, Pastoral Letter on Catholic Social Teaching and the U.S. Economy. This document, based on the mandate of the Hebrew Scriptures and the preaching of Jesus, makes clear that economic life must support the dignity of all persons, with a particular option for those who are poor. The Bishops recognize in the letter that “human dignity can be realized and protected only in community.” All persons have a right to work, to have the means to support a family. When this work is not possible or available, it is incumbent on society to provide the means to live in dignity, as one created in the image of God. Pope John XXIII declared that “all people have a right to life, food, clothing, shelter, rest, medical care, education, and employment.” When this is denied, they are being denied basic rights.

It is time to reverse the recent thrust of tax policy. We must continue to move to a more equitable revenue stream through ever-more progressive tax policies. Those with the greatest means who have received the greatest tax benefit must now take greater responsibility to meet the needs of those who are suffering and promote the common good.

Therefore, NETWORK supports the “Rebuild and Renew American NOW” statement: Responsible and Fair Taxation: Funding Investments for the Common Good and calls on Congress to:

• close corporate loopholes that allow industries to pay far less tax than working individuals
• reduce tax evasion schemes of corporations that shelter income offshore
• provide preferences in tax policy for earned income over unearned income (example: require Medicare tax be paid on all income, not just on earned income)
• assess significant tax on large estates
• hold upper-income households responsible for equitable portion of revenue.

St. Matthew reminds us in his Gospel that we will be judged according to how we respond to the hungry, the thirsty, the naked, the stranger.