One Congressman's Mission to Simplify the Tax Code - KTVN Channel 2 - Reno Tahoe News Weather, Video -

One Congressman's Mission to Simplify the Tax Code

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"Our code is overly complex, as I like to say 'ten times the size of the Bible with none of the good news.' It's really a wet blanket on the economy."

Michigan Congressman Dave Camp chairs the committee that writes tax law - ways and means. His plan would compress the seven current personal tax brackets down to just two - 10% and 25%. With an extra 10% surtax on some income for those making over $400,000 a year. "It's much simpler, and one of the things we do is raise the standard deduction so fewer people itemize, so it's a huge simplification aspect," the Republican says.

Under his plan, Camp says a family of four making $51,000 a year would pay an average of $1,300 less in yearly taxes. The corporate rate would drop from 35% to 25%. And in exchange, a long list of special interest giveaways would be eliminated. "Corporate jets is one of them, that's one thing we look at...'

Past attempts to close loopholes have met with fierce resistance from special interests. That's one reason Congress has not managed to seriously overhaul the tax code since 1986. But that's  not Camp's only obstacle. Congressional leaders from both parties appear unwillingly to take up such an explosive issue. They say mistrust between the two sides is just too high. "It would be extremely difficult with the obstruction that we get here from the Republicans on virtually everything," says Nevada Senator Harry Reid (D).

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