Wednesday, January 14, 2009

Payroll Tax Holiday

Over on Campaign Spot, Jim Geraghty notes the following benefits to a payroll tax holiday:

It would cost a lot. But then again, Democrats are talking about spending about $1 trillion on mobster museums and new guard rails for Maryland, etc. If that money's gonna be spent, better our way than their pork-to-donors way.

The payroll tax suspension is simple, elegant, can be explained in 30 seconds, and I'd bet it would be wildly popular.”

It’s also easy to implement, requires little or no additional bureaucratic administration, and provides a nice break on the cost of labor to businesses.

As Instapundit notes, the main drawback is that it lacks attraction to congressmen because there’s no opportunity for graft, kickbacks, corruption, and pork.