Rusthoven Says Tax System Is A Disgrace

Peter Rusthoven, one of three Indiana Republican candidates for U.S. Senate, said at a Warsaw fund-raiser Thursday the national "tax system is a disgrace."

The luncheon was attended by 16 people, including Rusthoven and his issues coordinator, Rick Whitener. Rusthoven said it's time for the Republican party to get rid of the tax system and replace it with a simple, fair flat tax.

He said he would keep family exemptions, home mortgage interest deductions and charitable gift deductions.

Rusthoven said he also strongly supports getting rid of the estate tax so that businesses and family farmers can pass along the "work of a lifetime to family members, not have it sold for federal taxes."

President Bill Clinton has been noted as saying it would be "reckless" to reform the tax system in that fashion, Rusthoven said. He said he thinks it would be reckless to do anything else.

"I can't think of a stronger gift that we can give to our kids," he said.

Rusthoven is running in the primary for the senate seat currently held by Dan Coats. Coats will not run for re-election.

In an era when couples should be encouraged to get married and stay together, the federal government's response is to increase their taxes by $1,400, sometimes much more. Rusthoven thinks removing the marriage penalty would alleviate that problem.

"The Clinton administration absolutely opposes getting rid of this," he said.

He also believes that Hoosier business has become the post-secondary educator in Indiana.

While he recognizes the importance of job training in education, he believes education is more than that.

"It's about transmitting to each generation heritage, freedom and responsibility," he said, "If we don't start training people for responsible citizenship in a free society, then we are in very deep trouble."

Rusthoven also said Americans need to remember their values. He said George Washington and Abraham Lincoln are not remembered for their excellent economic ability. They are remembered for their character and integrity.

"Not a single civilization has fallen because of their Dow Jones average," he said. "Civilizations fail when they forget their values."

Rusthoven is running against Indianapolis attorney John Price and Fort Wayne Mayor Paul Helmke. If he succeeds in the primary he is almost sure to be running against former Governor Evan Bayh.

Rusthoven, a native of Indiana, currently lives in Hamilton county with his wife Linda and four children.