The extension of President Bush’s tax break for the richest 2 percent of taxpayers is the least popular part of the deal between President Obama and the Republican congressional leadership. However, the plan for a temporary reduction of 2 percentage points in the Social Security payroll tax is by far the most dangerous.
Economy & Budget
The American voter is in control. If you have any doubt, look at the presidential election of 2008 and the congressional election of 2010. When the American voter talks, the political elite listens, and we need to look no further than this week’s tax cut compromise to see the result.
This week, President Obama and Republican negotiators announced a deal that will extend all of the 2001 and 2003 tax cuts for two years while also extending unemployment benefits for 13 months, preventing the estate tax from being fully reinstated and cutting payroll taxes for a year. As I’ve been saying all year, no American should face a tax increase in this economic environment. Our top priority must be preventing a tax hike on any American.
What lesson have Democrats drawn from their election “shellacking” five weeks ago?
That’s right: the liberal Democrat leadership in Congress is convinced that class warfare on taxes is their way out of the political wilderness.
Will liberal Democrats scuttle the Obama-GOP tax deal?
The president’s National Commission on Fiscal Responsibility and Reform held its final meeting last week, wrapping up 10 months of information gathering and debate over the fiscal future of our country.
In a holiday season given mostly to Scrooge-like proposals
for deficit reduction and belt-tightening that can only make recovery from the
recession more difficult to achieve, the tax deal the White House struck with
Congressional Republicans has what passes for virtue these days – it doesn’t
make things worse.
Earlier this week, President Barack Obama unveiled his framework of an agreement regarding tax cuts due to expire at the end of the year. It was his attempt to right the nation’s ship in a stormy economy. Unfortunately, it means we’re going to take on water – at least for the next two years.
With President Obama and congressional Republicans
announcing a potential tax extension deal, the Committee for a Responsible
Federal Budget implores lawmakers to incorporate a serious longer-term deficit
reduction plan into the package.