Skip to comments.White House warns of $1,600 tax hike on 114M middle-class families
Posted on 07/25/2012 7:00:28 AM PDT by Qbert
The White House has launched a new offensive in its fight with congressional Republicans over taxes, arguing 114 million middle-class families will see their taxes rise without action by Congress.
A report from President Obamas National Economic Council released Monday contends the families would see their taxes rise by an average of $1,600 if the George W. Bush-era tax cuts expire as scheduled at the end of the year.
The report is the latest effort by President Obama to corner Republicans on taxes.
The GOP has argued that all of the Bush-era rates should be extended for a year, and the House is expected to vote to approve that extension next week. The Democrat-controlled Senate is expected to vote this week on legislation to extend tax rates only on those with annual income up to $250,000. Senate Republicans are pressing for a separate vote to extend all of the tax rates.
Republicans believe the fight will work to their advantage, as they argue Obama's plan would amount to a tax hike on millions of small businesses. But Democrats believe the contrasting votes will highlight their party's support for the middle class. It dovetails with Obama's reelection argument, that congressional Republicans and GOP candidate Mitt Romney will put tax cuts for the rich above priorities for the middle class.
Neither effort is expected to reach Obamas desk, so the votes and the new White House report are primarily about the fall campaign.
Today, while Republicans and Democrats in Washington rarely see eye to eye, everyone agrees that extending middle-class tax cuts will give working families and our economy a little more certainty at this make‐or‐break moment, the report says. So far, the only reason the middle-class tax cuts have not been extended is that Republicans in Congress continue to insist on cutting taxes once again for the wealthiest few.
Sen. Patty Murray (Wash.), the Democratic co-chairwoman of the 2011 deficit-reduction supercommittee, said last week that Democrats would let income tax rates rise across the board if Republicans refuse to drop their opposition to raising new taxes. Senate Democratic leaders have endorsed her declaration.
A spokesman for House Speaker John Boehner (R-Ohio) said it was troubling that Democrats were willing to allow tax cuts to expire en masse.
This report states the obvious: raising taxes is bad for the economy, Brendan Buck told The Hill in an email. Thats why its troubling that the President would be willing to destroy more than 700,000 jobs by allowing taxes to go up on so many small businesses and families.
Alexander Bolton contributed to this story.
But how could this be, if the Bush tax cuts were for "only the rich"?
Is Obama actually arguing that if voters DON'T fire him in November, their taxes will rise by $1,600? Therefore they should reelect him? So their taxes WILL go up $1,600?
Not quite you didn't build that on the dumbness scale but awfully close.
Why doesn’t Obama just set his own tax rates? He does everything else.
Yes they were... but now the play is that if they expire, there will be an increase on “families” if they expire.
0bama is putting forth the choice; raise taxes on the productive earners or else everyone - including “families” will be hit?
More of the same. When will 0bama come for YOUR stuff?
Who remembers the story posted a few yrs ago early on in the 0bama nightmare about someone sitting next to 0bama at a dinner party? The one where 0bama first takes the dinner roll, then more and more until nothing’s left... it ends w/ 0bama saying “you should have stopped me at the dinner roll”...
well, it’s long time past the time to stop him.
everybody gets the current rates extended or nobody gets them extended.
All or nothing
I’ve been trying to figure out how to get this message out.
That if no one does anything, including Obama, everyone’s taxes are going
up Jan. 1.
If it came out, people would be like, hey how come Obama is going
to all these fundraisers and playing golf....why didn’t he do his job?
Doesn’t he know a recession is going on? WHy is he raising my taxes?
Well if my taxes are going up because Obama didn’t do his job.
hmm. same thing as the debt ceiling last summer....hmm
Maybe I should just vote for Gov. Romney if Obama ain’t doing his job.
But obama wants an extension of only one year. Gee, I’m so grateful.
I will be flamed for asking this question, but here goes anyway..
If fubo said the middle class needs tax cuts...
If reid says they will pass middle class tax cuts...
Why don’t the pubs in the house write and pass a middle class tax cut package?
Why throw in a bunch of stuff they know the senate and fubo will intentionally shoot down?
I guess the game of election year politics is waaaay more important than the extra 1600 you and I will have to cough up...
Gonna be more with the Obamacare tax HIKES.
"everybody gets the current rates extended or nobody gets them extended.
All or nothing"
IOW, he's demanding that either taxes on job creators (the "evil rich") get hiked... or else the "middle class" gets it in the head.
You'd see the Dems running like scared rats.
Not discounting anything you said - my view is that increasing taxes is always bad. Increasing taxes during economic recession is more badder. Increasing taxes on job creators during economic recession is the most baddest.
Doing so would make the current horrible jobs picture worse. That’s why the pubs don’t want it.
The election yr politics game is being played by 0bama - holding tax rates hostage to achieve his political goal of social justice.
Harry Reid was all over TV yesterday talking about repub obstruction causing every working man's tax to go up.
This could have been countered easily in a few words:
“The repubs want the present tax rate to remain in effect. The dims are insisting on drastic changes and that is what is creating obstruction. If the dims would agree to leave the tax as it is, the obstructionism would immediately end.
Harry Reid is a liar.”
Not one single rino has the balls to say that.
Instead we see talking heads on TV blabbing for an hour at a time trying to explain their understanding of economics 101 while Joe Sixpack’s eyes glaze over in boredom and he changes to the ball game.
Good advertising gives a short quick to the point easy to understand message and then repeats it until it sinks in.
A one hour lesson in economics 101 will not get it.
Nice job you got there... it’d be a shame if something happened to it.
The GOP needs to stand their ground about this "fairness" crap. Let the middle class pay just like the "rich" do. If we are to be fair. Better yet we end the EITC and all of the other wealth transfers to the poor, and let the poor start paying their "fair share" of taxes as well.
Please look at the light...
I would send them a bill that keeps everything the same except taxing the ultra-rich...the Buffett, Gates, etc, at 50%. Set the bar at 10 million.
This does exactly what the Dems say would be fare, and leaves every productive person with the current rates, without exception...and would be stick in the eye to that idiot Warren Buffett.
Of course it would have zero impact on tax collections because none of those people get paid in salary, but it would pretty much blunt the argument.
I thought the Bush tax cuts were only for the rich?
Correct, when the Bush tax cuts were pased the libs whined the only ones benefitting from them were the rich.
Once again the Left outs itself.
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