Democrats Plan More Tax Hikes; Chuck Schumer Previews What He'd Do in a Second Obama Term
Byline: THE WASHINGTON TIMES
If re-elected, President Obama and Vice President Joseph R. Biden Jr. will raise taxes on small business in order to sustain the ginormous federal government they have built. The White House duo have done nothing to avert Taxmaggedon, the massive tax hike scheduled to go into effect on Jan. 1. Worse, the administration's congressional allies are preparing to push Mr. Obama even further should he win a second term.
The No. 3 Democrat in the Senate, Chuck Schumer, said Tuesday that he intends to eliminate tax deductions and credits without lowering the top two marginal tax rates. The New York Democrat thinks it's more important that Uncle Sam pocket the extra cash that would be generated. The promises of lower rates amount to little more than happy talk when the math behind them doesn't add up, he told reporters at the National Press Club. This is the trap of traditional tax reform, and we must not fall for it. It is an alluring prospect to cut taxes on the wealthiest people, reduce the deficit and hold the middle class harmless, but the math dictates you can't have it all. He also called for raising investment taxes in this weak economy.
Mr. Schumer even suggested his speech could create a breakthrough in the standoff between the two political parties. The lure for Republicans to come to the table around a grand bargain should be the potential for serious entitlement reform, not the promise of a lower tax rate in tax reform, he explained. Republicans weren't impressed. A tax reform framework that lowers rates and closes loopholes has support from both parties, including the Obama administration, responded House Speaker John A. …