In it, they stated their two-part offer. First, they would direct the full Congress to overhaul the income tax code, providing a number of suggestions that they said would increase tax revenue by billions. Second, they demanded that the Bush tax cuts become permanent.
This is downright silly, as no one can say what Congress would end up doing, if anything, on revising our tax code. If the Dems had agreed, the only thing certain would be that President Obama would not be free to let those cuts expire. This is, of course, just what the Republicans want, to serve their wealthy contributors. The Democratic six had no alternative but to reject this phony proposal.
It would be more logical for the president to announce that the Bush cuts in their entirety will be allowed to expire at the end of 2012, while at the same time directing Congress in early 2013 to cut the taxes of those making less than, say, $100,000 per year to what they are now under the Bush cuts. I find it hard to believe that Republicans in Congress would reject that step, since cutting taxes seems second nature to them.
I write this as one who pays no more than 15 percent tax on a big chunk of my income – that on dividends. The only way to get rid of that sweet deal may be to let the cuts expire in their entirety. It is grossly unfair that those who work for a living are taxed at rates far higher than those sitting in their easy chairs.
Victor J. Reilly