If closing the deficit is the goal.1:57 PM, Oct 10, 2012 • By MICHAEL WARREN
Democratic Senate candidate Tim Kaine of Virginia is touting his tax plan as a "compromise" between both sides of the aisle. Rather than extend the current tax rates for everyone, which Republicans support, or let some of those cuts expire and raise taxes on those making over $250,000 a year, which Democrats support, Kaine proposes letting the tax cuts expire on income over $500,000.
"There's no theology or magic to that number," Kaine told a crowd of 40 at an event in Northern Virginia Wednesday morning. "But it's a number that is a compromise."
After the event, Kaine told THE WEEKLY STANDARD that he supports raising those tax rates even while the country is in a recession, a policy position President Barack Obama rejected in a 2009 interview with NBC's Chuck Todd and again at the House Republican retreat in 2010. Here's the exchange with Kaine:
TWS: "President Obama said a couple of years ago that it’s never a good idea to raise taxes in a recession. I’m just wondering, do you agree with that sentiment, or do you disagree with that?"
KAINE: "I have put on the table a very specific plan, and the specific plan is, the tax cuts that George Allen voted to be temporary were temporary for a reason. The CBO said if you make them permanent, you will completely bust the deficit, and I think we ought to do what George Allen promised to do and let those tax cuts expire for people, for incomes over 500,000. Even people who make more than 500,000 would get the break for the first 500 [thousand]. And I think that would have no effect on jobs, but it would enable us to close the deficit, if that is the goal, and I think it should be, in a way that wouldn’t hurt defense and other key priorities."
TWS: "So you can raise taxes in a recession?"
KAINE: "I just answered the question about as basically as I could."
Obama and congressional Democrats have since adopted the position that tax rates ought to increase for the wealthiest Americans, which is odd given the president's rationale against raising taxes: that doing so would have a "destimulative effect." Kaine may call his proposal a compromise, but it still ignores the conservative (and Obama!) argument that raising tax rates hinders economic growth.
10:22 AM, Jul 25, 2012 • By MICHAEL WARREN
House minority whip Steny Hoyer, speaking with reporters at a breakfast sponsored by the Christian Science Monitor, said Democrats in Congress "didn't have the votes" in 2009 or 2010 to raise taxes, even though the party had a majority in both the Senate and the House and Barack Obama was president.
4:06 PM, Nov 21, 2011 • By MICHAEL WARREN
Masscahusetts senator John Kerry admitted today that allowing the Bush tax cuts to expire will result in a "major tax increase." Kerry is a member of the so-called supercommittee.
"You're guaranteed, unless it's changed, a major tax increase on January 1st, 2013, when the Bush tax cuts expire," Kerry said this morning on MSNBC's Morning Joe. Watch the video below:
9:15 AM, Jul 13, 2011 • By MICHAEL WARREN
Despite press reports that have indicated Senator Joe Manchin of West Virginia would not support a debt ceiling deal that involves tax hikes, the senator won't reveal, when asked in person, where he actually stands on the contentious issue.
"I’m for a plan that’s fair," Manchin, who is up for reelection next year, said in the Capitol yesterday afternoon. "Just a fair plan for everybody."
On taxes, the president is all talk and no action. May 23, 2011, Vol. 16, No. 34 • By CHRISTOPHER CALDWELL
A mystery lies at the heart of America’s budget politics. In the weeks since debate began on raising the debt limit, President Obama has faulted Republican budget plans as a way of giving favors to “millionaires and billionaires” at the expense of the poor and aged, just as he did during last winter’s quarrel over retaining the Bush tax cuts. He does this because it places the public firmly on his side.
The speaker-to-be hedges on tax cut compromise question.1:29 PM, Nov 10, 2010 • By MICHAEL WARREN
Republican leader John Boehner and Congressman Greg Walden (R-Ore.) spoke briefly to reporters this morning in the Capitol. Boehner, the minority leader who is expected to be elected speaker of the House, and Walden, the chair of the House majority transition team, gave a few details about the incoming Republican majority’s agenda.
But the Democrats will probably not extend the tax cuts before the election.1:20 PM, Sep 20, 2010 • By MATTHEW CONTINETTI
When is Congress going to extend the 2001 and 2003 tax cuts? President Obama wants to extend those cuts only for households making less than $250,000. Republicans want to extend all of the tax cuts, at least temporarily, so that the country doesn't raise taxes in the middle of a terribly weak economic recovery.
Revenge of the Power Nerd.10:30 AM, Sep 7, 2010 • By MARY KATHARINE HAM
Assuring everyone that they're unwilling to listen to economic reason, even from the man employed as their budget director a month ago, the White House spokespeople were sent forth this morning to refute the former OMB director's inaugural New York Times column.
Why Obama should relinquish control and lower tax rates for all Americans.2:00 PM, Sep 5, 2010 • By FRED BARNES
There’s a phrase that never crosses President Obama’s lips, even as he prepares to propose new tax cuts for small business. The phrase: permanent, across-the-board cuts in marginal tax rates for the wealthy.
Obama plans to raise taxes anyway.Aug 23, 2010, Vol. 15, No. 46 • By STEPHEN F. HAYES
Barack Obama understands that it’s bad economics to raise taxes in a recession. It’s “the last thing you want to do,” he said almost exactly one year ago.