It is the typical debate between Republicans and Democrats – taxes. On Monday President Obama proposed tax increases for the nation’s wealthiest individuals and some corporations. This has caused expected backlash within the Republican community and most likely won’t be resolved until well-after the November election.
President Obama’s proposed tax hikes are at odds with most proposed Republican solutions which critics claim will add to the national deficit. The Obama administration claims that his proposed tax rates will increase revenue in the country by $1.5 trillion over the next 10 years.
In addition, Obama’s taxes will lower tax rates for middle-income families while raising them for those who have benefited from the American system the most.
This plan would let the Bush-era tax cuts expire at the end of the year and get citizens to follow the “Buffet Rule” named after billionaire Warren Buffet. This rule or plan would make anyone who earns over $1 million dollars in a year pay 30% taxes on their income, which by the way still leaves them with over $600,000.
Obama stated in a budget message, “I believe that in our country, everyone must shoulder their fair share — especially those who have benefited the most from our economy. In the United States of America, a teacher, a nurse, or a construction worker who earns $50,000 a year should not pay taxes at a higher rate than somebody making $50 million. That is wrong.”
However, these tax hikes will never pass in such a divided congress. Republican politicians will oppose and legislation that will increase taxes and are eager to renew the Bush-era tax cuts which have benefited so many wealthy Americans and corporations. Unless Democrats and Obama can win and pick up a few more seats this coming November, the country and expect to stick with the Bush-era taxes.
Mitt Romney, the apparent front-runner in the Republican race, plans to stick with those tax cuts enacted by George Bush. In addition, Romney would allow more tax exemptions for corporations and the super rich in the country.
A Washington Think Tank the Tax Policy Center claims that Romney’s plan would increase the deficit by $180 billion by 2015.
Taxes are the perfect example of why CEOs and millionaires should not be allowed to run for President. They have too much money at stake and are too far removed to worry about the middle class and their monetary issues. At this point, Mitt Romney might as well be a corporation running for President. Hell, that wouldn’t be too far-fetched, considering under the Citizens United decision corporations are now people.