Obama tax increase redistributed wealth to his corporate cronies
Senate Republican staffers familiar with the fiscal cliff negotiation told me that the White House insisted on sticking Max Baucus’s raft of tax-break extenders — HR 3521 — into the fiscal cliff legislation.
My column listed who was lobbying for these tax breaks — the likes of General Electric, Goldman Sachs, Citigroup, the Motion Picture Association of America, and the Biotechnology Industry Organization of America. This tax-extenders package is clearly a gift to big business.
So, assuming the White House did stick this tax-break package — and my requests for White House comment, confirmation, or denial have met with silence – it clashes with Obama rhetoric on all sorts of fronts, including, as today’s excellent Wall Street Journal editorial points out, his calls for the wealthy paying their fair share and his professed desire “that the wealthiest corporations and individuals can’t take advantage of loopholes and deductions that aren’t available to most Americans.”
But beyond that, it undermines Obama’s professed desire to close the deficit.
Think about this: just the business and energy tax extenders reduce federal revenue by $67.7 billion in 2013. The tax hikes on the rich Obama won — higher rates on those over $400,000 and reduced deductions on those over $250,000 — raise $620 billion over a decade. As far as I know, we can safely guess that this would be less than $62 billion in 2013.
...This should be a scandal. In fact is shows Obama's doing nothing but taking money to the the rich and giving to the richer. He is robbing small business to give tax breaks to big business. This has to be one of the biggest scams in recent memory. It is not surprising the Republicans did not raise the issue in debate in the Senate, they literally only had three minutes to look at the 143 page bill. Evelyn Woods couldn't read that fast even if her lips were not moving. In the House apparently some had read the bill and voted against it, but the political pressure to "do something" overwhelmed the need for considered judgment.