Obama urges tax cuts for families under $250,000

President Barack Obama calls on Congress to pass a temporary, one-year extension of the Bush-era tax cuts for people who make less than $250,000 a year, during a statement in the East Room of the White House in Washington, Monday, July 9, 2012. (AP Photo/Susan Walsh)

AP

President Barack Obama calls on Congress to pass a temporary, one-year extension of the Bush-era tax cuts for people who make less than $250,000 a year, during a statement in the East Room of the White House in Washington, Monday, July 9, 2012. (AP Photo/Susan Walsh)

— President Barack Obama, eager to shift election-year attention away from the nation's lackluster jobs market, called on Congress Monday to extend tax cuts for families earning less than $250,000 a year while allowing taxes to rise for households making more.

"Let's not hold the vast majority of Americans and our economy hostage while we debate the merits of another tax cut for the wealthy," said Obama, flanked by a dozen people the White House said would benefit from the tax cut extension advocated by the president.

Obama wants Congress to pass a one-year extension of the Bush-era tax cuts for households making less than $250,000 before they expire at the end of the year. He said the outcome of his November election contest with Republican rival Mitt Romney would then determine the fate of the tax cuts for higher income earners.

"My opponent will fight to keep them in place. I will fight to end them," he said.

White House spokesman Jay Carney said Obama "would not sign" a bill that extended the whole range of tax cuts in full.

Out of 118.7 million U.S. households in 2010, about 2.5 million had incomes of $250,000 or more, according to estimates by the Census Bureau. The median household income was $49,445, which means equal numbers of households earned less and more.

Obama has long supported ending the tax cuts for those making more than $250,000. But the White House and the president's re-election team are reviving his arguments now as a way to paint congressional Republicans as obstructionists and Romney as a protector of the wealthy, suggesting the GOP push for an across-the-board extension of the tax cuts puts the middle class at risk.

The president's announcement also follows Friday's dismal jobs report, which showed the nation's unemployment rate stubbornly stuck at 8.2 percent.

Romney supports extending the tax cuts for all income earners. His campaign spokeswoman Andrea Saul said Monday that Obama's proposal amounted to a "massive tax increase" and proved that the president "doesn't have a clue how to get America working again and help the middle class."

The contours of the tax debate are largely the same as they were when the cuts were due to expire at the end of 2010. While Obama opposed an extension for higher income earners then as well, he ultimately agreed to full two-year extension, in part to win concessions for other legislation.

Democrats see the tax debate as part of a larger coordinated attack on Romney, which includes intensifying calls for him to explain offshore bank accounts and release several years of tax returns.

The strategy is aimed at portraying Romney, whose personal wealth could exceed $250 million, as disconnected from middle-class voters.

Romney aides say the Democratic attacks on the presumptive GOP nominee's wealth an "unfounded character assault."

Romney hasn't shirked from his wealth in the face of renewed Democratic criticism. He held a $50,000 per person fundraisers Sunday in the Hamptons, New York's exclusive string of waterfront communities on Long Island's South Shore.

Romney aides also announced that the campaign and the Republican National Committee raised a combined $106 million in June, the former Massachusetts governor's biggest monthly haul so far. The Obama campaign and the Democratic National Committee raised $71 million last month.

Republican lawmakers immediately balked at Obama's call for a partial extension.

"No one should see an income tax hike next year — not families, not small businesses and other job creators," said Senate Minority Leader Mitch McConnell, R-Ky.

The president's pitch may also face some opposition from congressional Democrats. House Minority Leader Nancy Pelosi, D-Calif., and Sen. Charles Schumer, D-N.Y., a member of his party's Senate leadership, have both advocated denying the tax cut extension to those making above $1 million annually.

Extending the tax cuts only for households making below $250,000 costs the government about $800 billion less over 10 years than extending them for everyone. The full cuts cost the government about $4.5 trillion over a decade.

Obama was to continue the tax debate Tuesday during a campaign trip to Iowa. His re-election team was also promoting the president's tax policy at a series of events this week in battleground states, including New Hampshire, Colorado and Nevada.

The Bush-era tax cuts are due to expire at the end of the year unless Congress votes to extend them. Economists worry that across-the-board tax increases, along with automatic spending cuts also scheduled to take hold at year's end, could be a blow to the shaky U.S. economy.

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Comments » 15

panola60 writes:

Thank you President Bush. Since this is the 2nd time Obama has extended your tax cuts, it certainly validates your policies. However I'm sure this will not stop Obama from blaming the Bush tax cuts for . . . everything.

President Obama is making it obvious how shamefully dishonest and deceptive he is.

Ruger writes:

in response to panola60:

Thank you President Bush. Since this is the 2nd time Obama has extended your tax cuts, it certainly validates your policies. However I'm sure this will not stop Obama from blaming the Bush tax cuts for . . . everything.

President Obama is making it obvious how shamefully dishonest and deceptive he is.

Looks like he now owns them as the 'Obama Tax Cuts", he doesn't expect that the middle class is sick of being lied to?

"I will not raise taxes on the middle class"

http://www.youtube.com/watch?v=UJVMWj...

Does he really think middle class Americans are dumb enough to fall for this lie again?

http://www.thegatewaypundit.com/2012/...

Democrats told us Obamacare was not a tax.
Then they argued before the Supreme Court that it was a tax.
A fraud was perpetrated on the American people.

WhiskeyTangoFoxtrot writes:

I can't figure out who was more conservative. Bush or Obama? Minus the health care act.

The Pirate Party is going to run on a campaign abolishing all federal income taxes. I see no reason to tax our people any longer.

Here's how it works. 1st, we raise the debt ceiling to $200Trillion. The treasury sells bonds to all the fools around the world willing to buy them. There are a few left. Then, the biggest buyer, The Federal Reserve (which is not part of the government) will pick up the remaining $2.2Trillion the people normally kick in while manipulating the market to keep interest rates low (at 0%) forever. All problems solved.

We have work to do Klaus!

RayPray writes:

Obama is now better than God to me....

Did Jesus ever give any tax cuts?

Obama is reaching into his own bank account to help the struggling middle class.

Romney is more evil that Genghis Khan.

When will our might Barak drone this guy?

Did Jesus ever drone anyone?

Everyone I know plans to vote for Lost Obama at least three times apiece.

Ruger writes:

in response to GorchFock:

(This comment was removed by the site staff.)

LOL!!

You really need to get out more often..

http://www.washingtonpost.com/opinion...

When Congress was considering Obamacare, the president steadfastly denied that the penalty for not owning health insurance was a tax. As he told ABC’s George Stephanopoulos at the time, “For us to say that you’ve got to take a responsibility to get health insurance, is absolutely not a tax increase…. My critics say everything is a tax increase…. I absolutely reject that notion.”...

But when it came time to defend Obamacare in court, the president suddenly reversed course and authorized his lawyers to argue that the individual mandate is, in fact, a tax

captnjimbo writes:

Are these not the Bush tax cuts that are due to expire? So he is cutting nothing. In fact his proposal is to raise the taxes and he is holding the middle class hostage to get an increase for the wealthy only. The key here is to cut the spending to match the revenues and to cut spending means get rid of waste and faulty government investments in private sector businesses in contrived industries. That's my take anyway.

Ruger writes:

in response to captnjimbo:

Are these not the Bush tax cuts that are due to expire? So he is cutting nothing. In fact his proposal is to raise the taxes and he is holding the middle class hostage to get an increase for the wealthy only. The key here is to cut the spending to match the revenues and to cut spending means get rid of waste and faulty government investments in private sector businesses in contrived industries. That's my take anyway.

Exactly, he even admitted that his tax hikes were going to raise unemployment...

http://www.weeklystandard.com/blogs/o...

Video - Obama in 2010: Raising Taxes Will Lead to more unemployment

26yearsonmarco writes:

Obama originally pledged to permanently extend the Bush Tax Cuts for people earning less than $250K. He now says the extension will be for one year, and then the old Hope & Change thing goes away, and everyone gets taxed to death.

Please wake up and read between the lines, because this is just another ploy to get him reelected.

26yearsonmarco writes:

Here is another Government Tax Scam that will become the next forclosure wave after the Bush Tax Cuts end after Obama is re-elected.

http://money.cnn.com/2012/07/10/real_...

26yearsonmarco writes:

Klus,

I hope it never happens to you, but I know a few ederly people who live with this fear every day.

liberator100 writes:

(This comment was removed by the site staff.)

26yearsonmarco writes:

in response to GorchFock:

(This comment was removed by the site staff.)

Kluas,
Your opinion that President Bush is responsible for everything that is wrong with our American system tells me you are falling for the Obama Rhetoric which is solely designed to get the Dependent Class to reelect him. I agree the cost of the wars, if you want to call wars, started under Bush, are costing us too much in terms of lives lost, and money spent, but he did not have many choices after we were attacked on 9/11, and I believe both parties agreed with him at the time. Obama has had almost four years to end the wars, like President Truman ended WW II, but he has done nothing.
Our Dependent Class started under President Carter, when he decided that everyone should own a home, and continued to escalate under Johnsons “Great Society”, and more fuel was added to the fire by Clinton.
So, to answer your question about what to do about it, I say to eliminate government involvement in our everyday lives, and allow people to succeed, and fail at their own will, which is what made America the best place on Earth to immigrate to, and I mean it in the past tense, because this is what Obama does not understand.

WhiskeyTangoFoxtrot writes:

Uh OH, you mean the the Dems aren't the only ones responsible for this economy? I'm shocked?

http://www.businessinsider.com/corpor...

26yearsonmarco writes:

This is a must read on Obamacare:

Part 1.

THE CARE BILL HB 3200

JUDGE KITHIL IS THE 2ND OFFICIAL WHO HAS OUTLINED THESE PARTS OF THE CARE BILL.
Please read this........ especially the reference to pages 58 & 59

JUDGE KITHIL wrote:

** Page 50/section 152: The bill will provide insurance to all non-U.S. residents, even if they are here illegally.
(Why wouldn't I come and get it free with my ?? Kids, Your paying for it!)

** Page 58 and 59: The government will have real-time access to an individual's bank account and will have the authority to make electronic fund transfers from those accounts.
(People screamed when they thought they listened to their phone conversations ...NOW they have complete control of ALL your money, IRS and Social Security is demanding "direct deposit' money transfers)

** Page 65/section 164: The plan will be subsidized for all union members, union retirees and for community organizations
(This means theirs is FREE, you will buy it for them, They laugh at you and you pay.. and call it a TAX)

** Page 203/line 14-15: The tax imposed under this section will not be treated as a tax. (Again they think you are so s-----, you won't even know)

** Page 241 and 253: Doctors will all be paid the same regardless of specialty, and the government will set all doctors' fees. (If you are or were a Doctor, the government has just taken over your practice and you are working for them at their command ... OH... By the way, with this mandate, They can also own your property and home... By charging you a higher FEE to live there...)

26yearsonmarco writes:

Part 2.

** Page 272. section 1145: Cancer hospital will ration care according to the patient's age. ( Remember how they screamed at Sarah Palin for telling about the 'DEATH PANELS'... OOppps, There IS one, except they call it an 'Ethics Panel' made up of appointed members)

** Page 317 and 321: The government will impose a prohibition on hospital expansion; however, communities may petition for an exception. (Under Government control and permission)

** Page 425, line 4-12: The government mandates advance-care planning consultations. Those on Social Security will be required to attend an "end-of-life planning" seminar every five years. (If you are over 75, you are 'expendable' the government will save money by excluding you from any further medical treatment)

** Page 429, line 13-25: The government will specify
which doctors can write an end-of-life order.
(Again the 'Ethics Panel' DEATH PANEL will decide if you are
worthy to live any longer, Unless you have important high level friends)
HAD ENOUGH???? Judge Kithil then goes on to identify:

"Finally, it is specifically stated that this bill will not apply to members of Congress, their families, Congressional staff and thier families, Union Officials and families, Plus of course the President and family and special friends, Members of Congress are already exempt themselves from the Social Security system, and have a well-funded private plan that covers their retirement needs. If they were on our Social Security plan, I believe they would find a very quick 'fix' to make the plan financially sound for their future."

Honorable David Kithil of Marble Falls, Texas
All of the above should give you the ammo you need to support your opposition to Obamacare. Please send this information on to all of your email contacts.

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