Tax Hikes are Off the Table? Really?
But the reason why the Republicans think that new “revenues” are finished is for this very reason: The Bush tax rates, which were set to expire, are now locked in, in perpetuity. And those are tax rates on the middle class. And they didn’t go up. They didn’t go down, but they stayed the same. Now, it is true that you can’t fund a welfare state without taxing the middle class. You just can’t do it. We’re proving it.
We’ve been proving it the last four years and we’re gonna prove it for as long as this circumstance survives. You just can’t fund it. The tax increases are the rich are gonna raise about $60 billion a year, and Obama already gave away ten billion of that for Sandy relief, Hurricane Sandy. So we’re down to $50 billion this year from the tax increase on the rich. That can’t pay for the welfare state. So they’re thinking, “Well, we got the Democrats to agree: No tax increase on the middle class. That wasn’t a toughie.”
The Democrats are all for the notion they’re not going to raise taxes on the middle class. But if the Democrats ever get the House of Representatives back, this is all out the window, and everybody should understand this. Just because this year they locked in tax rates for the middle class and made them so-called permanent… They’re “permanent” until they’re changed. And what’ll change them is a Democrat House with a Democrat president. Everybody ought to know that that is what’s gonna happen if the Democrats win the House in 2014 or any other time.
But plenty of other taxes are gonna go up. Payroll tax, Medicare tax, Obamacare. There are gonna be plenty of taxes go up on the middle class. However, Stephen Moore is writing for the Wall Street Journal. He’s part of the editorial board there. He did a sit-down with Boehner, and this is quite illuminating. Boehner told Stephen Moore that he was shell-shocked in there talking to Obama. Because every time Boehner… This is what he said. Every time he told Obama (paraphrased), “We got a spending problem,” Obama would reject it.