- New Mexico decides to use HealthCare.gov for 2015
- Satanists to use Hobby Lobby rule to skirt state abortion laws
- White House: No choice but to act now on climate change
- HHS: ‘Donut hole’ reforms saved Medicare enrollees $11.5 billion since 2010
- Boston-area tornado rips 100 homes: ‘Are we in Kansas?’
- Rush Limbaugh: ‘There is no journalism anymore’
- Scott Brown struggles for political traction in New Hampshire Senate race
- California’s Jerry Brown cites God, ‘religious call’ to embrace illegals
- Hamid Karzai’s cousin killed by suicide bomber at Eid al-Fitr party
- Obama thanks Muslims for ‘building the very fabric of our nation’
Obama claim Romney tax cut would hurt middle class disputed
Question of the Day
Seizing on a new report that challenges Mitt Romney’s tax-cut claims, President Obama said Wednesday that the presumptive Republican nominee is trying to make middle-class families pay more “so that people like him” pay less.
The report from the Tax Policy Center said that in order to offset the revenue that would be lost from Mr. Romney’s proposed tax cuts, a series of the tax breaks that overwhelmingly benefit lower income earners would have to be taken off the books — a finding that matches Mr. Obama’s message that Mr. Romney is throwing the “middle class” under the bus to save the “rich” money.
“They found that if Governor Romney wants to keep his word and pay for this plan, then he’d have to cut tax breaks that middle-class families depend on to pay for your home — the home mortgage deduction — to pay for your health care — the health care deduction — to send your kids to college,” Mr. Obama said during a campaign event in Mansfield, Ohio.
Citing the report’s findings, the Democrat said that the average middle class family with children would face a tax increase of more than $2,000.
“To afford just one $250,000 tax cut for somebody like Mr. Romney, 125 families like yours would have to pay another $2,000 in taxes each and every year,” Mr. Obama said, eliciting boos from the crowd. “Does that sound like a good plan for economic growth?”
The Romney camp brushed off the attacks and the analysis, calling the Tax Policy Center’s study “liberal” and “biased,” while pointing out that it was co-authored by Adam Looney, a former Obama staffer.
The Obama campaign countered that another of the report’s co-authors, William Gale, worked with the Council of Economic Advisers for George H.W. Bush.
The Tax Policy Center is officially nonpartisan, though it is a joint project of the liberal-leaning Brookings Institution, and the Urban Institute, which was founded by the Lyndon Johnson administration.
Lanhee Chen, Romney policy director, said that the report is flawed because it does not take into account his boss’ plans to lower the corporate tax rate and reduce federal spending enough to balance the budget by 2020.
“The study ignores the positive benefits to economic growth from both the corporate tax plan and the deficit reduction called for in the Romney plan,” Mr. Chen said. “These glaring gaps invalidate the report’s conclusions.”
The Tax Policy Center’s analysis focused on Mr. Romney’s vow to cut individual tax rates by 20 percent across the board, eliminate the alternative minimum tax, the payroll tax, and the estate tax, otherwise known as the “death tax.”
“Our major conclusion is that a revenue-neutral individual income tax change that incorporates the features Governor Romney has proposed,” the report says, “would provide large tax cuts to high-income households, and increase the tax burdens on middle- and/or lower-income taxpayers.”
© Copyright 2014 The Washington Times, LLC. Click here for reprint permission.
About the Author
- Achin' for Akin: Democrats praying for GOP Gaffes in midterms
- GOP 2014: Republican governors cite their economic stewardship
- Perdue, Nunn square off in race for Georgia's open Senate seat
- Georgia Republican Senate primary runoff locked in dead heat
- David Perdue defeats Jack Kingston in Georgia Republican Senate primary runoff
Latest Blog Entries
TWT Video Picks
- GOP Senate candidate: Obama needs to visit Central America
- D.C. seeks to stay judge's order allowing gun owners to carry in public
- Hillary Clinton: Forget Obama, George W. Bush made her 'proud to be an American'
- Border surge puts Obama legacy on immigration at stake
- EPSTEIN: All IRS roads lead to the archivist
- Illegal immigrants demand representation in White House meetings
- Smugglers, rainstorm combine to poke holes in border fence
- Federal appeals court rules against Virginia's gay marriage ban
- PRUDEN: When the hangman botches the job
- Romney would win popular vote in rematch against Obama: CNN poll
Obama's biggest White House 'fails'
Celebrities turned politicians
Athletes turned actors
20 gadgets that changed the world
Fighting in Iraq