Taxes & Spending

Tweet Heard Round the World

The White House has been in a tizzy over the possibility of how many fellow Democrats will be jumping ship on extending the Bush tax cuts. The big question in Washington is, “Are there enough Democrats wanting to extend the tax cuts set to expire on December 31, 2010?” 

They’ve been home for six weeks, except for two days when House Speaker Nancy Pelosi called them back to spend some more money we don’t have, and that means they’ve heard from their constituents and they want the tax cuts extended, across the board.
The shrillness of the President comments over the last few days and his thin-skinned nature is showing. He wants it his way. 

Late Monday, I received this from the Republican leader’s office, “A short while ago the esteemed White House press secretary sent a ‘tweet’ about Republicans being in ‘disarray’ over tax cuts.”

The Tweet heard round the world got a reply from House Republican Leader John Boehner and minority Whip Eric Cantor. In tweet language (140 Characters or less):

GOPWhip: RT @GOPLeader Attn @presssec: Republicans are unified: to boost our economy, we need to stop ALL tax hikes and cut spending now!

I added the exclamation point. Why is it Democrats always want to “pay” for tax cuts, but never spending increases?

Setting aside the faux pas by the minority leader on “Face the Nation” on Sunday, where Boehner said he might vote for something less than extending all the Bush tax cuts, the Republicans are united.

The White House spent all day and all their resources to try to put a wedge between Americans and the Republican Party and when that didn’t work turned it to Boehner and the Republican Party. That is not working either. The American people aren’t so focused on class warfare. They know it’s the guys and gals at the top who are going to create jobs, not Papa Obama.

Steve Moore of the Wall Street Journal said, “We are in a mess right now. “ He was hoping the President’s speech on the economy was going to be a step back in the right direction but he could only describe it as “in your face” and “combative.”

As far as the economy goes, any person looking at this rationally would have to conclude that Obamanomics is a failure. Two and a half million jobs have been lost since the stimulus was passed. Of course, the Obama Administration would say we’d be worse if we hadn’t passed the stimulus bill. Spending and debt is what’s causing this mess in the first place.

“It’s hard to say what’s going to happen with those Bush tax cuts. And what we’re talking about here, by the way, is making sure we don’t have a huge tax increase next year,” Moore said. “And here’s the point. There are some good ideas of what the President has proposed on taxes, and it’s about time he got away from spending and started talking tax cuts. If you raise those tax rates on capital gains, investors, dividends, small business owners, it’s going to really undo any of those benefits of the tax cuts he called for [in his speech last week].”

There should be no doubt about what we should do. Make the Bush tax cuts permanent. Then, if we really want to make this economy come back to life, we have to pass the fair tax.

“Let’s quit tinkering with the tax system every 6 months,” Moore goes on to say. “We need a 21st Century, pro-growth tax system that rewards investment and entrepreneurship and savings, and tax people on what they consume. And a tax system that is stable and understandable. That’s all businesses want.”

While we are on the subject of taxes, let’s make one thing clear. Corporations and small businesses don’t pay taxes. It’s a cost of doing business and if the taxes are too high, they will eliminate expenses to offset the taxes or they will go out of business. Either way, the American worker is in the chopping block if we implement anymore “bright ideas” this administration has on the economy.

Ultimately, elections have consequences. GOP Senate candidate Rand Paul of Kentucky is right. Republicans didn’t do what they promised and they spent us towards this problem. So the voters voted them out. Today, the Democrats have squandered their majority in just four years and they will be voted out in November. All that is left now is to count how many—and to extend the Bush tax cuts. I’m counting Democratic votes, are you?

Sign Up