oh, you mean the one that happened when the Bush tax cuts expired? That one?
Because here's the way it actually happened.
Happy new year, it is 2013 and the Bush tax cuts have finally expired. Now capital gains are taxed at 20% instead of 15%.
Later in the day, we are betrayed by the passage of ATRA. Which some say increase the tax rate on capital gains to 20%, but they lie because that increase happened automatically with the expiration of the Bush tax cuts.
But I guess we should be happy, because Obama could easily have cut them to 17% and then lied and claimed he raised them to 17%. After all, Obama claims he raised the estate tax rate to 45% even though the prior expiration of the Bush tax cuts had raised that rate back to 55% and ATRA came in and CUT it down to 45%.
It's too bad for Obama that ATRA was passed AFTER the Bush tax cuts expired, because that makes it a little bit harder to lie and say you are raising taxes when you are really cutting them on the rich.
Well, it would make it harder if anybody in the M$M bothered to call them on it. Good thing people in the M$M are too busy counting their money to care about those at the bottom.
Here's another easy example. Krugman himself probably saves $6,000 a year in taxes because of ATRA. Not exactly an earth shattering sum, but he saves it every year until he retires, and considering that the car I drive was purchased for $3,500 I don't think that Krugman can actually relate to somebody like me.
Oh, and how is my analysis bullshit? Is 20% really bigger than 39.6%?