Democrats on dismantling Bush tax cuts: "We're not going there."

[DeepModem Mom]

NYT: News Analysis
The Democrats’ Cautious Tiptoe Around the President’s Tax Cuts
By EDMUND L. ANDREWS
Published: January 4, 2007

....even as Democratic leaders continue to accuse Mr. Bush of having a reckless fiscal policy, they have refused to discuss dismantling his tax cuts or even to engage in a debate with him about the best way to stimulate economic growth.

“It’s always the same old tired line with them — ‘Tax and spend, tax and spend, tax and spend,’ ” said Senator Kent Conrad, the North Dakota Democrat who is chairman of the Senate Budget Committee. “We’re not going there.”

At least not now. Democratic leaders say they see no need to revisit Mr. Bush’s tax cuts for several years because they are not set to expire until the end of 2010. And they contend that the government could increase revenues as much as $100 billion a year simply by closing the “tax gap,” taxes that are owed but not paid.

When asked about their tax plans, as they have been again and again since Nov. 7, Democratic leaders insist they want to preserve many of the middle-class tax cuts like the child tax credit and a reduction in the so-called “marriage penalty” for two-income households.

The Democrats’ coyness is less than candid. Although it is true that Mr. Bush’s tax cuts have four more years of life, it is also true that Congress faces serious fiscal headaches that cannot be postponed for even a full year.

One of those challenges is the Iraq war....

http://www.nytimes.com/2007/01/04/washington/04assess.html?ref=washington

[Selatius]

1. What, saying you will raise taxes on the top 1 percent is a bad thing?

:shrug:

[LynnTheDem]

2. Well DAMN them Dems for causing them serious fiscal headaches that cannot be postponed!

BAD Dems! BAD!

Oh wait...

[acmavm]

3. Way to go dems! You just make sure that no one touches those

tax cuts for the upper 10% and corporate America. And you can disguise your cowardice as 'sticking up for the middle-class.

Hey, don't forget to give yourself a raise while you're at it.

[Tom Joad]

4. Not going to cut funds for the war, not going to impeach, not going to tax the rich...

and pelosi says congress needs to work 5 days a week... doing what?!

[cornermouse]

11. Don't forget Reid's midnight bill of goodies.

That didn't go unnoticed either. The local republican rag blasted it from every rooftop.

[illinoisprogressive]

5. Actually, I don't think they will ignore it for long

They want those repealed but, won't say so this soon.

[Lasher]

6. Why are they so afraid of that tired old 'tax and spend' slogan?

So easy to counter with 'borrow and spend'.

[enid602]

7. taxes

"And they contend that the government could increase revenues as much as $100 billion a year simply by closing the “tax gap,” taxes that are owed but not paid." I work part-time for H&R Block, and the rumor around the office is that the IRS will start going after small unincorporated businesses (and anyone who files a schedule C) this year. Better keep those receipts handy, because you're expected to fund the gov't for the foreseeable future. And, oh I read that the IRS laid off HALF of its auditors working in the estate tax division last week. I think you get the picture.

[tritsofme]

8. Democrats would be wise to leave the issue alone.

They could surely pass legislation in the House, but then the GOP gets to run against not only the Dem candidate in 2008 as raising taxes, but they get to beat it over the Congress' head too/

Its doubtful an increase, even on the wealthiest 1% could even get 51 votes in the Senate, and if it did somehow, it would surely meet Bush's veto pen.

Democrats should treat this just like the GOP did the minimum wage. Never allow a vote on it. The tax cuts will expire in 2010.

[Hippo_Tron]

10. Bush's tax cuts passed 50/50 in 2003

Zell Miller and Ben Nelson were the democratic defects... Snowe, Chafee, and McCain were the GOP defects. If we took the head count again assuming all new Senators are on our side (which I think they would be) then we could have 50 democratic votes to repeal. I'm assuming that since McLame is running for President he will flip-flop. This means that Snowe will be the swing vote. It would be interesting to see what happens.

[tritsofme]

12. 60 votes to invoke cloture.

Not to mention the veto pen.

I say let the tax cuts die a natural death.

[hfojvt]

13. 2010 is way too long

I still think eliminating schedule A, combined with an increase in the Standard deduction will sell. The vast majority of lower income tax payers, 78% or so, who do not itemize, will gain and it reads as tax simplification and closing of loopholes instead of a tax increase.

[tritsofme]

16. The whole effort seems futile.

Even if a bill miraculously makes it through both chambers, it still meets an immediate veto. No way that gets overridden.

Not to mention we hand over a whole issue for the GOP to build a campaign around.

Hurry up and wait sounds good to me.

[Selatius]

18. We won't wait until 2010. We wait until Bush leaves office in Jan. 2009.

Hopefully, a Democrat will assume the White House.

[Hippo_Tron]

9. I just want to know what they will do with the capital gains tax

Don't care too much if they don't touch the income tax cuts until they expire on their own. The biggest problem is that the capital gains rate is less than lower income brackets and thus as Warren Buffet said, the secretary pays a higher percentage of his/her income than the CEO.

[hfojvt]

14. not the capital gains rate

it is the taxes on unearned dividend income. Cutting that to 15% as they did gives a $20 million tax cut to a Wal-mart heir and does nothing for most working people.

[Hippo_Tron]

15. Good point but I think both capital gains and dividends are important

Both rates need to be raised if we are to truly raise the taxes on the uber rich.

[hfojvt]

19. it's not really 'raising' rates

when you simply return them to the level they were before the travesty of a tax give-away was passed

[Hubert Flottz]

17. Why should the democrats lay their cards on the table?

Repeal the tax cuts in secret midnight sessions of congress like the GOP did and sneak them through attached to bills like, things that pay for the wars and other Bush/GOPer goodies. Repeal things like the unread Patriot Act, in the fine print, like the GOP passed them!

Never, telegraph your punches! Give the GOP a good healthy dose of their own medicine, every chance you get, would be my advice. Payback, SHOULD BE, A ?itch! The GOP dished it out, now let's see if they can take it, like we've had to...

[underpants]

20. They should cut taxes

MY taxes our taxes middle class taxes and wipe that BS out of the mouths of the rabble once and for all

[DFLer4edu]

21. Article Summary: Bush has fucked up the country, why haven't dems laid out a clearer plan?