TPM story this morning on the deal suggests the Special Committee might raise taxes

[highplainsdem]

If so, this is the only good news in this deal for Democrats:

http://tpmdc.talkingpointsmemo.com/2011/07/dems-gop-float-eye-popping-debt-limit-compromise.php

Dems, GOP Float Eye-Popping Debt Limit Compromise
Brian Beutler | July 31, 2011, 9:20AM

-snip-

One source briefed on the negotiations confirms that the ABC story is correct "on the key points." A similar piece in National Journal suggests the Special Committee would not be allowed to reduce the deficit by raising new net tax revenue. The source disputes that notion, as does the ABC report.

On CNN Sunday Morning, McConnell sought to reassure conservatives that the deal includes no tax increases -- though did not specifically address the scope of the Special Committee. "There are no tax increases in this bill," he said. "There will be no tax increases in this proposal." Emphasis added.

Also on CNN, Sen. Chuck Schumer (D-NY) said the final trigger must include incentives that don't simply allow Republicans to draw a line in the sand over revenues. "What is the sword over the Republican?" Schumer asked.

Well it has to be equal -- the one thing we are certain of, it has to be of equal sharpness and strength. The preference would be some kind of revenues, on wealthy people, on tax loopholes that would be in that. But another alternative, possible, being discussed, no agreement has been reached, would be defense cuts of equal sharpness and magnitude to domestic cuts.

[BzaDem]

1. Basically, Democrats will be able to say raise taxes, or defense gets it big (while no entitlement

benefits get cut at all). The trigger looks like it exempts all Medicare/SS/Medicaid benefits, and as for Medicare only includes provider cuts of a similar type as in HCR. Schumer and other reports were saying that the defense cuts would be sufficient to incentivize Republicans to come to the table on taxes.

I think that's how they are going to sell it to their caucuses: Republicans will say "no tax increase" and Democrats will say "yes new tax increases, since Republicans won't go for the hundreds of billions in defense cuts and will have to agree."

[BumRushDaShow]

2. So it would pit Teabaggers vs Neocons...?

:rofl:

Will be interesting to see if Darth's minions still in Congress will allow decimation of the MIC.

[BzaDem]

6. Yes, basically. Though in the House, the neocons outnumber the pro-defense-cut teabaggers by a huge

margin. Defense cuts repeatedly get voted down by very high ratios (6-1 or something).

[emulatorloo]

3. Very interesting n/t

[grahamhgreen]

4. Suggests... Might....

[iamtechus]

5. Surely not on the upper incomes ... ?