House GOP offers a familiar ‘Plan B’ for dodging the fiscal cliff
Reports from Washington vary on how close President Obama and Speaker John Boehner are to striking a deal to avoid the so-called fiscal cliff. But the emergence of Boehner’s apparent back-up plan in case they don’t reach an agreement caught my eye.
This morning, Boehner said his “Plan B” is for the House to extend all the rates for taxpayers earning $1 million or less per year while raising them on those who make more than that, and leaving the broader discussion for next year. Hmmm … who has suggested just such an approach?
[T]o, to Obama, this clearly is more about good politics than good policy. The House GOP should respond in kind.
It should pass the “Buffett Rule” bill that failed to pass the Senate in April, amended to include an extension of all current tax rates through 2013, as a down payment. While the Buffett Rule is projected to raise $47 billion during the next decade if the current tax rates for high earners are not extended, I’ve seen projections of more than $160 billion in 10 years if rates don’t rise. That’s an increase of approximately $16 billion next year, and it comes from real millionaires — not Obama’s “millionaire” couples who earn $250,00 a year.
Boehner wasn’t specific about the rate he envisions for million-dollar earners. If he was referring to the Buffett Rule, I assume he would have mentioned it by name and taken the credit for backing an Obama policy in the spirit of compromise. So I’m not exactly taking credit for the new Plan B.
But I still think it makes sense, if Boehner believes he can’t get a good deal from the president, to take away the “GOP only protects the rich” argument by proving the House is willing to raise taxes on the real “millionaires and billionaires” Obama is so fond of talking about — but insisting on more substance from Obama in any bigger deal.
– By Kyle Wingfield
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250 comments Add your comment
Dusty
December 18th, 2012
2:43 pm
At the end of the day, I think I will just invest my taxes into buying a lottery ticket.I. Let us all do that. Chances of success are about the same. . Call it Plan D.
loco
December 18th, 2012
2:46 pm
Bless your little heart, BIG dusty
Have a great holiday season
Merry Christmas
JamVet
December 18th, 2012
2:48 pm
…Jimmy Carter should have won the nobel prize for his mastery of it.
Odd choice of words, meat.
He did win a Nobel Peace Prize.
Two words – Camp David.
Did you sleep through high school?
And I guess you deranged McCarthyites never got the message that your witch hunts ended LONG ago. And your hero’s ideology died a horrific and shameful death.
But to the extent that you keep on helping this disaster of a GOP go down the electoral toilet, I’m here to help you.
Keep up the good work. (Though the 1950s misses you terribly!)
Dusty
December 18th, 2012
2:49 pm
ah dear loco loco
Haven’t you heard? Boredom is the basis for bravado. Buzz off!
Centrist
December 18th, 2012
2:51 pm
There has been some noted movement by BOTH sides from their long stated demands. Republicans first reluctantly agreed to raise at least “Buffet rule” tax rate increases that they have sworn for a decade they would never do. Obama has moved from where he ran two campaigns and 5 years ago argued with “Joe the Plumber” that small businesses and individuals making over $200K a year should accept big tax rate hikes on top of their phased out deductions and exemptions.
At least the partisan dogmatic rhetoric has been broken on taxes. Maybe there will be some bend on “off the table” defense and domestic spending cuts, too.
This is the first inkling of good news since the “Grand Bargain” fell apart.
BenDaho
December 18th, 2012
2:52 pm
JamVet
December 18th, 2012
2:48 pm
…Jimmy Carter should have won the nobel prize for his mastery of it.
Odd choice of words, meat.
He did win a Nobel Peace Prize.
Two words – Camp David.
He ruined the economy from camp david? Who knew, meat.
carlosgvv
December 18th, 2012
2:57 pm
Aesop – “if Boehner thinks he can get a good deal from obozo then he is truly naive”
And if Obama thinks he will get a good and fair deal from Boehner, he is even MORE naive.
Finn McCool (The System isn't Broken; It's Fixed)
December 18th, 2012
2:58 pm
Of course there’s no outrage about the HSBC settlement in the AJC.
Banks want to launder money for Mexican drug gangs? Cool, have at it. But, fellow citizen, don’t get caught with a little marijuana on your person – that means years of jail time for you.
Dusty
December 18th, 2012
3:00 pm
Speaking of bavado, now comes AMVET with his Barnum & Bailey Circus act.
He’s even written his letter to Santa requesting a Bush doll so he can stick pins into his pet peeve. Not to mention his Crush Cheney Christmas cards
Poor baby! Hasn’t finished his toilet training as you can tell by his GOP comments. He definitely needs a PLAN.
JamVet
December 18th, 2012
3:00 pm
Kyle, due to the Obama Recovery from the Bush Depression, I’ve been pretty swamped and it’s hard to reply in a timely matter.
To your point, so do the economic liberals in the right wing still detest Buffett? Or do they love him now? Or are they merely beginning to realize and acknowledge that he is FAR more credible and knowledgable on these matters than Boehner, McConnel, Ryan and the rest of the coward spendaholics and giove away artists who run the GOP combined?
Benmeat, go find a youth blog where your childish rants about events from five administrations ago are at least to be expected. Or don’t. You are pretty humorous, benji. Albeit unwittingly and in a very sophist way…
MANGLER
December 18th, 2012
3:00 pm
They are compromising, isn’t that what you’ve wanted all along? It goes back and forth until both sides cave a little. Sure, each side preens and postures little, but in the end agreements are made.
As for why something today is seemingly not acceptable when it was months ago, that’s because the GOP said no to it months ago because they were sure they would win the election and then not worry about it. That, and the temper tantrum the Senators like throwing loses them bargaining space, it doesn’t gain them any. The same thing happens when a kid holds their breath to get their way.
Why aren’t you asking why the GOP is suddenly OK with something they were previously not OK with? The said no to the $1M mark but are proposing it now. Why their change of heart?
Halftrack
December 18th, 2012
3:00 pm
There are no tax cuts by either side. What we have is tax rates that have been in place for 10 years. Without a deal; all tax rates will return to what they were 10 years ago. The effectiveness of these talks now by Obummer & Bonner are like doing something unsanitary in the ocean. Our debt is way out of control. It is all about spending. Have you ever spent yourself out of debt? Wake up the Government can”t either.
JamVet
December 18th, 2012
3:03 pm
Dusty, is your broom irritating your hemmorhoids?
You are acting less Christian than ever. Which for you, is really saying something…
Lil' Barry Bailout - OBAMAPHONE!!!
December 18th, 2012
3:11 pm
MANGLER: Why aren’t you asking why the GOP is suddenly OK with something they were previously not OK with?
————————–
Perhaps you should familiarize yourself with the process for turning a bill into a law. Under current law, the tax rates go up for everyone. A new law is needed. Americans, er, Republicans can’t do that all by themselves.
Dusty
December 18th, 2012
3:12 pm
Good heavens, AMVET, you have used that “broom ” idea so long, it has fallen apart.
Shame on you for being repetitious besides your outhouse outlook.
If you would like to evaluate my faith, please list your credentials for doing so. So, thanks, but I have a much better authority to abide by..
Now, shoo. I think it is your nap time.
. .
Centrist
December 18th, 2012
3:13 pm
MANGLER asked: “why the GOP is suddenly OK with something they were previously not OK with? The said no to the $1M mark but are proposing it now. Why their change of heart?”
1. Obama won re-election.
2. Obama finally moved off his $200K individual/ $250K family tax rate hike.
3. Same reason Nancy Pelosi has backed off her previous stance of just doing a Buffet rule on taxes – politics.
BenDaho
December 18th, 2012
3:13 pm
Speaking of hemmorhoids, how did your 3rd prostate exam of the day work out for you at the V.A. hospital? Did they find your head yet?
iggy
December 18th, 2012
3:29 pm
Lets just have Bohner and Obama enter the ThunderDome, two men enter, one man leave and winner makes the call.
iggy
December 18th, 2012
3:31 pm
Jimmy Carter…ugh.
iggy
December 18th, 2012
3:36 pm
I think Bohner could take Obama. I really do!!
JamVet
December 18th, 2012
3:37 pm
Dusty, I love your brand of Republican Christianity! Keep up the good work on god’s behalf.
He’s counting on you and Lil Benji Carter…
BenDaho
December 18th, 2012
3:38 pm
iggy
December 18th, 2012
3:31 pm
Jimmy Carter…ugh.
Jimmy Carter, Obama beta version.
Cutty
December 18th, 2012
3:41 pm
When is Wingfield gonna update his blog to show that Obama decreased his minimum $ tax rate from $250K to $400K, is using an inflation index to deal w entitlements, and is dropping the payroll tax holiday? Boner countered w a Plan B. What are you waiting on Kyle?
Rafe Hollister preparing for an Obamanist America
December 18th, 2012
3:46 pm
Nothing changes with the Dems. We go from
you need to put on a sweater to
you need to pay your fair share.
It is always our fault
we expect too much.
Need to lower our standards
Need to redistribute our wealth.
jconservative
December 18th, 2012
3:50 pm
Spending cuts have already been handled, the cuts go into effect January 2, 2013.
Handle the tax matter, plan A, B, C or whatever, before 12/31/2012 and we will be where we have been for the last 31 years.
No matter how one spins it, the bottom line is that for the last 31 years we have increased government spending and reduced government revenue. Both sides were happy; the Democrats had entitlements going strong and Republicans had tax cuts coming out their years. But not to be outdone, Bush 43 had his own entitlement, all shiny and brand spanking new. Happy days were here again!
And yeah, I am aware that a Republican Congress and Clinton shacked up for 4 years and balanced budgets. But I am also aware that Reagan tripled the national debt and Bush 43 doubled the national debt and Obama, not to be outdone by a mere Republican, is on track to double it also.
Lil' Barry Bailout - OBAMAPHONE!!!
December 18th, 2012
3:55 pm
No one’s increased spending like Obozo–25% of GDP hasn’t been seen since WWII. And the GDP today is the same as it was four years ago, so don’t even start.
Cheesy Grits is gone but not forgotten
December 18th, 2012
4:00 pm
Boehner wasn’t specific about the rate he envisions for million-dollar earners.
Of course he wasn’t.
md
December 18th, 2012
4:08 pm
“”Democrats believe that tax cuts for those earning over a million dollars a year should expire and that we should use the resulting revenues to pay down the deficit,” Pelosi said in the letter. A month earlier on The Charlie Rose Show Pelosi went further, noting Democratic opposition to the $250,000 mark. “In our caucus, there is a school of thought that says let’s get rid of all the tax cuts,” she said. “I say, let’s begin by getting rid of tax cuts for people making more than a million dollars a year. I’m not even saying $250,000. The president’s saying $250,000. A million and above. Who can argue with that?””
Talking about being a flip-flopper. And now Pelosi says no way to Boehners (Her?) plan……too funny.
Kyle Wingfield
December 18th, 2012
4:09 pm
Cutty @ 3:41: As you said, that Obama proposal sparked Boehner’s Plan B — precisely because Obama’s proposal isn’t going anywhere in the House. So why would I write about that?
Aesop's Fables and other Lib Economic Theories
December 18th, 2012
4:11 pm
carlosgv – You are welcome to show us the spending cuts obozo promised Boehner from last year’s deal but be forewarned, finding them will be futile.
Aesop's Fables and other Lib Economic Theories
December 18th, 2012
4:15 pm
You can look at anything obozo says in two ways, either he’s a liar or he’s stupid and doesn’t know what he’s talking about.
carlosgvv
December 18th, 2012
4:22 pm
Aesop – 4:11
Last year is dead and gone.
What Obama and Boehner do, or don’t do, THIS month is what counts.
loco
December 18th, 2012
4:25 pm
Big Dust is on a roll.
Get em Dust. Go boy
loco
December 18th, 2012
4:27 pm
Jamvet
exactly…….. That Christian love is awesome………… You can feel it for miles
MarkV
December 18th, 2012
4:28 pm
I understand Kyle’s article is an “opinion piece.” Therefore, hoe does not have to substantiate the following: “To Obama, this clearly is more about good politics than good policy.” It is clear to Kyle, he does not have to make it clear to anybody else.
Also, I suspect we will not get the answer about the question when Obama called couples earning $250,000 a year “millionaires.”
Since that amount has been so much thrown about, with all the whining about the poor small business owner making this money and being squeezed by Obama’s proposal, it is worth noting what the increase in the tax rate that Obama has proposed would really mean. If that small businessman had a taxable income, after all the deductions, of a quarter million dollars, he/she would pay more, how much? Zero $.
clem
December 18th, 2012
4:30 pm
no higher than 400k; figure out some way to get clawbacks from wall st
Cheesy Grits is gone but not forgotten
December 18th, 2012
4:31 pm
That Mike Huckabee is one sick man.
Totally disgusted.
Tiberius - pulling the tail of the left AND right when needed
December 18th, 2012
4:31 pm
Dusty, AmVet would never stick pins in a George Bush doll.
His preferred method is drowning conservatives in a bathtub.
And never apologizing for the remark.
loco
December 18th, 2012
4:33 pm
Cheesy
He tried to walk back those comments, but it was too late and he knows it…………
But it went over well with a good percentage of his audience. So without a doubt he accomplished his goal
Tiberius - pulling the tail of the left AND right when needed
December 18th, 2012
4:33 pm
“Last year is dead and gone.
What Obama and Boehner do, or don’t do, THIS month is what counts.”
This from the guy who brings up “Bush did it” almost as much as anyone else.
Cheesy Grits is gone but not forgotten
December 18th, 2012
4:35 pm
Also, I suspect we will not get the answer about the question when Obama called couples earning $250,000 a year “millionaires.”
You wont. He made it up.
Kyle Wingfield
December 18th, 2012
4:38 pm
MarkV @ 4:28: “Also, I suspect we will not get the answer about the question when Obama called couples earning $250,000 a year ‘millionaires.’ ”
You can suspect all you want, and so can Cheesy. But I provided one link at 2:27, two hours before you got suspicious.
Centrist
December 18th, 2012
4:39 pm
Kyle – care to go out on a limb and pick a compromise annual family income where an additional increased tax rates might end up in a tax bargain?
Obama is now at $400K and Boehner at $999K. Splitting the difference in income ($700K) is not close to the middle of projected additional revenue. I’ll go with $575K @ a new 39% tax rate – all other tax rates stay as they currently are: 33% on taxable income over $217,450 and
35% on taxable income over $388,350. Sharper phaseouts and or deduction caps along with increased tax rates for capital gains, interest and dividends will also be in the mix.
MarkV
December 18th, 2012
4:43 pm
Dusty,
A few days ago I asked you who was getting the money spent on domestic programs, and we did not have a chance to complete that discussion. Also, not surprisingly, you misunderstood my question. That was my fault, not making it clearer. My question was not about the purpose of that money. We could argue that from morning till the cows come home, and all we would get was some agreement and some disagreement about what each of us considers necessary. In that context, I would only remind you that while you are fully entitled to have your opinion, there are all the other millions who are entitled to theirs.
But my question was in response to what you wrote in the economic sense, and in view of Kyle’s claim that the $1.4 trillion of revenue by tax increase would be taking money out of the economy. Not surprisingly, Kyle did not bother to answer my question about what the spending cuts would cost the economy. So I am going back to my original question to you. Who gets the money that is called government spending?” I believe it can be answered by one or a few words. And what happens when that spending is cut?
Tiberius - pulling the tail of the left AND right when needed
December 18th, 2012
4:44 pm
The sad thing is that no matter where each side finally comes down on tax levels, neither side is talking about actual cuts in spending, but rather cuts in the increases in spending.
Increased tax rates will fail, as they always have, as the rich will simply find different deductions to hide their money.
And it’s ALWAYS been the spending, stupid, that is the root cause of our deficits and debt.
And NO ONE is addressing that.
MarkV
December 18th, 2012
4:51 pm
Kyle Wingfield @ 4:38 pm
“You can suspect all you want, and so can Cheesy. But I provided one link at 2:27, two hours before you got suspicious.”
Kyle,
No, you did not. Why don’t you look at the link you have provided, and quote Obama calling couples earning $250,000 a year ‘millionaires.’
JamVet
December 18th, 2012
4:53 pm
tibby, since you are like some sort of broken child’s record player on the subject of bathtubs… have you ever considered sharing one with your hero, Grover Norquist?
Hey, I get it, tibby. Growing up is hard work. And you are struggling mightily.
Is it any wonder that you neocons are damn despondent these days? Seems like centuries since that two bit actor and union thug from California was riding on his white steed to save you from yourselves, huh?
So, especially after this last electoral humiliation. you fake conservatives are demoralized as can be and as confused as a five year old in an algebra class.
If I was a Republican (almost threw up in my mouth) I would be down in the dumps too. You guys are one helluva downward spiral and all you can do is give her the gas. And tell everyone who is not a Republican how stupid and lazy they are.
Good luck and if I can help you with your identity crisis, just give a ring, OK?
Cheesy Grits is gone but not forgotten
December 18th, 2012
4:55 pm
MarkV @ 4:28: “Also, I suspect we will not get the answer about the question when Obama called couples earning $250,000 a year ‘millionaires.’ ”
Read the linked article. Nowhere did he refer to people making 250,000 as millionaires.
Kyle Wingfield
December 18th, 2012
4:57 pm
Cheesy @ 4:55: At the time, his only proposal was to raise taxes on people making more than $200K/$250K. So what else could he have been talking about?
loco
December 18th, 2012
4:58 pm
Chessy
Obama did speak of millionaires and his plan is for 250k. Surely two different things but both from Obama
Kyle has a point, however he is doing some implication and he doesn’t have a direct quote. Not sure if his implication is totally off base