Unless the House of Representatives takes action before January 1, 2013, taxes will go up on 114 million middle-class families. Nearly everyone in Washington agrees that's a bad idea. That's why President Obama is calling for -- and the Senate has already passed -- legislation that will keep the middle class from paying thousands of extra dollars next year.
Republicans in the House of Representatives, however, are refusing to extend middle-class tax cuts without also giving massive tax cuts to the wealthiest 2 percent of Americans. In fact, House Republicans have proposed their own tax plan that would actually raise taxes on 25 million families making less than $250,000, while giving families making more than $1 million an average tax cut of $160,000 next year.
We've put together an infographic to help you understand some of the details behind the tax cut extension President Obama is asking Congress to pass, and how it differs with the House Republican proposal. Check it out, and if you agree with President Obama that extending middle-class tax cuts is the right thing to do, share it on your social networks and pass it on to your friends and family.
The House did vote to extend the tax cuts for middle class Americans. It just did not exclude the upper income bracket where the President would raise taxes. Of course the Senate and President rejected the House measure.
It's interesting that the White House estimates extending the cuts for the wealthy will add $1.16 trillion to deficits over 10 years but neglects to mention the $3.3 trillion added by the portion of the Bush tax cuts he favors.
As a middle class American who has children and grandchildren I favor allowing all the Bush tax cuts to expire and return to the tax structure under Clinton. An even better and fairer option would be to pass the FairTax but I doubt that will happen.
Bloomberg put together a graphic that separates out the exact proposals. I find that's clearer than the White House graphic.
Last edit by azhiker96 on Sep 11, '12