Back in 2001 when King George the Child ran this turkey into the straw, it was sunset in 2010 partly for political reasons (like everything else Bush messed up - someone else would have to deal with it later) and it could be used for political gain AND it had to according the PAYGO as the projected deficits exceeded 700 billion which was the limit past which you couldn't go.
Now the great debate. Here are three reasons why Mr. Obama should tell the republicans to take a hike:
1. We simply can't afford it. This is a gift to the rich way out of reason. Wall Street is set to hand out 84billion in bonus payments alone this year...an undreamed of amount when this tax cut was introduced. Things have changed.
2. The gap between rich and poor is greater now than in any time in the history of our country. This extends it. It is put forth as a "job creator". Individual tax cuts have NEVER created a job unless it is domestic help. It doesn't penalize small business at all...just what the owners of small business take home in profits. THIS DOESN'T EFFECT CORPORATE TAXES ONE BIT AND THAT IS THE DIFFERENCE BETWEEN BUSINESS AND INDIVIDUAL TAX RELIEF. THIS IS INDIVIDUAL (I HAVE TO SHOUT BECAUSE NO ONE GETS IT). Businesses don't pay taxes now - 57% of them pay $0.
3. When the tax cut was proposed the richest 2% didn't make over half the income of the country. They do now. The sheer numbers of people making $250k + has grown amazingly and is enhanced by the super duper rich of $5-10million plus. The tax restoration is 3%. THREE PERCENT.
I don't feel better for this. If Mr. Obama gives in (caves in) to the power play of the rich, then God help us because no one else will.