Another tax cut gimmick from Obama

Posted on: September 7, 2011

I’m sure you have heard Barack Obama claim to have passed the “biggest middle-class tax cut in history” many times since passing the Porkulus package which he called “Making Work Pay.” He says that the $800 per year that was not taken from withholding taxes is his infamous claim.

But according to Ed Morrissey from Hot Air, he found that Glenn Kessler at the Washington Post tested out this claim and end up calling it a “whopper.” If he meant that by reducing the dollar amount you take home is a middle-class tax cut then okay that sounds  reasonable. However, the White House official response was that Obama wasn’t talking about dollars at all!

So what does he mean by that statement? According to an administration official from the White House, “The point the president was making that is there is not a tax cut that has been enjoyed by such a broad section of the population.” According to a report that said that 95 percent of working families received some kind of tax cut under the Making Work Pay provision in his stimulus bill.

WTF? What does that mean?

If we go by his accounting methodology, another President could pass a tax cut that reduces liabilities by $5 per person and allow it to apply to every American, and that would beat Obama’s dubious “record.”  Small wonder that, as Kessler writes, the MWP cut went “largely unnoticed” by the American public, which was just a gimmicky rehash of George Bush’s “rebate” in early 2008. It was too small to matter in terms of economic growth, and the temporary nature of the cut meant that no one could do any long-term planning based on it.

The proper measure of “biggest tax cut” should be based on GDP, with adjustments for inflation.  Kessler ran the numbers for tax cuts over the last 50 years, and Obama didn’t even come close. Once again, Obama is talking from both sides of his mouth and nothing is making any sense at all.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: