Obama Wants 1 More Year of Bush Tax Cuts—for Some

Extension would apply to those families making less than $250K
By Mark Russell,  Newser Staff
Posted Jul 9, 2012 5:53 AM CDT
Updated Jul 9, 2012 7:58 AM CDT
President Barack Obama walks on the South Lawn of the White House yesterday in Washington, DC. Obama was returning from a trip to Camp David.   (Getty Images)
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(Newser) – This week's likely theme: the Bush tax cuts. President Obama is expected later today to call for an extension of the Bush tax cuts for one more year—but only for families earning less than $250,000 annually. The cuts are set to expire Jan. 1, and the opinions on what to do next are varied: Democrats are divided, with many, including Nancy Pelosi and Charles Schumer, calling for the cut-off point to be $1 million, reports the New York Times. The GOP is united in demanding cuts for all.

Obama's plan, to be announced in the Rose Garden, would tack another $150 billion onto the deficit. A few thoughts on what's behind his move:

  • Obama is trying to rebound from Friday's weak jobs report, writes Mark Lander for the Times. And "by calling for an extension for just a year, Mr. Obama hopes to make Republicans look obstructionist and unreasonable" should they reject his number. On the flip side, if they keep arguing their position, he can paint them as looking out for the rich.
  • "It's more "political baseball" writes Maggie Haberman for Politico. "Instead of going for grand slams, [Obama has] been going for a series of singles—the immigration executive action, for instance, was one of them. It's a move related to the middle class, which also seeks to box in his rival."
(Read more Bush tax cuts stories.)

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