Democrats’ First Budget: Raise Taxes
After promising no tax increases on campaign trail their true colors are revealed
WASHINGTON – Reporters have released the details of the Senate Democratic budget and the proposal will not include an extension of the 2001 and 2003 tax cuts. As the Washington Post reported this morning, “Budget Committee Chairman Kent Conrad (D-N.D.) is writing a budget plan that permits the extension of President Bush\’s tax cuts past their 2010 expiration date — so long as they are paid for, Conrad said in an interview yesterday. That would cost more than $400 billion over five years.”
Grover Norquist, president of Americans for Tax Reform, released the following statement in response:
“After campaigning not to raise taxes, the first budget put forward by the new Democrat majority will raise taxes on working American families by $400 billion, or $3,800 per household. Sen. Conrad must believe it is the government’s money when in fact this is the American taxpayers’ money he will be taking away from them. There is absolutely no question this tax increase will lead to slower economic growth, fewer jobs, and a lower standard of living for all Americans.
This proposal comes one day following the release of IRS data showing the capital gains and
dividend tax cuts more than paid for themselves, the wealthy are paying more in taxes than ever before, and the budget deficit has declined by 38 percent year over year. The fact that Conrad is using “tax cuts for the rich,” deficits, and debt as excuses for these damaging tax increases shows these really are not his true intentions. Rather it’s the billions of dollars of spending promises that Conrad and his colleagues promised the raptorial spending interests under the cute guise of “fiscal responsibility.
Every American with a 401 (k) should take notice. The stock market has lost five percent of value over the past two weeks. With news of the Democrat plan to erase capital gains and dividend tax cuts, the market could sink even further. When Japan announced they were raising capital gains and dividend taxes in November, their stock market tanked. And just two weeks ago, China announced a new capital gains tax which led to the nine percent drop in their stock market.
Why are Conrad and the Democrats seeking a similar path?
After months of playing rhetorical games with taxpayers and reporters we have finally seen the true intentions of the new leadership: Higher taxes, more government spending, and a larger federal government.”