President Barack Obama spent most of the week strongly urging Congress to extend the middle-class tax cuts for those Americans earning $250,000 a year or less. On Saturday, President Obama used the opportunity of his weekly address to once again make his point, making the major point that time “is running out.”
He said one of two things can happen. “First, if Congress does nothing, every family in America will see their income taxes automatically go up on January 1st.” He pointed out that a “typical middle-class family of four would get a $2,200 tax hike.”
Or the Congress can do something and “prevent a tax hike on the first $250,000 of everybody’s income. That means 98 percent of Americans and 97 percent of small businesses wouldn’t see their income taxes go up by a single dime. Even the wealthiest Americans would get a tax cut on the first $250,000 of their income.”
The answer is simple and easy to do since the United States Senate has already passed this bill. It is now up to the Republicans in the House of Representatives to do the same, said the president.
He also pointed out that not only is saving the middle-class tax cut for those under $250,000 a year is an economic stimulus, but that the changing of the tax rate for those over $250,000 a year will go a long way toward reducing the deficit.
The president also said that in addition to the $1 trillion dollars in cuts made last year, he is willing to make further changes in entitlement spending cuts. The president is also willing to make more entitlement spending cuts on top of the $1 trillion dollars in cuts I signed into law last year.
Earlier in the week, President Barack Obama met with some ordinary citizens who had responded to the President’s call for tweeting about the middle-class tax cuts with the hashtag “#My2K.”
Tiffany and Richard Santana and Tiffany’s parents, Velma and Jimmie Massenburg welcomed President Obama for a roundtable to discuss the importance of extending the middle class tax cuts and taking a balanced approach to tackling the fiscal challenges, at the Santana’s home in Falls Church, Virginia.
“The reason that we’re here,” said the president, “is because Tiffany is one of the people who responded to My2K. As many of you know, we asked folks all across the country to talk a little bit about what would it mean if their income taxes went up in 2013, and Tiffany, who is a high school teacher, responded. Her husband, Richard, works at a Toyota dealership. They actually live with Tiffany’s parents, both of whom are still working. And so what Tiffany pointed out was that an increase of $2,000 or so for her and her husband in this household would actually mean $4,000 that was lost. And a couple of thousand dollars means a couple months’ rent for this family.”
The president closed by saying to his new friends that “it’s very important that we get this done now, that we don’t wait.”
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John is the author of an award-winning book, the 2010 Winner of the USA Nation Best Book award for African-American studies, published by The Elevator Group Mr. and Mrs. Grassroots: How Barack Obama, Two Bookstore Owners, and 300 Volunteers did it. Also available an eBook on Amazon. John is also a member of the Society of Midland Authors and is a book reviewer of political books for the New York Journal of Books