Democrats pushing for Bush-era tax cuts?
New developments in effort to avert 'fiscal cliff'
- Duration 6:48
- Date Dec 26, 2012
New developments in effort to avert 'fiscal cliff'
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-- -- and there's a lot of nastiness going on in Washington to a growing debate.
And a major sticking point in the effort to keep the US economy from going over the fiscal cliff as a group -- Democrats.
Push for the extension of most of the bush era tax cuts.
Cuts they say staunchly.
They opposed years ago.
Various times talk about it Tony says the Republican political analyst and consultant in the national -- political correspondent.
For talk radio news service.
-- Lewis Michael is a democratic strategist and he joins us as well could see both to his interview on look at the word we're getting is that Harry Reid is gonna pass.
An extension of the bush tax cuts for anybody under 250000.
Extend unemployment benefits for two million vote.
Now if that happens it goes to the house and the house will probably have to put it job.
Are Republicans your party gonna wish that they had passed plan -- Absolutely Greg let them be really should've been our plan -- number one never to play MB was really the idea.
-- Chuck Schumer and Nancy Pelosi as recently as this summer to set the threshold on it comes to a million dollars vs 250000.
Loud those tax rates for a million and above go up the president talked about taxing millionaires and billionaires that would be right.
And now let the rest of the country.
Enjoyed the extension of the full bush tax cuts.
Which I think we now even see Democrats acknowledge -- have meaningful about -- for them and then the economy as a -- doesn't work.
The president's gonna have egg on his face right.
No not at all the president comes as no not at all the president has come back would have compromised the people that have egg on their fees are the Republicans.
They've taken intractable positions we're.
As the president has made concessions Boehner cannot -- leadership to get anything passed through his congress right now.
And quite frankly they're being they're being sort of held by the Tea Party against -- extraordinary.
Positions that they have to take at a time when the paradigm.
Has shifted so I think I think the countries recognizing that the president has me conception I think I don't -- Republicans and having my.
A larger picture.
-- if we go into a double dip recession.
This president won't get -- thing that he wants on any thing and he could go down in history.
As an awful president right.
You a two term president who trounced the Republicans in November absolutely not he doesn't go down as an awful precedent in the -- I think.
He actually barely won the barely we'll go back to numbers but that's without a political veterans -- -- but I but I think that the -- is set to turn into -- I don't think you probably think he was so today president you're right I don't went -- the reality -- I don't think he has -- -- on his -- he would not be viewed as as a failure as a president.
Because I think most people right now want something done they're willing to deal with spending cuts and willing to deal with taxing premiums but it -- Either company -- million Americans still unemployed and underemployed.
Absolutely and they're not going to basically -- that.
Employment and income with government assistance and subsidies alone you have to grow the economy and none nothing this president has done for years.
Has meaningfully done that the let's go back to battles for that says the Republicans are somehow intractable.
The Republicans agree to one point two trillion in new revenue.
John -- from the very beginning put 800 billion in revenue.
On the table the president was said it -- it was note to say well that's mine I get that one for free I don't have to give anything in return the president in addressing a deficit.
Added one point six trillion.
In new spending so -- -- are we joking right now the president has in the never taken the spending side of this equation seriously which is why we don't have a deal Republicans have put their neck on the line supporting new revenue senator.
John Barrasso said that the president really does want to go over the cliff because he he wants to punish Republicans is there something to that.
I don't think there's anything anything to that but the reality is.
That if he.
Wants to get anything done he has he has two options either breaks the Republicans on taxes -- he breaks the Republican tyrant that's what where I've photos -- protesting quote.
But but I I do think that.
He he is -- I don't think we any any of us want to see if it's the the country go off the mainly because it doesn't think sixteen trillion in debt is a big deal I think out here I think he thinks it's a big deal if we go off this clip we're talking about two million folks that will not get unemployment insurance.
Anymore we're talking about an increase in payroll Texas I don't think anyone wants that.
But I think that -- -- -- tell you how really -- it's very interesting you bring that up.
Because none of the proposals on the table right now deal with the anti -- payroll taxes in Tony.
I mean that's gonna hurt every single American who pays taxes and they're gonna blame the president.
And even with the deal Greg you bring up an excellent point -- taxes on dividends go what from 14%.
To 42 half says.
Capital gains -- -- ready are going up because of obamacare gulp even greater let's let's remember Bill Clinton knew you have to cut capital gains taxes to stimulate.
Capital formation and investment.
That -- the economy in the ninety's pretty -- I think Democrats would agree there was -- there was a whole set of things that have to be done in order to.
Keep this economy out of dipping back into -- -- Beyond just tax rates which is why we have missed the real conversation set very well by Democrats and Republicans on the bipartisan debt commission for every one dollar -- increase revenue we need more dollars in spending cuts the president has.
Has -- To meet that level that a bill on the floor of the house and be -- failed to get that pushed through what happened here.
That was what -- leadership without a doubt.
I think that the huge hit with that one battle but that's still represents 110 of the problem -- the president's leadership -- spending.
That represents the entire problem this is bill.
Really -- according to the bipartisan debt commission says that represents the entire problem this is this revenues Robert Bentley and had a problem that this is the speaker of the house they can't do his job.
That's what that represented and he can't lead the rest of the Republicans in actually try.
John Boehner spoke for two proposals the president came back and even the liberal Financial Times and -- Ezra -- of the Washington Post game back in Zagreb and said.
That -- they -- President Obama said that the president's budget was on serious and that it was basically the same budget he proposed in 2011 but got zero Democrats supporting it.
I'm not a time out -- give me your prediction.
Tuesday a will there be a deal or not I think Harry Reid who do a stopgap deal and will be back to the drawing board quickly and Tony stopgap is exactly what's gonna happen at best and it's not gonna solve the problem really.
-- you really hear any of the grand bargain -- -- they say Basil so Michael good to see about the beer that's a much better.