Ryan Donmoyer of Bloomberg.com reports that House Democrats are set to propose a surtax on the “rich:”
Two people familiar with closed-door talks by [House Ways & Means] committee Democrats said a House bill probably will include a surtax on incomes exceeding $250,000, as Congress seeks ways to pay for changes to a health-care system that accounts for almost 18 percent of the U.S. economy.
By targeting wealthier Americans, a surtax may hold more appeal for House Democrats than a Senate proposal to tax some employer-provided health benefits.
The passage of a Bill imposing a special surtax on the rich means that President Obama will have to decide whether he is willing to add another burden on wealthiest Americans in addition to his previously proposed tax increases on those making more than $235,000:
A surtax proposal would force President Barack Obama to decide whether he is willing to add the levy on top of higher income-tax rates for top earners that he wants to take effect in 2011.
Obama has promised that he won’t increase taxes on Americans earning less than $250,000 and said he will delay increases for high-income earners until 2011.
[The President] hasn’t commented on the possibility of a surtax, and the White House had no comment on specific proposals. The president has proposed limiting itemized deductions for high- income taxpayers.
When you add up the Obama administration’s proposed tax rate increases, its limitation on itemized deductions and this newly proposed surtax, you might be able to better understand why some folks are taking a special hankering to Earl Grey.
(Hat Tip: Paul Caron)
8 responses so far ↓
1 Oh, Frabjous Day, More New Taxes On the Way! // Jul 10, 2009 at 8:36 am
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2 2011 Tax Brackets, A Speculative Look // Jul 13, 2009 at 3:18 pm
[...] Democrats Propose Special Surtax on the “Rich” to be Added to Obama Tax Increases Bookmark & Share: [...]
3 Taxing the Rich Just Because: The Beginning of Totalitarianism // Jul 17, 2009 at 10:22 am
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4 Surtax Talk, Or Around the Taxosphere in 80 Seconds // Jul 20, 2009 at 4:33 pm
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5 Surtax on Rich “Meets my Principle” Rich President Says // Jul 23, 2009 at 8:16 am
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6 Taxes & Healthcare Reform: Asking or Forcing the Rich to Pay More // Jul 29, 2009 at 12:17 am
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7 Tax Poem // Dec 18, 2009 at 12:16 am
[...] he hollers, tax him more, Tax him until he’s good and sore. Tax his coffin, tax his grave, Tax the sod in which he [...]
8 Truth, Taxes and the American Way // May 11, 2010 at 9:01 am
[...] Democrats Propose Special Surtax on the “Rich” to be Added to Obama Tax Increases Bookmark & Share: [...]
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