- Strong quake hits Japan, triggering tsunami
- Sniper heaven: Pentagon’s self-guided bullets leave enemies nowhere to hide
- Violent gang taking advantage of immigration crisis, using border as recruiting hub
- Medicaid enrollment continues to soar under Obamacare, administration says
- Michelle Obama to Latinos: ‘We cannot afford to wait on Congress’ for immigration
- White House urges GOP to act ‘urgently’ on $3.7 billion request for illegal immigrants
- Politicians, criminals using ‘right-to-be-forgotten’ law EU courts forced upon Google
- Combat fatigue: elite special forces troops are ‘fraying,’ Gen. Joseph Votel warns
- German foreign minister to meet Kerry to discuss spying claims
- Florida police spokesman tells citizens: ‘Get yourself some firearms’
LAMBRO: Obama’s tax-rate demagoguery
Threat to raise capital-gains tax targets middle class
Question of the Day
Mr. Clinton never mentions his capital-gains tax cut in his speeches about his stewardship of the economy or in his latest book about how to grow the Obama economy and create jobs.
President George W. Bush, too, cut the capital-gains tax in his 2003 tax reform, reducing it to 15 percent. Between 2002 and 2005, capital gains reported as income shot up by 154 percent.
“Capital gains tax receipts also far outpaced the [tax] revenues that the government’s static models predicted. Between 2003 and 2007, actual tax receipts exceeded expectations as income,” writes Stephen Moore, a tax-cut crusader on the Wall Street Journal’s editorial board.
Despite all the evidence that a low capital-gains tax rate boosts economic growth and raises tax revenue, Mr. Obama is stubbornly sticking to his failed class-warfare economics and wants the capital-gains rate raised to 20 percent or higher.
Newt Gingrich is proposing that the tax on dividends and interest be eliminated - a good idea, but its stands no chance of passing Congress.
Mr. Romney is playing it safer. He wants to make the Bush individual tax cuts permanent, reduce the corporate rate to 25 percent, but eliminate the capital-gains tax for people making less than $200,000 a year.
People in the upper six- and seven-figure tax brackets are doing OK in this economy, he says, but those in the middle-class brackets need to be encouraged to save and invest more.
It’s going to be politically difficult for the president to say Mr. Romney favors the rich when he calls for cutting taxes on Americans earning below $200,000, the very middle-class income bracket Mr. Obama says he wants to protect from higher taxes.
Donald Lambro is a syndicated columnist and former chief political correspondent for The Washington Times.
© Copyright 2014 The Washington Times, LLC. Click here for reprint permission.
About the Author
TWT Video Picks
Senate majority leader practices politics of personal destruction
Get Breaking Alerts
- Pentagon's self-guided bullets leave enemies nowhere to hide
- Michelle Obama to Latinos: 'We cannot afford to wait on Congress' for immigration
- Armed militia sets up Texas command center to 'fight for national sovereignty'
- Obama seeks brisk passage of border children funding bill
- Va. Democrat reportedly seeks nude shots of Kendall Jones
- Florida police spokesman tells citizens: 'Get yourself some firearms'
- Bloomberg: Pro-gun towns must lack roads
- Hamas orders civilians to die in Israeli airstrikes
- PRUDEN: 'Dirty Harry' Reids increasing eccentricity
- Amid border crisis, Obama to take 15-day vacation in Martha's Vineyard
Recent Letters to the Editor
- LETTER TO THE EDITOR: Where are condolences for Jewish teens' deaths?
- LETTER TO THE EDITOR: The problem is unenforced borders
- LETTER TO THE EDITOR: How many boondoggles to break the bank?
- LETTER TO THE EDITOR: Obama welcomes illegals, ignores Americans
- LETTER TO THE EDITOR: Obama has no intention of repatriating illegals