The Washington Times - April 14, 2010, 06:30PM



Republicans went on to say that Democrats have repeatedly violated the President’s campaign pledge that no one making under $250,000 a year will see a tax increase. With poll numbers effectively showing the public’s dislike for the new health care legislation, Democrats are looking for ways to make themselves appear fiscally conservative to Americans. Employing the use of the words “tax cut,” Democrats believe Americans concerned with the massive costs of the health care legislation will come over to their side

A day after Majority Leader Harry Reid, a Nevada Democrat, claimed the Democrats are responsible for cutting taxes for 98% of the American people, along with his Democratic colleagues who are saying it is the largest tax cut in history,  the GOP has answered back. Mr Reid first said yesterday:


“It’s tax day tomorrow.  No one looks forward to that. We have made tax day easier  for people this year. We, the Democrats, We, the administration and Congress. We’ve done that, because we know people are worried about homes, wages.  They’re worried about making a car payment, a tuition payment for one o their children, and really they should reap the benefits of  hard work. That’s why we cut taxes for 98% of the American people, who need tax cuts for buying a new car, a new home, or making their home more energy efficient. Tax cuts help families afford college and consumers to revitalize the economy. We closed many corporate loop holes  by cutting business taxes, we create jobs here at home. We’ve done all that.  Taxpayers saving an average of $900  a year in Nevada alone and in some places in the country the average in the country is $1150.”

Republicans responded with an “Are they kidding?”:


Government Spending is Not a Tax Cut:  Democrats claim that $466 billion in subsidies paid directly to big insurance companies in the health care takeover represents a “tax cut.”

  • “Beginning in 2014, the Democrats health care takeover will provide $466 billion in subsidies for health care premiumsdirectly to insurance companies, not in the form of tax cuts.  According to the legislation, “the Secretary of the Treasury shall make the advance payment under this section of any premium tax credit allowed under section 36B of the Internal Revenue Code of 1986 to the issuer of a qualified health plan on a monthly basis.”  This provision is a direct payment to insurance companies.  It would not reduce any individual’s tax liability, and is therefore not a tax cut.”



  • “By 2019, JCT estimates that 163 million people or 93 percent of all Americans would receive absolutely no benefit from the government’s payments to insurance companies.  So according to the president, the largest middle class tax cut in history is a $466 billion direct payment to private insurance companies that does not reduce any tax liability and does not benefit 93 percent of Americans.”

Expect to see more of this debate as time rolls on into the 2010 election season now. Democrats are gambling that Americans will buy the rhetoric that they are the party of tax relief, but if there is less in people’s pockets come November, voters will be more than happy to go to the polls to tell Congressional Democrats, “return to sender.”