From this article in the Wall Street Journal:
Obama's 95% IllusionRead the rest. The Obama tax-cuts plan is a tool for wealth redistribution.
It depends on what the meaning of 'tax cut' is
One of Barack Obama's most potent campaign claims is that he'll cut taxes for no less than 95% of "working families." He's even promising to cut taxes enough that the government's tax share of GDP will be no more than 18.2% -- which is lower than it is today.
It's a clever pitch, because it lets him pose as a middle-class tax cutter while disguising that he's also proposing one of the largest tax increases ever on the other 5%. But how does he conjure this miracle, especially since more than a third of all Americans already pay no income taxes at all? There are several sleights of hand, but the most creative is to redefine the meaning of "tax cut."
For the Obama Democrats, a tax cut is no longer letting you keep more of what you earn. In their lexicon, a tax cut includes tens of billions of dollars in government handouts that are disguised by the phrase "tax credit." Mr. Obama is proposing to create or expand no fewer than seven such credits for individuals:...
Stogie points out the following:
What Obama's plan would do is to write a check to the millions of Americans who currently pay no taxes at all. For those of us who work for a living, we will pay higher taxes to support this massive transfer of wealth.Pity that the Obamamaniacs believe their candidate's promises. Those promises are full of hot air.
Another item in Obama's tax cuts are the tax credits he will provide. All but one of these tax credits are refundable -- the others only work if you have a tax liability. The liability is reduced by the credit, but you don't get it as a refund.
(Crossposted from Always On Watch)