Bush tax cuts to expire
31 December 2012
the undiscussed issue in this election
Eric LaMont Gregory
Columnist - http://www.FayetteAdvocate.com
On the 25th of July 2012, the US Senate passed a bill that would continue the 'Bush-era tax cuts' for everyone making less than $250,000 a year, the House approved a continuation of the tax cut bill for everyone. And thus, the battle lines are drawn.
If, the Bush tax cuts are allowed to expire on the 31st of December it will have a dramatic effect on the economy of every household in every community in every state in the United States.
The average household in Ohio, for example, will see a tax increase $2,069. However, there are substantial differences in the amount of the anticipated tax increase depending where you live.
The average household in the 8th Congressional district, represented by Speaker of the House John Boehner, will experience an increased tax bill of some $2,699, and a congressional district wide increase of more than 900 million dollars. Those living in the hotly contested 2nd Congressional District in southwest Ohio, would see an average tax increase of $3,859, and a total congressional district wide increase of over 1.4 billion dollars, according to recent data compiled by the Heritage Foundation.
The average New York household will pay $5,452 more in taxes, but that is less than the $5,783 dollar increased tax bill that will face those living in Connecticut.
The basic question to ask is where will that money do the most good?
Is it better to have those tax dollars under the control of individual households to spend, save and invest, or is it better in the hands of government to slow down its soaring increase in deficit spending?
Notwithstanding the fact that there is little chance of a decision on the tax cuts by the 112th Congress before election day, the debate over what to do about the tax cuts, one would think, ought to be more of an issues in this presidential campaign than it has been to date.
Whatever happens on election day, there is yet another heart-stopping last minute compromise pending just before Congress recesses in December.
The more things change, the more they stay just the same.