Originally Posted by cutthemdown
Obama can forget about th repubs going along with an income tax increase on Americans. The ones that won in the house were elected because of that stance. He will have to deal or face the fiscal cliff. Repubs will give in on revenue increases through eliminating loopholes. Probably they will offer up the 2nd home/vacation home tax write off among other things.
You are probably right about what the GOP congress will try to do. ....but keep in mind that the increase in unemployment and the reduction in the economy that will ensue if we go over the cliff will end up putting pressure on that congress to raise taxes later on anyway. By 2014 those in congress now will be paying for it at the polls, both Dems and Republican. This may result in a switch in both the house and senate then as people will be sick of the games by both sides. And Obama will still be president until 2016.
Obama has nothing to lose by pushing for the increases on the upper classes. He campaigned on that point, and he won the election. The Bush cuts for the wealthy are dead, either in the lame duck, or in 2013.
It is also true that there are going to have to be increases on the middle class and taxes in general, combined with the spending cuts. We have been living a standard of living that is based on debt, which is exactly why the housing bubble popping burst the economic bubble in general, and why so many people ended up upside down.
Taking out home equity loans then buying TVs , clothes , cars etc. with the
money from the homes and then being surprised when everything went to hell in a hand basket.