I Didn't Raise Taxes Once
Tuesday, February 08, 2011
I Didn't Raise Taxes Once -- Refreshing the President's
Memory
Wall Street Journal Editorial
Bill O'Reilly's Fox interview with President Obama on Sunday was
fascinating, and not merely because Mr. Obama made clear he's an
ardent fan of these pages. What really caught our attention was the
President's claim that "I didn't raise taxes once. I lowered taxes
over the last two years."
The Presidency is demanding, and with the Egypt mess and his
other duties, perhaps Mr. Obama has forgotten some of his tax
achievements. Allow us to refresh his memory. In his historic
health-care bill, for example, there is the new $27 billion "fee"
on drug companies that is already in effect. Next year, device
manufacturers will get hit to the tune of $20 billion, and health
insurers will pay $60 billion starting in 2014-all of which are de
facto tax increases because these collections will be passed on to
consumers as higher costs. Of course, these are merely tax
increases on business.
As for tax increases on individuals, perhaps he forgot the
health-care bill's new 0.9 percentage point increase in the
Medicare payroll tax for families making over $250,000 and singles
over $200,000. That tax increase takes effect in 2013, as will the
application of what will be a 3.8% Medicare surtax (up from 2.9%
today) to "unearned income" for the first time. This is a tax hike
on investment and interest income, which will reduce the incentive
to save and invest.
Mr. Obama also told Mr. O'Reilly that he hasn't moved to the
"center" since November's Democratic election defeat, saying "I'm
the same guy." Save for a couple of tactical retreats that he
couldn't avoid, we agree with him. As the President said recently
in the State of the Union, he's going to insist on raising taxes
again on people making over $200,000 when his deal with Republicans
in Congress expires in 2012. Definitely the same guy.