Obama seeks $467 billion in cuts to offset jobs plan

[The Straight Story]

Obama seeks $467 billion in cuts to offset jobs plan

U.S. President Barack Obama will propose $467 billion in budget cuts to offset the cost of job-creation package, White House Budget Director Jack Lew said on Monday.

"In order to invest in jobs and growth, we're going to have to pay for it," Lew told reporters as Obama prepared to submit his $447 billion jobs program to Congress on Monday. He said the extra $20 billion in cuts were intended to "build in a cushion" to make sure the plan is paid for without adding to deficits, as Obama has promised. (Reporting by Steve Holland and Matt Spetalnick)

http://uk.reuters.com/article/2011/09/12/usa-jobs-budget-idUKWNA830620110912

[Larkspur]

1. Bring our troops home from Iraq and Afghanistan!

that will solve the bulk of the cuts if not all of them.

[ChillbertKChesterton]

18. that's impossible we must fight the Forever Wars

until we win.

[montanacowboy]

2. Who is this "we're" going to have to pay for it?

the millionaires and billionaires?

who is going to pay for it?

[tblue]

3. Oy freaking gevalt!

Okay, I'll wait to see what cuts he's proposing. Pretty sure it's gonna be robbing Peter to pay Paul.

[joeybee12]

4. He still doesn't get it...apparently he never will...knr

[RKP5637]

8. Yep, that's the same conclusion I've come to, "He still doesn't get it...apparently he never will."

[frazzled]

16. Apparently, YOU don't get it

Everything the administration is proposing in cuts to offset the Jobs Bill are taxes on the wealthy and corporations. See my post below and: http://www.washingtonpost.com/blogs/ezra-klein/post/the-white-houses-populist-pay-fors/2011/08/25/gIQAjy3INK_blog.html

Maybe you should read what is being proposed before you express your opinion--it saves a lot of embarrassment.

[girl gone mad]

24. Economics fail.

The only way his meager jobs stimulus will work is if it sufficiently expands our deficit.

Taking more money out of the private sector in the form of tax hikes, even when designed to target higher brackets, will minimize the efficacy of his jobs proposals.

[frazzled]

28. Huh--this is about the OFFSETS to pay for the bill ... not job creation

Try failing yourself in economics.

[girl gone mad]

30. If the government adds and then removes an equal amount of money from the private sector..

how does that get us to net job creation?

It doesn't, because it's a wash.

The only way to reduce unemployment is to increase the deficit (thereby increasing the amount of money available to the private sector).

[Name removed]

31. Deleted message

Message removed by moderator. Click here to review the message board rules.

[joeybee12]

26. Speaking of embarassing, wanna try and explain how a tax cut is

considered a budget cut?????

[frazzled]

29. It's not a tax cut: it's a tax HIKE

What's wrong with you people? He's cutting out the amount wealthy people can deduct on their tax returns, and he's saying we shouldn't let hedge fund managers get away with paying lower capital gains rates rather than treat their profits as income. That's not a tax cut. It's a tax HIKE.

[NNN0LHI]

39. Its not "you people"

Its just a few goof balls here and there who post a lot and who are either ignorant or have very poor reading comprehension skills. Or both?

Don

[DireStrike]

41. Nowhere in the OP's article does it say anything about this

No need to be so hostile right away. Tax policy changes are not budget cuts, as the article says.

[Rex]

5. Pay for it? What does that mean? All I ever hear is spend spend spend.

Is that like sacrifice?

[LongTomH]

6. Is he expecting the private sector jobs created to offset the public sector job losses?

Inquiring minds want to know!:eyes:

[Enrique]

7. let me predict the compromise

he'll get the budget cuts, but not the jobs plan.

[vi5]

9. And let me predict the response....

..the response in select corners on here will be that such a compromise is a huge victory and if you don't think it was a victory then you should be on Free Republic because you want President Palin/Bachman/Perry/Romney/etc.

[Dragonfli]

11. Republicans BAD, Republican policy GOOD, now memorize that you Palin loving trolls.

Or else we will keep punching you hippies till you get it!

[Dragonfli]

10. Republicans are open to parts of the plan, all their ideas he put in, those may make

the negotiation cut.

He will have to trade more "modest" cuts and defunding of "entitlements" to get them to vote for the Republican parts that he loves, but that is a good thing. Right?

[msongs]

12. let's start with his salary, benefits, and retirement and those of Michelle O as well nt

[Inuca]

14. Very nice n/t

[SammyWinstonJack]

35. Works for me!

:thumbsup:

[Jack Rabbit]

13. If he wants budget cuts, he can start by ending the Bush Wars

He'll get a lot more than a half trillion that way.

[frazzled]

15. And these cuts ALL fall on the shoulders of the super-wealthy and corps

And they will not be passed by Republicans:

At a press briefing earlier this afternoon, White House budget director Jack Lew revealed the Obama administration’s proposed offsets for its jobs bill. Here’s what they have in common: they’re all tax increases on the wealthy, they’ve all been proposed by the Obama administration in the past, and none of them are likely to attract Republican support.

The bulk of the money would come from capping the tax break the wealthy can get from itemized deductions and making it harder for hedge-fund managers to report their income as capital gains and thus pay a lower tax rate on it. Those two changes alone would bring in more than $400 billion over 10 years. The White House also proposed doing away with deductions that favor corporate jets and oil and gas companies, though those changes wouldn’t bring in as much money.

More at: http://www.washingtonpost.com/blogs/ezra-klein/post/the-white-houses-populist-pay-fors/2011/08/25/gIQAjy3INK_blog.html

[Inuca]

17. And here is what he proposes

a few recent tweets. Possibly written up already written up somewhere, I did not look. These I think are from jay Carney's presser.

jaketapper Jake Tapper
by ezraklein
WH: pay for Jobs bill by limiting deductions for those w/ income over $250K, higher rate for hedge fund managers + Oil, gas, corp jet

markknoller Mark Knoller
WH jobs bill would raise taxes on $200k/$250K earners by limiting tax deductions and exemptions by $400 billion over 10 years.

markknoller Mark Knoller
Jobs billl would make hedge fund managers treat their earnings as income, not capital gains to generate $18billion over 10 years.

markknoller Mark Knoller
Jobs Bill would seek to close tax loopholes used by oil and gas companies to generate $40-billion over ten years.

markknoller Mark Knoller
And corporate jets would have to be depreciated in 5 years not 7: for estimated $3-billion in tax revenue.

markknoller Mark Knoller
WH plans to raise $467-billion to pay for the $448-billion dollar jobs bill - to build in a cushion - says budget director Jack Lew.

And Boehner response (surprise!)
jacksonjk Jill Jackson
Boehner Spokesman Michael Steel says WH tax increase offsets for jobs bill "doesn’t appear to have been offered in that bipartisan spirit”

[Autumn]

19. Those cuts won't happen so it's on to plan B.

Cut entitlement programs for the poor and elderly. where else are they going to get $467-billion to pay for the $448-billion dollar jobs bill.

[frazzled]

20. Jeezus, he proposes something great, so you have to find the negative

This entire thread convinces me of the intransigent, willfully uninformed attempts to find anything wrong with this president.

First, the OP posts an article, citing absolutely nothing about the nature of the cuts the administration is proposing. Then all the uninformed jump in with hoots and hollers about how horrible this is. Then I post the facts--stuff that EVERY progressive should want. And then the bashing begins anew, with speculation about what will happen in their heads that will justify their hatred.

I give up. This has become the NON-REALITY based community. Disgusting.

[Autumn]

22. Jeezus, Do you think the fucking republicans are

going to go along with any of that shit? If you do let me sell you a fucking bridge. Do you think everything anyone says is a slam against Obama? Get a grip, if you are going to look for shit to get pissed off about you really need a different hobby. Your attitude is what is disgusting.


NON-REALITY? look in the fucking mirror. This is about a proposal not a slam against Obama.

[frazzled]

27. Look, everyone here always says ...

Obama just needs to stand up strong for progressive policies--like the public option. Even if it fails. And if anyone says of course the Republicans will vote against it, so he has to propose a compromise, we are booed off the stage. He must fight fight fight!

So now he's fighting. He's proposing in writing exactly what we want. We know it will probably fail. So what's your freaking beef NOW?

[Autumn]

38. Do you think the republicans are going to let those cuts

happen? That's my freaking beef. Sorry to disappoint your outrage but not every comment that is made is about Obama. Lighten up, he doesn't need a nanny to fend off what you think might be a personal attack on the internet.

[sad sally]

45. We know it will probably fail? Tax cuts part of the Jobs Plan that won't fail include:

Bush/Obama Income Tax Cuts, Obama Payroll Tax Cuts (which benefit twice as much as those making above the SS cap), Corporate Tax Cuts (lowering it to 25% and 5% for a repatriation tax holiday to allow multinational corporations to bring profits held overseas back to the US), Obama Payroll Tax Cuts for Employers (3.1% businesses would pay on the first $5 million of their payroll, the full 6.2 percent employer contribution would be waived on the first $50 million net increase in a company’s payroll). These are all tax cuts Republicans will be glad to support the President on.

Now, the $487 billion in tax revenues part of the Jobs Plan will be seen by the Republicans as political grandstanding, campaigning, class warfare - you name it - and won't be supported by them.

$400 billion by limiting itemized deductions, including the one for charitable giving, for individuals earning more than $200,000 a year ($250,000 for couples).
$40 billion by eliminating tax breaks for oil-and-gas companies.
$18 billion by taxing “carried interest” income (common among hedge fund managers) as regular income as opposed to capital gains, which are taxed at a much lower rate.
$3 billion by adjusting the depreciation rate on corporate jets.

Where does that leave the grand compromise? Tax cuts - okay; tax revenues - not okay. Same old, same old, and please explain, just how does this create jobs?

[SidDithers]

33. If he proposes something good, then it won't happen...

if he proposes something bad, then it went into effect yesterday.

:banghead:

Sid

[RickFromMN]

21. These tax changes are a good start. Now let's hope the Bush tax cuts for the rich expire.

[frazzled]

25. It occurred to me that that's built into the Jobs bill already

When I listened to the press conference today it dawned on me that there's a poison pill in there for the Republicans. The bill asks to extend tax breaks on middle-class Americans. At the Joint Session speech the other night, the President was goading the Republicans about, c'mon, they're under pledges not to raise taxes, so they HAVE to be for this.

The biggest problem for the plan to let the tax cuts expire only on the wealthiest Americans is that it's one bill set to expire for everyone. The Republicans always thought they had the upper hand because enough Democrats won't be willing to let them expire for everyone, and there was no easy way to separate out the two groups when considering this alone. By including the extension on middle-class-only within this jobs bill, Obama, it seems to me, has them by the short hairs. Perhaps I misunderstand, but this is what I concluded from listening.

That aside, the capping deductions for the wealthy and the hedge-fun manager income taxing alone will net nearly the full amount ($400B of the $450B) needed to pay for this Jobs Bill.

[mmonk]

36. It would be better if they were proposed before this year when

they won't happen.

[Buns_of_Fire]

43. Gee, not offered in a "bipartisan spirit"...

Cry me a river, Boner. You and you teabagging morans ran over that goose, backed up and ran over it again, then stopped to piss on it before you beat it with sledgehammers. Do the letters "FO" mean anything to you?

[indepat]

23. Hopefully none of that $467 billion will be borne by social security and Medicare beneficiaries who

have already paid their payroll-taxes dues in full for: such would be tantamount to literally shitting on them and rubbing their noses in it. :patriot:

[mmonk]

32. Cuts in what?

Cuts have led to public sector layoffs that offset job gains and demand. I hate politics. With all my heart and soul. I'm involved in politics to fight the political crony capitalist predators already there.

[SammyWinstonJack]

34. Who is 'we'? We already know, who 'we' isn't.

Just some more bs 'shared sacrifice' crappola.

[progressoid]

37. I'm sure most of those cuts will come from Defense and the Wars.

:eyes:

[Shagbark Hickory]

40. Libya wasn't paid for yet creating jobs to solve a fucking unemployment crisis has to be paid for?

Dudes, this president is gone so far to the right that I cannot see any difference between him and a teabagger anymore. I'm sorry.

[Autumn]

44. Well you know it's a matter of priorities.

Those aren't my fucking priorities but I guess Obama feels that taking care of our own is a silly little bipartisan game and we have to get the stamp of the pukes. It just blows me out of the water that they can always get money what they want, unless it's something "we" little people need.

[LadyInAZ]

42. i guess the money has come from somewhere...

i see it coming from the working class.... lower and middle...