Over at Babalu, Cigar Mike is amazed that part of President-elect Obama's stimulus plan involves a tax cut for lower and middle class wage earners, even though he campaigned on that very promise. In fact, as I noted way back at the end of October, one of the many really smart things Obama did during his campaign was put an income number on his definition of the middle class--any family making under $250K a year, in essence. It gave people at the lower end of the income spectrum the belief that they were middle class (or almost there) and at the upper end, that sort of faux-populist notion that they hadn't strayed from their roots and become snobby elites. But make no mistake about it--Obama always talked about middle-class tax relief. So tell me, what is it about this tax plan that we "lefties" are supposed to get so up in arms about?
The largest piece of tax relief in the new plan would involve cuts for people who pay income taxes or who claim the earned-income credit, a refund designed to lessen the impact of payroll taxes on low- and moderate-income workers. This component would serve as a down payment on the "Making Work Pay" proposal Mr. Obama outlined during his election campaign, giving a credit of $500 per individual or $1,000 per family.Gee, that sounds like tax cuts aimed at working and middle class people--people who have felt the brunt of the recent economic downturn. Yeah, I'm going to be upset about that. Whatever.
Cigar Mike lives in a delusional world where "lefties" oppose every tax cut ever proposed and are out to turn the US into a bigger Cuba under Castro. There might be polka-dotted unicorns there too--one never knows. Things are a little different here in the real world.