Budget raises taxes on rich, multinational corporations; restores BAB, $250 for Soc. Sec. recipients

[ProSense]

Rejected Tax Increases Return in Obama Budget Plan

By Richard Rubin and Ryan J. Donmoyer

Feb. 14 (Bloomberg) -- President Barack Obama proposed a budget that would raise the taxes of the highest U.S. earners, multinational corporations and oil and gas companies, reviving revenue provisions that Congress has rejected or brushed aside before.

The budget, released today in Washington, would bring back pre-2001 tax rates on income and capital gains for individuals earning more than $200,000 annually and married couples making more than $250,000. The estate tax would return to 2009 levels with a $3.5 million per-person exemption and a 45 percent top rate. Under a law Obama signed in December, lower rates expire at the end of 2012.

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Obama again proposes limits on multinational companies’ ability to defer income taxes on profits they earn outside the U.S. Corporations such as Microsoft Corp. and Cisco Systems Inc. have argued against the proposals in previous years. Those provisions would raise an estimated $129 billion over 10 years.

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The budget revives a proposal that Congress require executives of investment partnerships including private-equity firms to pay ordinary tax rates on the profits they receive as compensation. This pay, known as carried interest, currently can qualify for lower capital gains tax rates. The proposal would raise $14.8 billion over 10 years.

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Also from article, the budget:

Eliminates $46 billion in oil, gas and coal subsidies

Restores Build America Bonds program

Allocates $250 for Social Security recipients

[Betsy Ross]

1. Did I just enter an alternate reality?

I'm not too sophisticated about budget, but it sounds so good. Sure the Republicans will never pass it, but it's good to see it asked for.

[ProSense]

4. Does anyone really care what's in the budget?

There are something in it that Democrats should be demanding and pushing to pass. Republicans are certainly making their demands known.

[Rosa Luxemburg]

2. Hopefully claw back tax from offshore investments?

[provis99]

3. what a completely cynical move by Obama.

He knows damn well the Republicans won't pass any budget he proposes, so he loads up this pretend budget with goodies and sops for the Democratic voters, as if anything was going to pass. If he really thought a budget of his would pass, he would cut out all this liberal stuff and bring in a centrist-right wing pro-rich budget.

He just wants to grandstand to the Democratic base and say "Look at all the goodies I wanted, but the mean Republicans wouldn't pass it!"

[ProSense]

5. Hmmm?

"He knows damn well the Republicans won't pass any budget he proposes, so he loads up this pretend budget with goodies and sops for the Democratic voters, as if anything was going to pass. If he really thought a budget of his would pass, he would cut out all this liberal stuff and bring in a centrist-right wing pro-rich budget."

Most of this was in his past budgets. What should he have done: left all of these things out so people can scream that he's protecting the rich?

Seriously, what are you proposing?

[provis99]

6. and how much of it got passed in real budgets? Thats right, nothing.

the budget is created as a compromise between Congress and the President, since the President can veto any bill he doesn't like. What winds up going into the budget is what the President won't compromise on, and what gets left out is what he will compromise on because he doesn't care about it.

This kind of catering to the base has been done at least since Carter. I would appreciate Obama being honest about what he wants in the budget, rather than post a list of goodies he intends to publicize for the base, knowing damn well he will agree to cut all of them out when the budget deal is made with Congress.

[ProSense]

7. What does this mean?

"I would appreciate Obama being honest about what he wants in the budget"

What should he propose that you consider "honest" that will pass this Republican Congress?

[provis99]

8. look at the budgets he signed. That indicates what he wanted.

[ProSense]

10. The budget he signed

is what Congress finally agreed to and passed. It didn't include everything he wanted.

That's the process, always has been.

[vaberella]

15. Okay then. So what you're saying is that he has no point in doing anything.

Actually your statement would work on everything. And if he rejected a few things in the budge then the dems would say he caved. He just can't win. Whatever.

[mkultra]

16. this is side B of the "constant sorrow" 45

If he makes a bill that will pass, then he compromised liberal values.
If he attacks with a full barrel of liberal values, he is not being practical.
It just proves that none of the outraged detractors are interested in anything but some hidden agenda.

This budget is a good starting point and im glad ot see it.

[BklnDem75]

17. What a crap post

What do you think repukes have been doing for the past two years? So now Obama shouldn't even try because in your mind, it's all pretend? What a steaming load.

[golfguru]

9. The real question is....will it create jobs n/t

[bhikkhu]

11. How about - will it decrease income inequality

Federal spending can increase jobs, but increasing jobs while cutting federal spending isn't likely. Or it may be likely, but it will be private sector rather than government at the wheel.

On the other hand, income inequality - the portion of the nations assets concentrated in the hands of the few wealthiest individuals - has been getting worse every year for some time, and historically produces an unstable, crash-prone mess of an ungovernable economy. This budget would change the trend, if it can be passed.

[ProSense]

12. There is

this. That will generate jobs and so will the budget for 100,000 more teachers.

[vaberella]

14. You need to read Prosense's first post on it.

There is money going to shovel ready jobs, and infrastructure building. Renewable energy skill funding, and money for the high speed rail. all of those promote job making.

[vaberella]

13. Great deal no credit. n/t

[Bodhi BloodWave]

18. which seems to be the normal thing these days

Doesn't really matter how good a deal is, if there is 10 points and *1* point on the deal is bad then that is the one thing people will obsess over and ignore the 9 good things in it.