Sanity
The Blog Formerly Known As Dean's World — Looks like the Obama stimulus package will be largely in the form of tax cuts. Of course, they’re not going to be able to do this and throw trillions at industries and states; Obama may already be looking at a $2 trillion deficit in 2009, by far the largest in both absolute terms and as a % of GDP in modern history, as expected tax revenues from corporate  profits and capital gains evaporate.  A 5% of GDP deficit was a manageable problem, but a federal budget deficit that approaches a fifth of the nation’s entire economic output could be ...

The Obama Tax Cuts?
Slublog — Huh. I look forward to seeing how Congressional Democrats explain that these tax cuts are okay, but Bush's were the worst thing ever. WASHINGTON -- President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion in tax cuts to individuals and businesses, a move aimed at attracting Republican support for an economic-stimulus package and prodding companies to create jobs. The size of the proposed tax cuts -- which would account for about 40% of a stimulus package that could reach $775 billion over two years -- is ...

Barack Obama channels TigerHawk!
TigerHawk — ... "politically impossible TigerHawk plan for fixing the economy," you no doubt raised an eyebrow at my proposal to bring back accelerated depreciation for qualifying capital investment. Well, the WSJ reports that Barack Obama may propose just that: A second provision would entice firms to plow that money back into new investment. The investment write-offs would be retroactive to expenditures made as of Jan. 1, 2009, to ensure that companies don't sit on their money until after Congress passes the measure. Of course, if cap ex is the goal, he should also enact the second part ...

WSJ: Obama Eyes $300 billion dollar tax cut.
Democratic Underground Latest Breaking News — ... would be retroactive to expenditures made as of Jan. 1, 2009, to ensure that companies don't sit on their money until after Congress passes the measure. A separate element would offer a one-year tax credit for companies that make new hires or reverse layoffs, which could be worth $40 billion to $50 billion. And the Obama plan also would allow small businesses to write off a broad range expenditures worth up to $250,000 in 2009 and 2010. Currently, the limit is $175,000. Read more: http://online.wsj.com/article/SB123111279694652423.html

Sanity Invading Obama’s Presidency?
Flopping Aces — Whoa boy, get ready for the left’s head to really explode. President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion in tax cuts to individuals and businesses, a move aimed at attracting Republican support for an economic-stimulus package and prodding companies to create jobs. The size of the proposed tax cuts — which would account for about 40% of a stimulus package that could reach $775 billion over two years — is greater than many on both sides of the aisle in Congress had ...

$300 Billion in Tax Cuts?
Talking Points Memo — ... I'm going to dig more into the details on this tomorrow. But this is starting to sound like a pretty big chunk of the stimulus bill is aimed at garnering GOP support. ...

Collaborative Journalism
Talking Points Memo — Can someone help me come up with an argument for why the Obama stimulus plan isn't turning out to be a painful joke? Thanks in advance. ...

Tax Cutting Dems
Taylor Marsh — BY TAYLOR MARSH This will tie the Obama haters up in knots. President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion of tax cuts to individuals and businesses, a move aimed ...

Nooooo! No More Tax Cuts!
Political Animal — ... but it is absolutely not true for things like basic infrastructure spending. And we are going to need to be able to reverse course quickly. Once we have successfully avoided a full-scale depression, we are going to have to confront the next looming problem, which (imho) will be a run on the dollar. To do that, we are going to have to bring down the deficit. That will be hard in any case, but it will be a lot harder the sharper the increase in taxes it requires. According to the WSJ , one reason for relying so heavily on tax cuts is that "it may make it easier to win over ...

Nooooo! No More Tax Cuts!
Obsidian Wings — ... According to the WSJ, one reason for relying so heavily on tax cuts is that "it may make it easier to win over Republicans who have stressed that any initiative should rely more heavily on tax cuts rather than spending." To which I can only say: screw them. Their economic philosophy got us into this mess; we should not let them force us to use ineffective means to get out of it. ...

Around the Web in 80 Seconds, 1.5.09
The Latest on Air America — ... the Senate seat in that state. And by 225 votes no less! Did you hear the one about the Democrat president-elect and the $300 billion tax cut ? The Washington Post reports on Bush's last-minute push to ...

Smart
Maggie's Farm — ... Smart thing to do. Obama eyes tax cuts. It's one of the only effective things a government can do to try to shorten a recession. ...

New Deal
Jules Crittenden — ... It isn’t exactly change you can believe in, but here’s the deal. Obama has advanced from trying to be like Bush to trying to outdo him. WSJ, $300 billion tax-cut plan :  WASHINGTON — President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion of tax cuts to individuals and businesses, a move aimed at attracting Republican support for an economic-stimulus package and prodding companies to create jobs. The size of the proposed tax cuts — which would account for about 40% of a stimulus package that could reach $775 billion over two ...

Obama Tax Cuts To Be Bigger Than Expected
Politics Daily — ... Here's one way for the president-elect to attract Republican support for his monstrous economic stimulus package: The Wall Street Journal is reporting that Barack Obama is working with Democrats on the Hill to put together $300 billion worth of tax cuts to individuals and businesses. That's waaay more tax relief than nearly anyone on both sides of the aisle had predicted. ...

Early Morning Swim
Firedoglake — ... The war to destroy Hamas defeat terror accomplish...something update. Israel making hay while the Chimp shines. Michael Lerner, Jew hater. Michael Goldfarb, terrorist. Team Obama makes an oopsie. Please tell me this is some kind of joke. Reid to Coleman: it's over.  Meet the new DNC chair. On "Face the Nation," Dick lauds awesomeness of Iraq.

Election Central Morning Roundup
TPM Election Central — ... The Wall St. Journal reports that Barack Obama and Congressional Democrats are preparing a tax cut package totaling $300 billion over two years -- a larger dollar figure per year than anything George W. Bush ever did -- as part of his potential $775 billion stimulus package. The move could make it easier to win necessary support from Congressional Republicans. ...

Holy Crap Batman
Babalú Blog: an island on the net without a bearded dictator — ... 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. On the campaign trail, Mr. Obama said he would phase out a similar tax-credit proposal at around $200,000 per household, but aides said they haven't settled on an income cap for the latest proposal. This part of the plan is similar to a bipartisan initiative launched in early 2008, which sent out checks worth $131 billion. Read it here . The rabid left has been screaming against tax cuts. Let's see what the final outcome is on ...

Hugh Hewitt: The Most Important Story By Far
Townhall.com Blog's TownHall Blog — ... , though of course there's at least one more round to go in the courts. And I'm intrigued by the talk of a massive tax cut in the stimulus package . The president-elect surprised us with his national security selections, and perhaps he will with his economic program as well. When he meets with GOP Leaders McConnell and Boehner today, they should push the tax cuts and a strong spending surge for nuclear power. A package they could support would be good for the country. The ...

Hugh Hewitt: The Most Important Story By Far
Hugh Hewitt's TownHall Blog — ... , though of course there's at least one more round to go in the courts. And I'm intrigued by the talk of a massive tax cut in the stimulus package . The president-elect surprised us with his national security selections, and perhaps he will with his economic program as well. When he meets with GOP Leaders McConnell and Boehner today, they should push the tax cuts and a strong spending surge for nuclear power. A package they could support would be good for the country. The ...

Open Thread
NewsBusters.org - Exposing Liberal Media Bias — For general discussion and debate. Possible talking point: Socialist tax cuts? President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion of tax cuts to individuals and businesses, a move aimed at attracting Republican support for an economic-stimulus package and prodding companies to create jobs. The size of the proposed tax cuts -- which would account for about 40% of a stimulus package that could reach $775 billion over two years -- is greater than many on both sides of the aisle in Congress ...

Export-Led Growth?
The Glittering Eye — ... We should resist the temptation to see the forthcoming “economic stimulus” package as a panacea. It won’t be. At best, it would represent traditional “pump priming.” This familiar metaphor is worth pondering. To get the pump started, you add water; then the pump operates independently. Similarly, the stimulus will succeed only if the economy resumes spontaneous expansion and job creation. If the Obama Administration succeeds in cutting taxes: WASHINGTON — President-elect Barack Obama and ...

Obama Courts Conservatives With Large Tax Cuts In Proposed Stimulus Plan
Wonk Room — ... .” These cuts would, in part, “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.” ...

Stimulating talk
Political Animal — ... , with $300 billion in tax cuts for workers and businesses, including tax incentives for businesses to hire employees and invest in equipment. We're also looking at a much slower schedule than previously hoped. There had been some talk that Congress could have a bill waiting for the new president's signature by the time he took office. The leadership on the Hill is vowing to move " ...

Does Obama Have What It Takes To Rescue America From The Bush Economic Miracle?
DownWithTyranny! — ... , all $300 billion of which they're happy to accept. The ideological mania that dragged the country into the mess we're in says more tax cuts are the key to get us out of that mess. That's wrong-- and Obama should fulfill his promise to act boldly and swiftly to bring real change to America-- not play footsie with American's domestic enemies. Again, Krugman: ...

Hullabaloo — ... about the potential inclusion of $300 billion in tax cuts in the Obama economic recovery package, I'll start by noting that these were, for the most part, campaign promises. It's why I remember Kevin Drum and others saying that Obama had not successfully fought against the great Tax Revolt, even as it showed signs of running out of steam. He would insist that we was offering a tax cut for 95% of Americans and tossed out tax incentives like they were candy, even while he was talking at the same time about other economic goals. Once you play on that side of the field, those ...

Fear of Failing
The Moderate Voice — ... Evidence that the Obama administration shares that feeling can be seen in the news of an extraordinary offer of immediate $300 billion in tax cuts for individuals and businesses to gladden the hearts of Congressional conservatives and bring them on board quickly for stimulus legislation. ...

Examining the stimulus package
Daily Kos — The NYT, WSJ, and Paul Krugman take a look at the emerging details surrounding President-elect Obama's stimulus package, particularly the roughly $300 billion in proposed tax cuts. Overall, the package will cover a two-year period with a price-tag of $675 billion to $775 billion, $270 billion to $310 billion of which would be spent on tax cuts. The balance -- $405 billion to $465 billion -- would be spent on infrastracture, health care, and other programs. One thing to keep in mind is that in early 2008 Congress passed a $131 ...

Club For Growth: Obama Should ‘Embrace A Stimulus Bill’ That Cuts Taxes For the Wealthy And Corporations
Wonk Room — ... believe that Obama’s proposed tax breaks don’t go far enough, and that he should drop his cuts aimed at the middle-class to focus on cutting taxes for corporations and the wealthy. From a press statement today: ...

Be Careful Where You Get Your Stimulus
FiveThirtyEight: Politics Done Right — The consensus among the blogosphere seems to be that Obama's proposal for a $300 billion tax cut is intended as a preemptive concession to the right in order to build bipartisan support for his economic stimulus initiative. Obama, certainly, has a lot of incentives to get Republicans on board with his bill. As his first major initiative out of the gate, building a "bipartisan" stimulus might allow Obama to maintain the pretense of being post-partisan (something which, for all the left's skepticism of it, probably helps his approval ratings and thereby his political capital). It ...

Obama's Neocon Fans
Hit & Run — ... Those tax cuts might sound like good news, but they're bundled with some giant hikes in spending; they're basically a way to bribe Republicans into voting for the "stimulus" package. As for the rest -- well, it's no surprise that a Commentary writer would find more value in Robert Gates keeping his job than in blocking Detroit's corporate welfare package. ...

1/6: Leon At Langley?
Blogometer — ... to tap Indiana Univ. law prof. Dawn Johnsen as Assistant AG for the Office of Legal Counsel: OBAMA: Is There Such A Thing As Too Much Bipartisanship? Liberal bloggers were upset to learn that Obama and congressional Dems are crafting a $300B tax cut in an effort to win GOP support for their economic stimulus package: On the right side of the blogosphere, ...

Betrayal
Classical Values — Betrayal Mr. President Elect Obama is having some very strange ideas about getting the economy moving again. He is proposing tax cuts on business. WASHINGTON -- President-elect Barack Obama and congressional Democrats are crafting a plan to offer about $300 billion of tax cuts to individuals and businesses, a move aimed at attracting Republican support for an economic-stimulus package and prodding companies to create jobs. The size of the proposed tax cuts -- which would account for about 40% of a stimulus package that could reach $775 billion over two years -- is greater ...

Tax Cut Mirage
The American Spectator — ... "Obama Eyes $310 Billion in Tax Cuts" the headline blares. The Obama team comes to town to start the new year, and the run-up to his inauguration, with this announcement. How sly. ...

Frank: Economy Back to Normal By Summer 2010
News — ... and Obama would lead to a recovery that would begin six months before the 2010 elections. Frank, the House Financial Services Committee chairman, said he thought Obama would do "enough overall" with the stimulus plan he has put proposed. But Frank suggested it wasn't perfect. "I have some difference because I think they may be doing too much tax-cutting and not enough direct spending from the standpoint of immediate job creation," he said. Obama has called for $300 billion in tax cuts , which have been viewed as a play aimed at winning bipartisan support.

1/13: Oh, Guantanamo
Blogometer — ... THOUGHT OF THE DAY: The Price Of Bipartisanship Brendan Nyhan : "Like many observers, I'm baffled by Barack Obama's efforts to obtain 80 votes for his economic stimulus proposal in the Senate. Despite concerns from economists such as Paul Krugman that more than $1 trillion in stimulus is needed, Obama has proposed a $775 billion package under the assumption that the cost of the legislation will increase in Congress. He has also reportedly included a large proportion of tax cuts that Krugman and other economists think will be ...

Biggest. Tax Cut. Ever.
Political Animal — ... , persuasively, that when the vast majority of congressional Republicans oppose the package, they'll be voting against the biggest tax cut "in history." According to the Wall Street Journal , Bush's first two years of tax cuts amounted to $174 billion. A second batch in 2004 and 2005 cost $231. And those were thought to be ...

McConnell: I’m ‘Disappointed’ In Obama’s Attempts At Bipartisanship
Think Progress — ... McConnell’s disappointment appears to be misplaced. Indeed, Obama has worked hard to accommodate the input of Republican lawmakers, meeting with them on several occasions and making substantive changes to legislation to attract their support: ...

Raise a Glass to the Tea Party Protesters
Top Stories from CQ — ... , which — according to the Wall Street Journal —is the largest tax cut in history? Then there’s the delicious irony of the tens of thousands of angry protesters who — while clearly outraged about out-of-control government spending — seemed to rely on federal employees for security for their safe air travel, or took ...