Republican Tax Proposal Likely to Be Rejected

West side view of the United States Capitol building.
West side view of the United States Capitol building.

The Republicans offered a new deal on taxes, and the White House likely will reject it. The proposal seems attractive. It would levy new taxes on people who make more than $1 million a year. That is not the $250,000 President Obama wanted, but is still a concession to the "tax the rich" movement.

According to Reuters:

President Barack Obama is not ready to accept a new offer from the Republican leader of the U.S. the House of Representatives to raise taxes on top earners in exchange for major cuts in entitlement programs, a source said late Saturday.

The shape and details of Boehner's offer were uncertain Saturday night, as was the exact reason the president was prepared to reject it. The source said Obama sees the offer made on Friday by U.S. House Speaker John Boehner as a sign of progress, but simply believes it is not enough and there is much more to be worked out before Obama can reciprocate.

Douglas A. McIntyre

Filed under: 24/7 Wall St. Wire, Politics, Tax