Hultgren Calls Obama Tax Proposal An Increase on Small Businesses

President proposes extending Bush-era tax cuts only for those earning less than $250,000.

U.S. Rep. Randy Hultgren criticized President Barack Obama's call to extend the George W. Bush-era tax cuts for people making less than $250,000 a year, while at the same time allowing the tax cuts on those who make more to expire.

Republicans, including Hultgren, criticized the refusal to extend the tax cuts for all, citing that many of those who will be impacted will be small business owners, which will affect their ability to expand business and hire new employees.

“Unemployment has been above 8 percent for 41 months now. U.S. Census data tells us that small businesses employ more than 25 percent of the total workforce. Insisting on a small business tax hike is the last way to create jobs," Hultgren said in a press release.

Hultgren, who represents the Tri-Cities, said the President claimed to have cut middle class taxes every year of his presidency, yet pushing new taxes through the passage of the Affordable Care Act. At the end of June the that the federal government can levy a "tax" on individuals who do not buy into the system. The judges said the individual mandate cannot be upheld under the commerce clause, but that Congress's ability to tax and spend in this case is upheld.

“He conveniently left out one of the largest government expansions of all time - his health care law, which originally included 22 new tax increases (12 of which were direct taxes on the middle class, violating his own pledge)," Hultgren said. "What the President is advocating is a tax hike that has already been rejected by the House, the Senate, and the American people. We don’t have a revenue problem. We have a spending problem, and this is not the time to be raising taxes on anyone, especially not job creators."

Despite the president's urging to extend the tax cuts for some Americans, it islikely to result in another standoff between the administration and the U.S. House, the Washington Post reports -- something Obama is counting on in order to paint Republicans as unwilling to support the middle class.

During his Monday proposal Obama said it's time to let the tax cuts for the wealthiest Americans expire. He added that most small business owners will not be impacted by his proposal.He said 98 percent of the public, as well as 97 percent of small-business owners, would fall under the $250,000-per-year threshold, the Washington Post reported.

Alex Keown July 10, 2012 at 12:32 PM
I saw this on the Washington Post site yesterday, gives more info on Gov. Romney's taxes. http://www.washingtonpost.com/blogs/fact-checker/post/obamas-misleading-tweet-on-romneys-taxes/2012/07/06/gJQAN3DTSW_blog.html
Lori Smith July 10, 2012 at 02:06 PM
Sue the reality is that of you tax everyone over 250k it would create about 85 billion in tax revenue. The government is spending that every 8 days. We don't have a tax problem we have a spending problem our country, states just like our household need to run on balanced budgets not just spend spend spend. Ex that was a great post I hope people page through to read all the info how they broke it down and what the true facts are we have to do that when both sides submit strong accusations. Also Sue if you read the detail on the healthcare plan it is going to be the largest tax in history and hurt everyone in the 35-120k range actually the less you make the more it's going to hurt. I thought these were the people Obama was trying to help?
Mike Tillmans July 10, 2012 at 07:29 PM
Are we sure this isn't personal for Rep. Hultgren? Can he tell us how much this would mean to him? And how many jobs does he promise to create with yhay amount?
sandra smith` July 10, 2012 at 09:44 PM
Having owned a small business a few years ago, I realize that your federal/state income statement may say you and your company earned a lot more than you actually see in your bank accounts. Lots of money gets reinvested and stays in the company. $250,000 is a losing number for small businesses.
Donald Lyons July 11, 2012 at 04:40 AM
Hey Lori---I hate to tell you, but even the common household does budget as you say. Households CONSTANTLY buy more than they can afford. A house mortgage is very rarely paid in full--it is a promisary note in lieu of FUTURE earnings--the same with a car or credit cards. Both the new tax plan and the ACA will be better for the middle class. Stop watching Fox News and get educated.


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