Chump Change

Nearly half of American wage earners pay no federal income taxes. Barack proposes that in order to make that system more fair, those who aren't paying any taxes should get a rebate paid to them from the taxes from the 5% who pay 50% of the nation's income tax burden. Do people really believe this?


Barack's explanation for this unfairness to the top 5%?

"Right now, they are getting taxed at 36 percent. Under Bill Clinton in the 1990s, they were being taxed at 39.6 percent. You're talking about a 3.6 percent difference, and, you know, for, you know, the average person who is making half a million, a million dollars -- people like you Sway -- that's chump change, that's nothing. But it could make a big difference for that young person who is trying to figure out whether they can go to college or not, if we could give them more of a break or give them more scholarships or grants to go to college."

Chump Change?

The Tax Policy Center says a person or family making $500,000 a year would pay $3,363 in additional income tax under the Obama plan.

A person or family making $1,000,000 a year would see their tax burden increase by $28,301 under the Obama plan.

Barney the Dinosaur

Are higher taxes polling well now - perhaps Americans are convinced by Barack that federal taxes are something that only happens to other people? If not, why is Barney talking about how out of control spending followed by higher taxes is something he favors?

Tax Notice

John McCain, having lost control of the presidential race this week over the storyline switch to Wall Street's woes, is going back to the old standby. Taxes.

In a television ad that began airing Thursday, the McCain presidential
campaign warned that Americans can expect "painful income taxes" if Barack
Obama, the Democratic presidential nominee, wins the White House. In Cedar
Rapids, Iowa, Sen. McCain pounced on comments by Sen. Obama's running mate,
Delaware Sen. Joe Biden, on a morning news show that paying higher taxes is
"patriotic."

I assume this is a fallback position - hit him with the punch you know can work while you try to figure out how to regain your offense.

"Raising taxes in a tough economy isn't patriotic," Sen. McCain scoffed. "It's
not a badge of honor. It's just plain dumb."

The gambit by Sen. McCain comes amid a relentless cycle of turmoil in the nation's credit and housing markets, which has in recent days moved the campaign focus to the economy, an area where polls consistently show voters favoring Democrats.

This isn't just cliche. While Barack's tax proposals talk about going after people making over $250,000 a year, we know they won't leave it there.

But Republicans have reason to hope a sharpened focus on taxes specifically
will help Sen. McCain. That is because Sen. Obama is trying to do what no
national politician has done since Ronald Reagan transformed the tax debate in
1980: win on a platform that includes significant tax increases.

Tax Man

McCain's new ad, called Tax Man, focuses on Barack's economic plan. Notice how they use the crowd again, and the chants of Obama, to turn Barack's excitement quotient into a negative by linking it to the superficial, celebrity aspect of Barack's support.

The spot opens with a criticism of Obama that has become a refrain from the McCain campaign in recent weeks.

“Celebrity? Yes,” says an announcer, as the spot opens on cheering crowds at an Obama rally. “Ready to lead? No.”