President Obama warned Congress on Monday that letting tax cuts expire for people making under $250,000 would be a “big blow” to middle class families and a “drag” on the economy.
He urged Congress to vote to extend the tax cuts for one year, while letting them expire for people making more than $250,000.
“I’m not proposing anything radical,” Obama told a crowd of roughly 200 people in the East Room of the White House. ”This is not my opinion. The American people are with me on this.”
He said his Republican opponent, Mitt Romney, “will fight to keep [the tax breaks] in place” for wealthy Americans. “I will fight to end them.”
Republicans are casting the proposal as a tax hike on small business owners.
But Obama said, “This isn’t about taxing job creators this is about helping job creators.”
Democratic leaders in the House and Senate are urging for an extension of the tax cuts, which are set to expire at the end of the year, for everyone making up to $1 million. House Republicans want to extend the tax cuts for all Americans.
Obama said Congress should wait until after the election in November to debate whether to extend the tax cuts for people making more $250,000.
“Once the election is over,” Obama said, “We’ll be in a good position to decide how to reform our entire tax code.”
