http://www.mrc.org/cyberalerts/2009/cyb20090224.asp#3ABC, CBS and NBC reporters over the past two days have relayed how the Obama administration proposes to cut the annual federal deficit from $1.3 trillion to $533 billion in four years by cutting spending on the war in Iraq and raising the income tax rate for those earning more than $250,000. Not considered: How since the Bush tax cuts the revenue paid by the richest -- and their share of total income taxes collected -- have been rising year-by-year. So will a tax hike, from 35 to 39.6 percent, really increase the amount the wealthiest pay, or will they find ways to avoid reporting income and thus the government will see little, if any, additional revenue -- to say nothing about the wisdom of alerting investors during an economic downturn that their tax rate will soon jump?
Monday night, CBS's Chip Reid reported: "Most of the savings would come from winding down the war in Iraq, ending the Bush tax cuts for people making over $250,000 a year and cutting spending." Jake Tapper, also Monday night, on ABC: "Another source of revenue being proposed -- allowing the Bush tax cuts for a family earning over $250,000 a year to expire in 2011, increasing that tax rate from 35 percent to 39.6 percent."