A short list of taxes to look fwd to – courtesy of President Obama

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The Wall Street Journal, writing in favor of Speaker Boehner’s refusal to compromise with President Obama’s desired $1 trillion new in tax increases as part of a potential debt ceiling negotiation deal, lists just some of the new taxes we can already look forward to over the next few years thanks to President Obama:

Keep in mind that Mr. Obama has already signed the largest tax increase since 1993. While everyone focuses on the Bush tax rates that expire after 2012, other tax increases are already set to hit the economy thanks to the 2010 Affordable Care Act. As a refresher, here’s a non-exhaustive list of ObamaCare’s tax increases:

• Starting in 2013, the bill adds an additional 0.9% to the 2.9% Medicare tax for singles who earn more than $200,000 and couples making more than $250,000.

• For first time, the bill also applies Medicare’s 2.9% payroll tax rate to investment income, including dividends, interest income and capital gains. Added to the 0.9% payroll surcharge, that means a 3.8-percentage point tax hike on “the rich.” Oh, and these new taxes aren’t indexed for inflation, so many middle-class families will soon be considered rich and pay the surcharge as their incomes rise past $250,000 due to tax-bracket creep. Remember how the Alternative Minimum Tax was supposed to apply only to a handful of millionaires?

Taxpayer cost over 10 years: $210 billion.

• Also starting in 2013 is a 2.3% excise tax on medical device manufacturers and importers. That’s estimated to raise $20 billion.

• Already underway this year is the new annual fee on “branded” drug makers and importers, which will raise $27 billion.

• Another $15.2 billion will come from raising the floor on allowable medical deductions to 10% of adjusted gross income from 7.5%.

• Starting in 2018, the bill imposes a whopping 40% “excise tax” on high-cost health insurance plans. Though it only applies to two years in the 2010-2019 window of ObamaCare’s original budget score, this tax would still raise $32 billion—and much more in future years.

• And don’t forget a new annual fee on health insurance providers starting in 2014 and estimated to raise $60 billion. This tax, like many others on this list, will be passed along to consumers in higher health-care costs.

There are numerous other new taxes in the bill, all adding up to some $438 billion in new revenue over 10 years. But even that is understated because by 2019 the annual revenue increase is nearly $90 billion, or $900 billion in the 10 years after that. Yet Mr. Obama wants to add another $1 trillion in new taxes on top of this.

Interesting, considering just a couple of years ago he was saying that raising taxes during a recession was bad news for the economy …

President Obama has put on the table the possibility of lowering taxes at a future date if it would mean the GOP would go along with his ideas.  As Ed Morrissey reminds us, beware:

We don’t need to look too far back in American history for a primer on this tactic.  A Democratic Congress convinced George H. W. Bush to raise taxes in exchange for a promise to cut spending in 1990, forcing Bush to reverse his “read my lips” pledge.  Not only did the Democrats fail to deliver cuts or tax reform, they then used the “read my lips” clip in the 1992 presidential contest.  Before that, Democrats in Congress convinced Ronald Reagan to sign an amnesty bill in exchange for reforms in border security and control, only to renege on that as well.

This is something not lost on Speaker Boehner, who has made it clear he knows the President is in full Campaign 2012 mode with so-called ‘good-faith efforts‘ in trying to get the GOP to “work with” him on a debt ceiling deal. Expect more push and shove in the days ahead.  I suspect a deal will happen before the end of the week, but the big question is who will ‘cave’ first?

As they say, stay tuned …

Related Reading:

The fruits of Smart Power: Syria attacks US embassy

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**Posted by Phineas

Since coming into office in 2009, the Obama administration has emphasized a policy of “reaching out” to the Syrian government, sending an ambassador there for the first time in four years. When the “Arab spring” revolts reached Syria and the Assad regime responded by shooting unarmed protesters in the streets, Secretary of State Clinton deployed Smart Power and called Assad a “reformer.” Despite Syria’s status as an Iranian ally and client, despite its support of terror (It’s even on Clinton’s list), and despite its pursuit of nuclear weapons, the Obama administration has shown remarkable restraint. Today, Team Smart Power got their reward.

Our embassy attacked by a mob:

Protesters loyal to Syrian President Bashar al-Assad briefly broke into the U.S. embassy in Damascus on Monday and security guards used live ammunition to prevent them storming the French embassy, diplomats said.

No casualties were reported in the attacks but a U.S. official said Washington condemned Syria’s slow response and its failure to the prevent the assault on its embassy.

The attacks followed a visit by the U.S. and French ambassadors to the city of Hama last week in support of the hundreds of thousands of pro-democracy demonstrators who have been gathering there despite attacks by Syrian forces.

“We are calling in the Syrian charge (d’affaires) to complain,” said the U.S. official, who spoke on condition of anonymity.

“We feel they failed (in their responsibility to protect U.S. diplomats). We are going to condemn their slow response.”

Well, that’s showing them. I bet the Syrian charge is even now quaking in his oxfords as he heads for his meeting with the Deputy Assistant Secretary for Outreach and Apologies — quaking from laughter, that is.

And I’m dead serious in the subject line: this attack on our and the French embassies was not a spontaneous expression of outrage on the part of people who just love Boy Assad. Syria attacked our embassy. The country a mafia-ocracy with the Assad clan at the top, and nothing happens without their say-so. You can bet this originated with the Mukhabarat, Syria’s intelligence service, who did the same thing in 2006. Assad was angered by the visit the US ambassador paid to Hama, a center of anti-Assad sentiment (1), and so, just like the little thug he is, he sent his boys around to trash our embassy.

And our response is to stamp our foot and whine “stop it!”

There was a time when this garbage would have been met with a different kind of protest: a warship and a barrage by naval artillery, sending its own message: “Don’t make us angry.”

But that was long ago, before the era of Hope, Change, and Smart Power.

Here’s how a “Phineas administration” would handle it. Since no American lives were lost, we can start with just a nice, little chat: the charge would come into this meeting and sit down before the desk of the Secretary of State. The Secretary would then quietly lay out a series of satellite photos — Mukhabarat headquarters, the Presidential Palace, Assad’s favorite summer home on the Mediterranean coast, you get the idea.

And in case the Syrian diplomat didn’t quite catch the drift, the Secretary would make the implied message clear: “That embassy is sovereign US territory. If this or anything like this ever happens again, I guarantee you President Assad will wake up to something far worse than an angry mob.” To put the punctuation on this, there would be small news items about the redeployment of (cruise missile carrying) US naval assets to the Eastern Mediterranean for “exercises.”

And that’s how you deal with Capone Assad.

LINKS: More at Hot Air and Legal Insurrection. Bryan Preston at PJM’s The Tatler blog sees the nature of the attack the same way I do and says the 3AM phone is ringing. Moe Lane has advice for Democratic administration appointees. As usual, Barry Rubin has sharp, hard-headed analysis.

Footnotes:
(1) The Assads have “a history” with Hama. A bloody one.

(Crossposted at Public Secrets)