'No coincidence that Dean’s rival, Massachusetts Sen. John Kerry has more and more made taxes a central theme of his campaign.
In order to move toward a balanced federal budget, Dean would roll back the tax cut packages enacted in 2001 and 2003.
But getting rid of the middle-class portion of the tax cuts is “bad economics and it’s bad social policy,” Kerry argues. “Last time I looked the problem in America was not that the middle class has too much money.” '
Bush II has twice given away too many tax cuts to the rich, and we've seen where that leads us (we should have learned our lesson already with Reagan/Bush I) with less money in the hands of the middle class, and perpetually high deficits and unemployment.
The DISHONEST EXCUSE that BUSH II and his cheap-labor and borrow-and-spend cronies on Capital Hill gave for not extending tax cuts to the poor is that families which make less than $26,000 a year do not pay taxes. NOT TRUE! You pay 7.5 cents on the first dollar you earn working for someone else, and double that (over 15%) working for yourself, for FICA and HI. Not counting income taxes on larger amounts (which kick in well below $26,000 for most families!) The rich stop paying for FICA with large incomes.
John Kerry has observed that payroll taxes (FICA and HI) represent the largest burden on low wage workers and the businesses which hire them. That is why he is determined to repeal these regressive taxes on the poor, and finish the job that any President who runs on a platform for lower taxes for the middle class and the poor should do.
John Kerry knows that we can balance our budget in other ways besides continuing to hurt the middle class. Repealing the Bush tax cuts for the wealthy are a good place to start.