As Mr. BigDaddyVA so eloquently shared with everyone, p. 27 is where “CERTAIN EXPIRING PROVISIONS” will be extended through 2011. Not “all the middle tax cuts” are extended as he said. Specifically relating to the article, “the option to deduct state sales-tax payments instead of state and local income taxes”. What he didn’t divulge is that this extension was only through 2011. The budget projects out 10 years. According to p. 27, Obama will throw us a bone for a couple of years and then stick it to us for the other 8.

Also, on p. 147, it does show Obama indexing the AMT to 2009 levels which means it grows with inflation (which is coming, especially if this budget gets passed). As the article states, “Even if the patch is extended to last year’s levels, the tax will hit American families that can hardly be considered wealthy — the AMT exemption for 2009 was $46,700 for singles and $70,950 for married couples filing jointly.” If Obama was truly interested in helping the middle class, how about pushing that AMT back up to the rich only as it was originally intended.

Mr. BigDaddyVA is right that the proposal seeks to continue some of the 2001 and 2003 tax cuts for people earning under $200,000/$250,000 but does re-emphasize the ending of estate tax, gift, and Generation-skipping tax relief. Not to mention elsewhere he wants to raise capital gains which most all middle income families pay.

The Obama proposal is one thing. We’ll see what we get once Pelosi and Reid get their hands on it.

His last sentence is a mystery to me: “Your ‘posterity’ just makes you look like a fool.” Unless he’s dissing on my kids, this just isn’t a coherent sentence in the context of his comment. If anything I’d say my kids make me look much better than I truly am.

Mr. BigDaddyVA, I appreciate the additional information that you linked and pointed me to. It doesn’t change my opinion that the Obama budget is a huge disaster and will push a potential recovery into full-fledged depression if passed. I’ll write more on what I think should happen. I do have one word of advice. If your intention is to persuade, the word “fool” should never be used. It just makes you look childish. I would think that someone that works for Bloomberg Financial would have more class than that.

Everything it says is wrong. It’s all in here:

http://www.treas.gov/offices/tax-policy/library/greenbk10.pdf

p. 27 is where they seek all the middle class tax cuts to be extended.

p. 147 is where they continue the 2001 and 2003 tax cuts for people earning under $200,000/$250,000 (joint) and seek a new AMT patch.

Your “posterity” just makes you look like a fool.