Tuesday, February 08, 2011

Obama Sweet-Talks Business Leaders, Then Stabs Them In The Back

No wonder the Chamber of Commerce only applauded Obama twice yesterday, and even then rather tentatively. They know that when President Two-Face shifts his gaze from right to left, an entirely different song will be sung, one which is likely to be a lot less pleasant to their ears.

To the Chamber,
Obama says:

"As a government, we will help lay the foundation for you to grow and innovate and succeed," he told members of the pro-business group that has opposed many of his initiatives, particularly health-care reform.

... we'll work to knock down barriers that make it harder for you to compete, from the tax code to the regulatory system."

So what's the first thing on Obama's new "business-friendly" agenda? Why, adjusting the tax code in a way that will allow states to
bleed businesses even further:

Rising unemployment has placed such a burden on states that 30 of them owe the federal government $42 billion in money borrowed to meet their unemployment insurance obligations. Three states already have had to raise taxes to begin paying back the money they owe. More than 20 other states likely would have to raise taxes to cover their unemployment insurance debts. Under federal law, such tax increases are automatic once the money owed reaches a certain level.

Under the proposal, the administration would impose a moratorium in 2011 and 2012 on state tax increases and on state interest payments on the debt.

In 2014, however, the administration proposes to increase the taxable income level for unemployment insurance from $7,000 to $15,000. Under the proposal, the federal unemployment insurance rate would be adjusted so that the new higher income level would not result in a federal tax increase, the person familiar with the plan said.

States, however, could retain their current rates, meaning employers could face higher unemployment insurance taxes beginning in 2014.

Though the administration could face criticism for enabling states to increase taxes, the thrust of the administration's argument is that federal taxes would not increase...

So Obama will force the states to raise taxes on businesses, rather than pay out the extra unemployment dollars himself. Nobody will be fooled, Mr. President, least of all the businesses that will have to plan for drastically higher tax rates in three years.

Add that to ObamaCare, and what business will be able to survive the onerous taxation Obama has planned for 2014? Better yet, what business will expand and hire knowing what a burden faces them down the road?

And Obama sits there, like the class dunce, wanting to know why businesses still aren't creating jobs, why the nation grows increasing restive towards him and his policies, and why 2+2 does not equal 5, no matter how much he wants it to...

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