The discussion as far as the debt ceiling seems to have lost. Republicans are caving in at all turns. It would appear that two of the top Republicans (Jon Kyl in the Senate and Eric Cantor in the House) are willing to backtrack on the promise to not increase taxes.
In Jon Kyl’s case, he believes if they don’t call them taxes, maybe he can fool the fiscal conservatives.
According to Newsmax:
One day before a crucial U.S. budget meeting between the White House and congressional leaders, a high-ranking senator said Republicans have agreed to including significant revenue increases in a deficit-reduction framework.
“If you add up all of the revenues that we Republicans have agreed to, it’s between $150 billion and $200 billion,” said Senator Jon Kyl, the No. 2 Republican in the Senate.
Kyl said two possible ways to bring additional revenue to the government would be through sales of government property and additional fees for government services.
Apparently, Senator Kyl thinks that we don’t have a spending problem, we have a revenue (read taxes) problem. When the government confiscates your money, it is a tax. I have absolutely no problem selling off government property and assets. When you are broke, that is what you do. I believe we could start with selling the buildings tha t house the EPA, Treasury, Federal Reserve, and a multitude of other Federal holdings that do more harm than good.
Senator Kyl does not surprise me. Arizona seems totally incapable of producing Conservative Senators.
But the one that shocks and outrages me is my own Congressman Eric Cantor’s statements. From the same Newsmax article:
Meanwhile, House of Representatives Majority Leader Eric Cantor floated a possible tax compromise, saying Republicans could agree to closing some tax breaks in a budget deal as long as they were offset with tax cuts elsewhere.
“Any discussion about loopholes must be accompanied by offsetting tax cuts,” Cantor said at a news conference.
Republicans had been adamant about tax increases not being included in a deficit-reduction deal that President Barack Obama hopes clears the way for also increasing U.S. borrowing authority.
I am hoping that this statement is not a signal that Cantor is ready to cave on what the Democrats call “tax cuts on the wealthy”. Although the article is very general in nature, if this is a signal that Cantor is willing to see a tax increase on the job creating sector of our economy – those that the Democrats call the wealthy, in exchange for tax cuts on the middle class, or worse – the poor who already pay no taxes (which is also called a tax credit – or government handout) – then the idea Cantor floated needs to sink to the murky depths of Progressive class warfare thinking from which it came.
There is already the fear in conservative circles that Cantor will sell out the fiscal conservatives based on the evaporating cuts of the previous round of budget deals where billions promised turned out to be far less.
Up until now, Congressman Cantor had been standing firm in his rhetoric – no tax increases. A tax increase on the wealthy offset by a tax decrease on those making less is unacceptable. While that would technically not be a tax increase, putting more of the burden on those we depend on to get us out of the unemployment mess we are in at the expense of jobs is absolutely intolerable.
It should be noted that there is no substance in the Newsmax report, but Senator Kyl is playing us for stupid and unable to tell the difference between fees and taxes. Those of us that pay them are certain of the difference – there is none.
In essence, the Senate is a lost cause and will most likely give Harry Reid whatever he wants.
Our firewall is the House. And this statement from the Majority Leader is distressing news indeed.
I am hoping to get clarification on this from Congressman Cantor’s office and will update this story if I do.