President Barack Obama and Republican challenger Mitt Romney’s views on the extension of Bush-era tax cuts differ along predictable party lines. While Obama pushes for a narrower tax cut extension for all but the wealthy, Romney would extend the Bush-era tax cuts to all income earners.
President Barack Obama proposed on July 10 to extend Bush-era tax cuts for everyone making up to $200,000, or $250,000 for couples. All other taxpayers would lose the tax cuts under Obama’s tax initiative, effectively raising taxes on the wealthy to a minimum of 30 percent of their income.
Romney supports an across-the-board extension of the federal tax cuts for all income earners through a permanent extension of Bush-era tax cuts. In addition, he proposes to drop all tax rates by 20 percent but make up the difference by curtailing deductions, credits and exemptions for the wealthiest and ending the alternative minimum tax for individuals.