Every day it becomes more clear why America needed the recent Republican sweep in the mid-term elections.
President Obama’s upcoming State of the Union speech is expected to include his usual share of terrible ideas, including ridiculous demands for more taxes on the very people driving the recent economic recovery.
The president's address -- his first to a Republican-led Congress -- will call for $320 billion in tax increases over 10 years. Aside from funding new tax credits including a tax credit for working families and expanding the child care tax credit, the White House says that money would go to funding measures to make college more afforable and accessible, including the president’s recently announced plan to make community college free for many students.
The centerpiece of the president's tax proposal is an increase in the capital gains and dividends rate on couples making more than $500,000 per year to 28 percent, the same level as under President Ronald Reagan. The top capital gains rate has already been raised from 15 percent to 23.8 percent during Obama's presidency.
Obama also wants to close what the administration is calling the "Trust Fund Loophole," a change that would require estates to pay capital gains taxes on securities at the time they're inherited. Officials said the overwhelming impact of the change would be on the top 1 percent of income earners.
Elections matter, and it seems the American electorate has learned that lesson. Without the Republican control of Congress, Obama might very well have had the legislative support for this Socialist train wreck. One has to wonder, though, what he thinks he’s going to accomplish. Is it possible Obama is delusional enough to believe Republicans will heed his demands for further tax penalties on successful Americans? Certainly, it’s possible. More likely, though, is that Obama is carrying the Democratic water by ginning up the standard class envy, in advance of the 2016 elections.
Feel free to skip the SOTU. None of this nonsense will be implemented, and as always the best part of any Obama speech will be the Republican response.