I have been lurking, not even reading much for awhile, so apologies if I have missed the definitive LBO take on the Bush era tax cuts. Today I have been thinking about the parade of panels about deficit reduction and the partisan posturing about the Bush era tax cuts. Plus I have a penchant for swimming upstream.
What would happen if someone had the guts to suggest just letting the tax cuts expire for everyone? Doesn't that sound like an awesome way to get started on deficit reduction. No class warfare. Everyone has skin in the game, not just those high earners we all aspire to be. Everyone, well except the 10% or whatever who are unemployed unless their unemployment means they have taxable income.
Sounds so simple. What am I missing? What would be the fiscal impact and would it mean people could keep, say, their mortgage interest deduction?
Just wondering....
DC Seattle WA