The so-called fiscal conservative Democrats are reported to now be queasy with the tax cut threshold being $250,000. They in fact want to raise the threshold to include those making $500,000 or maybe a million. A MILLION! Jonathan Cohn : And remember, cutting taxes for the very wealthy is one of the least efficient ways to improve the economy. These are precisely the people most likely to save money, rather than spend it. Meanwhile, raising the income threshold for tax cuts has an impact on the budget. I don't know exactly how much it costs to reduce taxes for everybody making less than $500,000 or $1 million, as opposed to everybody making less than $250,000. But we know what will happen, broadly speaking. The more we cut taxes for the McMansion Middle Class, the more we deprive the government of revenue. That means some combination of cuts to popular programs and, more likely, higher deficits. Gee, do you think some of Democrats telling Allen they want the higher threshold also ...
