White House Admits Cap-And-Trade Tax Costs Triple Their Official Estimate
Ive already explained here on the Forum how the cap-and-trade energy tax works, and would be the biggest tax increase in the history of the country. Now, amazingly, the White House is telling something closer to the truth about this tax hike, admitting that the official budget estimate of $646 billion over 8 yearsalready a mighty steep price to payis far, far lower than the real cost.
The deputy director of the White House National Economic Council, Jason Furman, is giving us a glimpse at the real number, telling Senate staff the energy tax scheme would actually raise two-to-three times the budgets official $646 billion revenue estimate. Dow Jones reports that 5 people at the meeting confirmed the statementwe can be pretty sure he said it.
It make sense, because the budget estimate was only half the official score from the Congressional Budget Office for last years Lieberman-Warner bill, even though the Obama version is designed to have much steeper costs because it requires steeper emissions cuts.
If Furman is right that the real tax hike would be two or three times the official budget estimateand its likely still a lowballthat would mean the actual tax hike would run well into the trillions, roughly between $1.3 trillion and $1.9 trillion between fiscal years 2012 and 2019 by Furmans own estimate.
The White House claims that this massive gusher of new tax revenue would be dedicated to tax relief, but judging by the budget thats just a PR gimmick. More than 42 percent of the tax cuts in the Obama budgetaccording to its own official estimatesgo to people who dont pay taxes. Call it a handout; call it a welfare check; call it social spending; dont call it a tax cut, though, because it means the burden of the federal government on people who actually work, save, invest, and build wealth will be higher than ever before