When Barack Obama became the President of the United States in 2009, he promised to reduce taxes for the middle class. Since then, there has been much debate about whether Obama has kept his promise or not. Some people claim that Obama has raised taxes on the middle class, while others argue that he has actually lowered them. In this article, we will examine the facts to determine whether Obama has raised taxes on the middle class or not.
The Bush Tax Cuts
In 2001 and 2003, President George W. Bush signed into law tax cuts that were set to expire in 2010. In 2010, the tax cuts were extended for two more years, until 2012. During his campaign, Obama promised to let the tax cuts expire for individuals making over $200,000 and families making over $250,000 a year. He argued that these tax cuts were not affordable and would add to the national debt.
The Fiscal Cliff Deal
In 2012, Congress and Obama reached a deal to avoid the "fiscal cliff." The deal made permanent the Bush tax cuts for individuals making less than $400,000 and families making less than $450,000. It also raised taxes on individuals making more than $400,000 and families making more than $450,000. This led some people to claim that Obama had raised taxes on the middle class, since those making between $200,000 and $400,000 were not included in the tax cuts.
The Affordable Care Act
In 2010, Obama signed into law the Affordable Care Act (ACA), also known as Obamacare. The ACA included several tax provisions, including a tax on individuals who do not have health insurance and a tax on high-cost employer-sponsored health plans. While some people argue that these taxes affect the middle class, others argue that they only affect a small percentage of the population.
The Tax Policy Center's Analysis
The Tax Policy Center, a nonpartisan think tank, analyzed Obama's tax policies and found that the taxes on the middle class had not increased. In fact, the Tax Policy Center found that the average tax rate for the middle 20% of households had decreased from 14.2% in 2008 to 12.8% in 2012.
The Conclusion
Based on the facts, it is clear that Obama did not raise taxes on the middle class during his presidency. While some people argue that the fiscal cliff deal and the ACA affected the middle class, the Tax Policy Center's analysis shows that the average tax rate for the middle class actually decreased during Obama's presidency. While there may be disagreements about Obama's tax policies, it is important to base our opinions on the facts rather than on political rhetoric.