McCain Campaign Press Release - Campaign Statement on Barack Obama Saying His Tax Increases Will Hurt The Economy

ARLINGTON, VA -- Today, McCain spokesman Tucker Bounds issued the following statement in response to Barack Obama admitting that his proposed tax increases will harm our economy:

"Barack Obama's admission that his tax increases could harm the economy begs the question as to why he supports them. At a time when family budgets in this country are stretched thin and employers are facing tough economic challenges, the idea that Barack Obama would even propose tax increases reflects a fundamental misunderstanding of the economy. We will not get our economy back on track by raising income taxes, Social Security taxes, capital gains and dividend taxes and corporate taxes as Barack Obama proposes. That's change we just can't afford."

Yesterday, Barack Obama Admitted That His Tax Increases Will Harm The Economy:

Barack Obama Admits That His Tax Increases May Harm The Economy. CNBC'S JOHN HARWOOD: "And I found this fascinating, Maria, that on the issue of taxes, he looked to insulate himself by saying that if, in fact, economic conditions justify the fact that it might harm the economy, he might be willing to hold off some of his tax increases when he takes office in January. Let's take a listen to Barack Obama." BARACK OBAMA: "Some of those, you could possibly defer. But I think the basic principle of restoring fairness to our economy and encouraging bottom-up economic growth is important. So here's what we know: We know that over the last decade or so, that more than half of the economic growth has been captured by the top one percent of U.S. citizens. That means the other 99 percent have seen their effective incomes go down. That is not a recipe for long- term economic growth." (CNBC, 6/9/08)

• Watch Barack Obama On CNBC

Barack Obama Has Proposed A Slew Of Tax Increases:

Barack Obama Has Called For Higher Income Taxes, Social Security Taxes, Capital Gains And Dividend Taxes, And Corporate Taxes, As Well As "Massive New Domestic Spending." "Obama's transformation, if you go by his campaign so far, would mean higher income taxes, higher Social Security taxes, higher investment taxes, higher corporate taxes, massive new domestic spending, and a healthcare plan that perhaps could be the next step to a full-scale, single-payer system. Is that what most Americans want, someone who will fulfill a Democratic policy wish list?" (James Pethokoukis, "Barack Hussein Reagan? Ronald Wilson Obama?" U.S. News & World Report's "Capital Commerce" Blog, www.usnews.com , 2/12/08)

• Barack Obama Also Called For A Tax On Coal And Natural Gas. Obama: "What we ought to tax is dirty energy, like coal and, to a lesser extent, natural gas." ("Q&A With Sen. Barack Obama," San Antonio Express-News, 2/19/08)
• Barack Obama Called For A Windfall Profits Tax On Oil Companies. Obama: "I think it is appropriate for us to impose a windfall profits tax on our oil companies." (Sen. Barack Obama, Remarks At A Campaign Event, Charlotte, NC, 5/2/08)

"[Obama] Wants To Raise Taxes Even Above The Levels Of The Clinton Era, Including A Huge Increase In The Payroll Tax." (Editorial, "The Obama We Don't Know," The Wall Street Journal, 6/4/08)

If Barack Obama Is Elected To The Presidency And Democrats Get A 60-Vote Majority In The Senate, Taxes Will Go Up. "What will happen to the U.S. economy if Barack Obama wins the presidency and he's backed by a filibuster-proof majority in the Senate? Taxes will go up." (Rich Karlgaard, Op-Ed, "Where Will Taxpayers Hide?" Forbes, 6/16/08)

Barack Obama's Plan To Raise Taxes During An Economic Downturn Would Only Further Weaken Our Economy:


CNBC's Maria Bartiromo Asked Obama: "Why Raise Taxes At All In An Economic Slowdown? Isn't That Going To Put A Further Strain On People?" (CNBC's "Closing Bell," 3/27/08)

U.S. News & World Report's Michael Barone Said Obama's Fiscal Policy Is Akin To Herbert Hoover's -- Raising Taxes And Backing Protectionist Trade Policies During An Economic Slowdown. "On fiscal policy, both Barack Obama and Hillary Clinton want higher taxes, at least on high earners. They want to let at least some of the Bush tax cuts expire in 2010, as scheduled. On trade, they oppose new free-trade agreements and want to renegotiate NAFTA with Canada and Mexico. As it happens, another president embraced such policies in a time of economic slowdown and financial market turbulence: Herbert Hoover raised taxes on high earners sharply and, ignoring a letter signed by 1,000 economists, signed the Smoot-Hawley tariff in 1930. The results were not pretty. Until now, his example has not commended itself to Democrats. One wonders whether voters will agree that tax increases will stimulate the economy." (Michael Barone, Op-Ed, "Uncle Sam Pays? Sure, Whatever," U.S. News & World Report, 4/21/08)