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Thune: Obama Doesn't Have Solution

November 14, 2012, 6:03 PM by Brady Mallory

Thune: Obama Doesn't Have Solution

A tax hike to the wealthiest Americans could be on the way.  In his first news conference since re-election, President Barack Obama urged Congress to extend expiring tax cuts immediately for the middle class.  However, not everyone in Washington, D.C., agrees.

Obama demanded Congress work together to avoid going over the fiscal cliff.  If we go over the fiscal cliff, some analysts predict we could see another recession and nine-percent unemployment.

"We're headed for a train wreck," U.S. Senator John Thune said.

Obama wants to extend the tax cuts for households that make less than $250,000 per year.

Thune believes Obama's proposal creates about $1.6 trillion in new taxes on businesses and the wealthy.  Thune proposes the current tax rates be extended for everyone for another year, so Congress can decide on a tax reform.

"Coming up with a tax code that is more simple, more fair that broadens the tax base, lowers rates and will really drive economic growth," Thune said.

Even though the President is pressing Congress, Thune said the President is the one who should feel the pressure to answer the voters.

"They elected a divided government. Sometimes divided government can do big things. It does require presidential leadership. You can't do big things in Washington, D.C., with absent presidential leadership," Thune said.

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