February 20, 2009
-- by Dave Johnson
You're going to hear a lot of complaining that Obama is growing the federal budget deficit. One reason is that the deficit is about to rise is that the Bush administration used gimmicks to make it look smaller, and Obama is changing over to honest accounting.
The new accounting involves spending on the wars in Iraq and Afghanistan, Medicare reimbursements to physicians and the cost of disaster responses.
But the biggest adjustment will deal with revenues from the alternative minimum tax, a parallel tax system enacted in 1969 to prevent the wealthy from using tax shelters to avoid paying any income tax.
. . . “The president prefers to tell the truth,” he said, “rather than make the numbers look better by pretending.”
Posted by Dave Johnson at February 20, 2009 12:30 PM
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