Obama says he won't "ask students or seniors or middle-class families to pay down the entire deficit while people making over $250,000 aren’t asked to pay a dime more in taxes.”
Yet people earning over $250,000 are going to be asked to pay more in taxes. Not just “asked,” either, writes Ira Stoll—they are going to owe additional taxes on non-payroll income such as dividends, capital gains, annuities, royalties, and rents that previously had not been subject to the Medicare tax. This is not "a dime," it’s about $30 billion a year, according to the Congressional Budget Office.
As the fiscal cliff looms, here's how to avoid another fight like last year's dust up over the debt-limit increase.