Back in April, Senators Jon Kyl (R-AZ) and Blanche Lincoln (D-AR) proposed an amendment that would deliver a $250 billion cut in the estate tax. This was described as an effort to help farmers and small businessmen, but in reality “only 0.2 percent of the proposal’s cost, relative to the cost of making 2009 law permanent, would go to tax cuts for small business and farm estates.” The other 99.8 percent of the cost, about $249.5 billion dollars, was aimed at inheritors of estates worth over seven million dollars.
The proposal passed, with Evan Bayh (D-IN) as one of those taking the view that the best way to handle the country’s long-term budget situation was to cut taxes on multimillionaires.
Coincidentally, there’s an op-ed in today’s Wall Street Journal by Senator Evan Bayh making the case that deficit reduction is super important and Democrats need to start learning to restrain their hunger for new spending. You can tell that the argument is offered in 100 percent good faith, because everyone knows that when you want to launch a serious conversation inside the progressive family the WSJ editorial page is the place to be. It’s a venue with an unparalleled credibility on the left.