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ANINDEPENDENTNEWSPAPER EDITORIALS
Starting the tax conversation President Obama takes an encouraging, but tentative, step. C
OULD2011,OR2012, be a 1986moment? In other words, has the confluence of worries over the debt and bipartisan disdain for the existing byzantine edifice known as the tax code opened the way
for fundamental reform? President Obama said last week that he believes so — and wants to use the next two years to push for such an overhaul. “We’ve got to start that conversation next year,” he told National Public Radio. “I think we can get some broad, bipartisan agreement that it needs to be done. But it’s going to require a lot of hard work to actually make it happen.” Just how hard was clear from the president’s
next words, when Morning Edition host Steve Inskeep referred to the plan put forward by Mr. Obama’s fiscal responsibility commission, which would eliminate or limit numerous popular de- ductions, such as those for home mortgages. “Well, I have not specifically endorsed that plan,” Mr. Obama was quick to say. “What I’msaying is, is that the general concept of simplifying — eliminating loopholes, eliminating deductions, eliminating exemptions in certain categories — might make sense if, in exchange, people’s rates
Don’t charge WikiLeaks
The leaker, not the Web site, should be in trouble.
officials say could put in harm’s way Afghans who have cooperated with U.S. efforts. But that does not mean he has committed a crime. Mr. Assange, an Australian, is in a British jail
W
awaiting possible extradition to Sweden on sexual assault
allegations.Many Americans would like to see him spend a good, long time behind bars—for different reasons. Sen.DianneFeinstein(D-Calif.), chairman of the Senate Intelligence Committee, argues that Mr. Assange’s actions violate the Espionage Act, a World War I-era law crafted to punish individuals who spy on the country during wartime. The Justice Department is reportedly assessing that possibility as well as other prosecu- torial vehicles. Sen. Joseph I. Lieberman (I-Conn.) goes further
and has urged the administration to consider charges against media outlets that produced news articles based on the leaked documents. These organizations,Mr. Lieberman said in an interview withFoxNewslastweek, have “committed at least an act of bad citizenship, but whether they have committed a crime — I think that bears a very intense inquiry by the Justice Department.” Such prosecutions are a bad idea. The govern-
ment has no business indicting someone who is not a spy and who is not legally bound to keep its secrets. Doing so would criminalize the exchange of information and put at risk responsible media organizations that vet and verify material and take seriously the protection of sources and
IKILEAKS FOUNDER Julian Assange has irresponsibly released thousands of sensitive national security docu- ments, including some that Pentagon
are lower. ” If the president is truly committed to driving a
national debate about tax reform,weapplaud him for it. As the tax reform panel appointed by President George W. Bush demonstrated, even a tax overhaul that did not raise a single dime in newrevenue could produce a system that is fairer, more efficient and, therefore, better for economic growth. But as the Bush tax reform panel also demonstrated, tax reform proposals — especially those that take on heavily-defended deductions such as those for mortgage interest or employer- sponsored health insurance — go absolutely no- where without a sustained political push. Andthe tax reform that is called fornowwill be
more difficult than that of 1986, for the simple reason that the 1986 reform was revenue-neutral. The nation’s perilous fiscal condition requires, in addition to spending cuts, a tax code that brings in more money. Unlike the president’s preferred approach of extending the Bush tax cuts for households making under $250,000, his fiscal commission’s plan would raise more than $1 trillion over the next decade. There aremany positive aspects of the commis-
sion’s approach. It would replace the current six tax brackets with three rates: 12, 22 and 28 percent. It would tax capital gains and dividends as ordinary income, reducing the current gaming of the system for tax advantage. It would reduce the corporate tax from 35 percent to 28 percent while pruning corporate loopholes. It would keep in place tax help for the lowest-income workers while eliminating hundreds of billions in other tax deductions and reforming others. For example, mortgages entitled to preferential tax treatment would be capped at $500,000, instead of the current $1 million, and limited to the primary residence. There are also major questions about the plan,
perhaps most important whether it raises enough revenue to get the debt down to a sustainable level. And this is where Mr. Obama’s comments, however preliminary, are slightly concerning. It would be relatively easy to sell tax reform as a simpler system with lower rates. But tax reform worth doing means that taxpayers will pay more. Mr. Obama might not want to lead with that unpleasant fact, but he will have to confront it as part of the hard work that lies ahead.
TOMTOLES
SUNDAY, DECEMBER 12, 2010
LETTERS TO THE EDITOR
dletters@washpost.com
President Obama’s tax deal Before the midterm elections, my Republican neighbors were fond of asking me, as a liberal Democrat, whether I was happy with President Obama. Instead of saying no, as they expected, I said yes because it takes time to effect the changes I want. To the same question today, my response would be absolutely not. I don’t foresee any improvement duringMr. Obama’s final two years in office. The compromise between the Republicans and
the president on extending the Bush-era tax cuts [“Obama and GOP strike tax accord,” front page, Dec. 7] cannot be allowed to go through. We can’t afford to add so much to the national debt, which is already out of control. In addition, the proposed 2-percentage-point cut in payroll taxes through the end of next year needs careful examination to determine its long-term effect on the Social Security system. Social Security is vital to working and retired Americans, and changes to it must ensure its long-term viability. Imuchprefer a “do-nothing Congress” toonethat
caves in to Republican demands. Liberal Democrats must use the filibuster in the Senate the way the Republicans have for the past two years. Jim Beller, Rockville
l “Obama and GOP strike tax accord” and “Presi-
dent extends olive branch to GOP” were Dec. 7’s front-page news. How sad for all of us that these decisions were not based on the best interests of the country. Both decisions stemmed from senior ad- ministration officials “poring over returns, exit polls and midterm history.” Surely there are experts who could have recommended what should have been done based upon the best interests of the country instead of the best interests of the party. Joel L. Kristal, Rockville l
President Obama’s capitulation to a Republican
bluff ranks him just behind Richard M. Nixon as a betrayer of the voters who elected him. Apparently, Mr. Obama reached this $700 billion “compromise” with an eye on his 2012 reelection, an obscene twist on the concept of public financing of elections. He has written the clarion call of his second inaugural: Ask not what the wealthy can do for their country; ask what their country can do for the wealthy.
DavidW.La Voy, Cheverly l
After reading the Dec. 8 editorial “A deal worth
doing,” all I could think was that The Post could not be so naive as to believe that four moves that will increase spending — extending all of the Bush tax cuts, cutting the payroll tax, extending unemploy- ment benefits and offering a generous deal on the estate tax—represent a “pivot to the harder work of long-term deficit reduction.” This reminds me of Charlie Brown believing that
the next time, Lucy won’t pull the football away just as he is about to kick
it.As long as politicianshaveno backbone and care more about being reelected than governing, and the people hunger to hear what they want rather than what they need to hear, any real effort at deficit reduction remains a distant illusion. Gary Sanders, Alexandria l
I strongly support President Obama’s leadership
role in crafting the proposed tax accord. I believe that Americans want to see more responsible bipar- tisan cooperation in the crucial effort to solidify our economic recovery. Too many liberal organizations espouse the nar-
methods when lives or national security are endangered. The Espionage Act is easily abused, as shown by a criminal case that dragged on for years, before being closed last year, of two lobby- ists for theAmericanIsraelPublic AffairsCommit- tee who did nothing more than pass along to colleagues and a reporter information they gleaned from conversations with U.S. officials. The act should be scrapped or tightened, not given newand dangerous life.
So is the administration helpless? No; it has
every right to demand strict confidentiality from its employees and others who swear to protect its secrets. It has rightly filed charges against an Army intelligence specialist who it believes was the source of the leaked documents. And the government should repair its own house, by investigating its carelessness in allowing these documents to leak and taking steps to prevent a recurrence.
A public shaming Leslie Johnson, council member with an asterisk N
EWLY SEATED local lawmakers in Prince George’s Countyhave taken a positive step to contain the damage, and limit the embarrassment, stemming from the fed-
eral charges against their colleague on the County Council, Leslie Johnson. By denyingMrs. Johnson a seat or a vote on any of its committees, where much of the real legislative work gets done, the council and its newchairman, Ingrid Turner, have send a clear and appropriate message of censure. Mrs. Johnson, who was arrested by the FBI last
month with nearly $80,000 stuffed in her bra, was sworn in along with other council members Monday. She took the oath of office despite the fact that she faces charges of witness tampering and destroying evidence, including the allegation that she flushed a developer’s check for $100,000down
a toilet—anact recordedonanFBIphonetap.Her husband, then-County Executive Jack B. Johnson, was also charged. There was no way for the council to blockMrs.
Johnson from assuming the office to which she was elected last month, even though five of nine council members publicly urged her to
quit.Nor is there any legal means now of removing her from office barring physical or mental incapacity. Mrs. Johnson retains the presumption of innocence. The fact remains that her presence in office dishonors the council and the county she was elected to serve. By voting in effect to shun her, her fellow council members have acknowledged that — even if several of them, including Ms. Turner, have refused to speak about the case publicly. At this point, Mrs. Johnson is a council member —
but with a large asterisk. The newcounty executive,
RushernL.Baker III,
was also sworn in Monday. Mr. Baker has made clear his determination to clean up Prince George’s and remake its reputation for fast-and- loose public ethics and a sleazy, pay-to-play politi- cal culture marked by cronyism. If his first important steps in office are any
indication, that commitment appears to be more than rhetoric. By naming P.Michael Errico acting chief administrative officer — in effect, the coun- ty’s top non-elected official —Mr. Baker tapped a first-rate, highly experienced official. Inmorethan three decades of experience in local government, including a number of senior jobs,Mr. Errico has established a reputation for integrity, which is exactly what Prince George’s needs.
TAKING EXCEPTION
In defense of ethanol The Dec. 9 editorial “A good place to start
cutting” said that “there are far better ways to address oil dependence and greenhouse emis- sions” than aiding ethanol production. It didn’t specify any of them. In fact, we believe that, except for ethanol, there are no fuel alternatives doing this now. Our 12 billion gallons of ethanol a year can go
far in helping displace foreign oil, taking the place of 10 percent of our gasoline supply. As efficiencies increase in cornandethanolproduc- tion, we can do much more even without boosting corn acreage. Also, the Environmental Protection Agency
says that corn ethanol reduces greenhouse gases up to 52 percent compared with conventional gasoline. Inthese volatile economic times, this country
needs jobs and an alternative fuel source that fosters our national security.
That is why Congress should extend the tax incentives for ethanol production. BartSchott,Chesterfield,Mo.
Thewriter is president of theNationalCornGrowers Association.
l If The Post’s editorialists want to cut subsidy
costs, start with Big Oil. Globally, more than $280 million in taxpayer dollars are given to Big Oil annually in the form of subsidies and other financial incentives. That figure doesn’t even factor in the estimat-
ed $50 billion that it costs the United States to have its military protecting Persian Gulf ship- ping lanes. Ethanol has helped reduce our dependence
on foreign oil. TomBuis,Washington
Thewriter is chief executive ofGrowth Energy, an eth- anol industry advocacy group.
ABCDE
EUGENE MEYER, 1875-1959 • PHILIP L. GRAHAM, 1915-1963 KATHARINE GRAHAM, 1917-2001
BOISFEUILLET JONES JR., Chairman KATHARINE WEYMOUTH, Publisher and Chief Executive Officer News pages:
MARCUS W. BRAUCHLI Executive Editor
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Deputy Editorial Page Editor Business and advertising:
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dLetters can be sent to
letters@washpost.com. Submissions must be exclusive to The Post and should include the writer's address and day and evening telephone numbers. Letters are subject to editing and abridgment. Please do not send letters as attachments. Because of the volume of material we receive, we are unable to acknowledge submissions; writers whose letters are under consideration for publication will be contacted.
Editorial Page Editor JACKSON DIEHL
rowviewthatanycompromisethat includes backing away from President Obama’s campaign promise to immediately repeal the Bush-era tax cuts is a travesty for the Democrats. Campaign pledges often wither in the face of bruising reality. During the campaign, few could have foreseen the depth of our economic problems and escalating jobless rate. Instead, our president has taken the difficult step
of postponing the campaign pledge in the interest of crafting a tax accord that will significantly help many middle-andlower- income American families. The accord extends not only jobless benefits but credit for college students to offset tuition costs. It expands the $1,000 child tax credit to more families. Yes, Republican leaders may claim success in foster- ing the need for this compromise. But the bigger claim of successmay be by the American peoplewho want a president and congressional leaders working together to compromise on issues that will help move our country forward. HarrietShugerman,Bethesda
Thewriter volunteerswith theMaryland office ofOrganiz- ing for America, a project of theDemocraticNational Committee.
l Seems like just yesterday that the White House
proposed a freeze on wages for all federal employees —“the first of many difficult decisions that must be made to reduce the nation’s mounting deficit.” Now we are being pitched a “compromise” that will keep tax cuts for the rich and extend unemployment benefits; the plan will add $700 billion to the deficit. First, I take issue with this being called a
“compromise” when both sides got what they want- ed. Second,what happened to the fiscal responsibili- ty that seemed so important less than two weeks ago?
Andy Walko, Springfield Blaming ‘greedy bankers’
For many months The Post has published com- mentaries by some pundits who denied that it was government pressure that caused banks to lower their mortgage lending standards, preferring to blame it on bankers’ “greed.” Kenneth R. Harney’s Dec. 4 Nation’s Housing
column [“Are banks unfairly denying certain loan applicants?”] reported that a “national consumer coalition” is pressuring the courts to force banks to lower their mortgage lending standards all over again. As before, the pressure is justified by good intentions and the rationale that economically justifiable standards have a disparate impact on minorities. And when the inevitable problems arise in regard to these loans, we can again expect the pundits to blame it on “greedy bankers.” Victor Cholewicki, Washington
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