McCain bashes Obama economic plan
WASHINGTON -- John McCain came back at Barack Obama over the economy on Tuesday, telling a small business convention that the Democrat's plans would amount to the largest business tax hike since World War II.
"Under Sen. Obama's tax plan, Americans of every background would see their taxes rise … seniors, parents, small business owners, and just about everyone who has even a modest investment in the market," said McCain, the presumptive GOP presidential nominee.
McCain also told the National Federation of Independent Business that he would crack down on corporate misbehavior and excessive spending by Congress, including members of his own party. He also pledged to reduce regulations on businesses.
"Government should be on your side, not in your way," McCain said at the National Small Business Summit, sponsored by NFIB and eBay.
McCain's comments came a day after Obama, who clinched the Democratic presidential nomination last week, said McCain's tax cut policies would blow a bigger hole in the federal deficit and would benefit the wealthy while doing nothing for the middle class.
McCain said he wants to keep the current income tax rates, which would require an extension of the tax cuts passed during the Bush administration. He proposed a change to allow first-year expensing of new equipment and technology, a doubling of the child tax exemption, and phase-out of the Alternative Minimum Tax that the Arizona senator said amounts to a middle class tax cut.
He bashed Obama for proposing to raise the estate tax, and said the Illinois senator's plans amount to the biggest tax hike on business since World War II — a statement disputed by an independent group and the Democratic Party.
Obama's call to raise income tax rates on those who make more than $250,000 a year would loop in many small business owners, McCain said, as would proposed increases on dividends and capital gains, and the cap on Social Security taxes.
"You work hard in small businesses to grow and to create new jobs and opportunities for others," McCain said. "The federal government shouldn't make your work any harder."
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