Eastside Lenders News

Taxing the wealthy would pay for jobs bill

New York (CNN Money.com) Millionaire tax would cover cost of Obama’s jobs

There have been a number of bills introduced in Congress that have met with resistance from both Democrats and Republicans, and some that East Side Lenders have seen being supported by the Democrats, the current minority.

The Congressional Budget Office released its estimates for revenue and cost concerning the American Jobs Act of 2011, and the numbers are encouraging for supporters of the bill. According to these calculations, the proposed bill would add $447 billion new as well as extended tax cuts and add spending in the areas of infrastructure, jobs training and assistance with housing and other areas.

In reviewing the CBO’s findings, East Side Lenders points out that the most ambitious measure of the bill is a payroll tax cut that would reduce revenue by $265 billion. This would be done through a decrease in the payroll tax rate from 6.2% to 3.1%.

While the CBO did not add their predictions as to the effects this bill would have on the current economy, East Side Lenders notes that they did predict that there could be a “noticeable impact on economic growth and employment in the next few years.”

Economists consulted by CNN Money have already given encouraging predictions and say that the bill could create up to 1.9 million jobs.

However, there is no consensus from the House or Senate that the bill could be passed in its current form and revisions remain to be made.

Find out more here (http://money.cnn.com/2011/10/07/news/economy/jobs_bill_obama/index.htm?iid=HP_River)

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