Timothy F. Geithner was asked in Senate hearings: “Do you believe raising taxes on savings and investment, as would occur if the Bush tax cuts expire in 2010, will help or hurt our economy?”
After mentioning portions of Obama’s own tax program, he ended with: “Beyond that, it is premature to speculate on the tax provisions that expire in 2010.” 2010 is only a year away. Treasury Secretary Geithner tells us it is too soon to be thinking deeply about taxes a year from now. But how can investors and businesses plan if they do not have a good idea of future tax rates?
The Bush tax cuts are dead, it appears. The death tax will be resurrected, and capital gains taxes will rise, unless legislation is enacted. I expect Obama’s tax policies to slow the economy.
8:39 am on January 31, 2009
