Remember when President Obama said he cut taxes for the middle class last year? Lefty demagogues ran about proclaiming that The One had just given out the largest middle class tax cut in history. Of course, he did it differently. Instead of giving everybody a rebate, a la Bush, he changed the withholding rules so you would get an extra $12 or so in your pay check.
And there was much rejoicing.
But if you were paying attention, you noticed something very interesting; while he changed the withholding schedule, he didn't change the tax rates. What this means to you and me is that while we had less money deducted from our paychecks, we still had the same tax liability at the end of the year. What that means is that the refund you would have gotten this year paid for that $12 a paycheck through last year.
Not as much rejoicing.
Even better, there will be millions of people who actually owe money to the IRS this year instead of getting their usual refund.
Remember who to thank come November.
The Obama Middle Class Tax Cut is Biting the Middle Class in the Ass
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