RUSH: On the extension of the Bush tax cuts, there may be something that you don't know. The popular understanding of Obama extending the Bush tax cuts is that they are for people who make less than $250,000. And most people think that that means if you make $250,000 or more, that you are not going to benefit from the extension of the Bush tax rates.
By the way, they've been in there 11 years.
They are the rates. They are the current rates in tax law. To keep calling these things "tax cuts" is really a huge mistake, not only in choice of words, but in fact. We've long since passed when they were "tax cuts." They're now the law of the land. A little-known fact is -- and I don't know what impact this would have on people if they figured it out, but -- everybody will receive a tax cut, even the rich, on the first $250,000 they earn. Everybody will. Obama and the Democrats want people to believe that if you earn $250,000 or more, you don't benefit from the extension of the rates.
But you will on the first $250,000 you earn. The first $250,000 you earn will be treated as though that's all you earn. You'll get the same extension from the Bush tax rate on those dollars as anybody who makes less than 250. Now, if you make five or ten million, it's not a whole lot of money from the Bush tax rate applying to your first 250, but it still nevertheless will. So "the rich" will benefit from Obama's extension. Obama doesn't want you to know it or want you to think it. And the media probably doesn't understand it, either. And even if they did they wouldn't report it because it would not look good for Obama.