Dems Don't Like Obama Tax Cuts

Barack Obama's proposed tax cuts are opening a rift with his former congressional colleagues, the Hill reports. Democratic lawmakers are skeptical as to whether the cuts—which are 40% of the proposed stimulus package—will give the economy the necessary boost. Some think the president-elect is trying too hard to win over Republicans, who remain largely unswayed by the plan.

“I’m not excited about that," said Sen. John Kerry of the proposed $3,000 employer tax credit for new hires, a sentiment echoed by others who noted the poor track record of tax initiatives in reviving rapidly falling economies. Behind the scenes, Obama's top advisers huddled with congressional Democrats to address their concerns. The plan is still "a work in progress," said Senate Majority Leader Harry Reid.
(More Larry Summers stories.)