Changes

=== Taxes increases ===

=== Taxes increases ===

Clinton sent Congress a deficit reduction plan in early 1993. However, Clinton's problem was that about half of government money goes to entitlement programs such as [[social security]] and [[medicare]]. Refusing to cut domestic spending, he increased taxes on gasoline, heating oil, and natural gas, breaking his campaign pledge not to raise tax rates. On Aug. 10, 1993, the largest tax increase in history was signed into law, raising taxes by almost $280 billion over five years.<ref>J.D. Foster, Ph.D. [http://www.heritage.org/research/reports/2008/03/tax-cuts-not-the-clinton-tax-hike-produced-the-1990s-boom#_ftn1 Tax Cuts, Not the Clinton Tax Hike, Produced the 1990s Boom], ''The Heritage Foundation'', March 4, 2008.</ref> Instead of middle-class tax relief, President Clinton chose to include in his $241 billion tax plan higher federal gasoline taxes, tax hikes on Social Security recipients, and steep income tax hikes on small business owners.<ref> ''The President's Forgotten Middle Class,'' Joint Economic Committee, Majority Staff, 3/22/96.</ref> Conservatives blocked some proposals, such a new $71 billion [[BTU energy tax]] that would have cost the typical family nearly $500 per year.

Clinton sent Congress a proposal to reduce the deficit in eleven years in early 1993. However, the country's problem was that about half of government money goes to [[nondiscretionary entitlement]] programs such as [[social security]] and [[medicare]]. Refusing to control domestic spending, he increased taxes on ordinary consumers for gasoline, heating oil, and natural gas, breaking his campaign pledge not to raise taxes.<ref>Clinton repeatedly mocked incumbent President George H.W. Bush on the campaign trail for breaking his pledge to "read my lips, no new taxes."</ref> On Aug. 10, 1993, the largest tax increase in history was signed into law, raising taxes by almost $280 billion over five years.<ref>J.D. Foster, Ph.D. [http://www.heritage.org/research/reports/2008/03/tax-cuts-not-the-clinton-tax-hike-produced-the-1990s-boom#_ftn1 Tax Cuts, Not the Clinton Tax Hike, Produced the 1990s Boom], ''The Heritage Foundation'', March 4, 2008.</ref> Instead of middle-class tax relief, President Clinton chose to include in his $241 billion tax plan higher federal gasoline taxes, tax hikes on Social Security recipients, and steep income tax hikes on small business owners.<ref> ''The President's Forgotten Middle Class,'' Joint Economic Committee, Majority Staff, 3/22/96.</ref> Conservatives blocked some proposals, such a new $71 billion [[BTU energy tax]] that would have cost the typical family nearly $500 per year.

====Tax increases on the elderly====

===Tax increases on the elderly===

In 1993 President Clinton sought to increase taxes on [[Social Security]] benefits of the elderly and disabled.<ref>http://www.house.gov/house/Contract/seniorsd.txt</ref>  The final version of the bill passed by the [[Democrat]]ically controlled Congress increased taxes on beneficiaries from the first 50% to 85%<ref>http://web.archive.org/web/20040408115747/www.ssa.gov/OACT/HOP/hopi.htm</ref> of benefits (or "annuity payments" as they were originally called). [[Vice President]] [[Al Gore]] cast the deciding tie-breaker vote in the Senate to make the tax increase law.  The Clinton-Gore tax increase on Social Security benefits imposed a 70% [[income tax]] rate on a retired couple making as little as $22,000 per year.<ref>[http://books.google.com/books?id=vLg4iJR0J9kC&pg=PA16593&lpg=PA16593&dq=Vice+President+Gore+cast+the+tie-breaking+vote%2Bsocial+security&source=bl&ots=-ImIDX6fHa&sig=ttWVUNAIVsLQoEg1ZhCntHB_02Y&hl=en&ei=dobVTMr9HoOglAe0iuX9CA&sa=X&oi=book_result&ct=result&resnum=2&ved=0CBYQ6AEwAQ#v=onepage&q=Vice%20President%20Gore%20cast%20the%20tie-breaking%20vote%2Bsocial%20security&f=false Congressional Record, Comments by Rep. Christopher Cox,] July 27, 2000.</ref>  

In 1993 President Clinton sought to increase taxes on [[Social Security]] benefits of the elderly and disabled.<ref>http://www.house.gov/house/Contract/seniorsd.txt</ref>  The final version of the bill passed by the [[Democrat]]ically controlled Congress increased taxes on beneficiaries from the first 50% to 85%<ref>http://web.archive.org/web/20040408115747/www.ssa.gov/OACT/HOP/hopi.htm</ref> of benefits (or "annuity payments" as they were originally called). [[Vice President]] [[Al Gore]] cast the deciding tie-breaker vote in the Senate to make the tax increase law.  The Clinton-Gore tax increase on Social Security benefits imposed a 70% [[income tax]] rate on a retired couple making as little as $22,000 per year.<ref>[http://books.google.com/books?id=vLg4iJR0J9kC&pg=PA16593&lpg=PA16593&dq=Vice+President+Gore+cast+the+tie-breaking+vote%2Bsocial+security&source=bl&ots=-ImIDX6fHa&sig=ttWVUNAIVsLQoEg1ZhCntHB_02Y&hl=en&ei=dobVTMr9HoOglAe0iuX9CA&sa=X&oi=book_result&ct=result&resnum=2&ved=0CBYQ6AEwAQ#v=onepage&q=Vice%20President%20Gore%20cast%20the%20tie-breaking%20vote%2Bsocial%20security&f=false Congressional Record, Comments by Rep. Christopher Cox,] July 27, 2000.</ref>

===Dirty tricks and blackmail===

===Dirty tricks and blackmail===