(Reuters) – President Barack Obama gave his clearest signal yet on Saturday of a possible post-election compromise with resurgent Republicans that could prevent tax rates from rising for any American, even the wealthiest, come January.
Obama, in his first weekly radio address since his Democrats suffered big losses in Tuesday’s congressional elections, reasserted that Bush-era tax cuts should be made permanent for the middle class before they expire at year-end.
But while insisting tax cuts for wealthier Americans should not become permanent because of a $700 billion impact on the deficit over the next decade, he left the door open to a temporary extension for higher income levels — as long as it falls short of costing that much.
“I believe there’s room for us to compromise and get it done together,” Obama said, previewing his administration’s negotiating stance when the current Congress returns later this month for its final session.
Full Story: Obama signals may compromise on tax cuts | Reuters