Democrats’ Message Guru Strikingly Silent On Effort To Raise Taxes On New York Job Creators

As the camera-loving Senator from New York, Chuck Schumer has become well known for his Sunday press conferences where he holds court on issues ranging from caffeinated malt beverages to new legislation prohibiting sex offenders from working at carnivals.

But as both parties continue to debate hiking the $14.3 trillion debt ceiling by an additional $2 trillion, Senate Democrat leaders, including Schumer, continue to dig in and insist on at least $400 billion in new tax increases to offset any spending cuts.  And the normally voluble Schumer is suddenly silent and circumspect in commenting on how several of these new tax hike proposals would land disproportionately on job creators in New York City.

As the Wall Street Journal reports today:

• Another administration proposal would change the tax treatment of earnings for many investment-fund managers, ending a practice critics regard as unfair. Fund managers often receive an interest in the future profits of partnerships, in return for managing the investments. Under current rules, that share is taxed at capital gains rates, usually 15%, rather than the higher rate for wages.  Supporters of the current system say fund managers’ partnership interest, known as “carried interest,” is really an investment, not wages, and ought to be taxed as such. A similar proposal failed to pass the Senate last year despite lengthy negotiations. Mr. Obama’s February budget proposal called for ending capital-gains treatment of carried interest for a range of “investment-services partnerships,” not just hedge funds. The administration’s latest proposal would raise about $20 billion.

“As the Democrats’ message guru, Senator Schumer has positioned himself at the heart of the Democrats’ fight to raise taxes.  Yet, instead of standing up for his constituents in New York, he’s helping to lead the charge in making them pay for his reckless spending record in Washington.  While we’re sure there are some in New York who may appreciate their Senator’s courageous stand on caffeinated malt beverages, why is Chuck Schumer suddenly silent when it comes increasing taxes on job creators in New York City?” National Republican Senatorial Committee (NRSC) spokesman Brian Walsh said today.