TightWind is written by Kyle Baxter. Stay Hungry. Stay Foolish.

Obama plans to pay for his jobs bill by raising taxes:

The chief provision announced by Lew would be to limit itemized deductions for individuals who make more than $200,000 a year and families that make more than $250,000, something the Obama administration has previously pushed to do through its budget proposals. Lew told reporters at the White House press briefing that this would raise about $400 billion.

The administration would tax the income investment fund managers make, known as “carried interest,” as regular income instead of as capital gains, which has a low 15 percent tax rate. This is another longstanding administration goal that has been resisted by Wall Street as well as some Democrats.

Raising taxes dampens whatever stimulus effects his jobs bill would have, and it makes it all but impossible that Republicans will support it.

Nice re-election campaign strategy, though. “We tried to fix it, but they wouldn’t let us.”