For the second time in days, a leading Republican -- this time South Carolina Sen. Lindsey Graham -- edged toward violating something that has been sacrosanct: a longstanding pledge signed by many in his party never to raise taxes.
Five Weeks Left
After months of stalemate, congressional leaders met on Nov. 16 with President Barack Obama -- who is deemed to have a considerably stronger negotiating hand after handily winning re-election 10 days earlier.
Just five weeks now remain in the calendar year to conclude an agreement before the expiration of tax cuts put in place during the presidency of Obama's predecessor, George W. Bush.
Obama has said that any deal he endorses would have to include an increase in taxes on wealthy taxpayers, something congressional Republicans so far have rejected.
The plan he proposes -- and presented to voters on the campaign trail -- would raise the tax rate for top earners, but keep Bush-era tax rates for individuals who make less than $200,000 per year and families earning less than $250,000.
Republicans insist that raising taxes on the wealthy would be counterproductive and only serve to slow economic growth and ensure that the country continues to be plagued by economic stagnation.
They insist that higher taxes would dampen spending and hiring and investment by business owners.
The top income-tax rate, which now stands at 35%, will automatically revert to 39.6% at the beginning of 2013 unless there is a new budget deal.
Republicans say they prefer to look at ways to bring in more tax revenue by completely overhauling the old and unwieldy U.S. tax code, including closing what they say are "special-interest loopholes" likely to hit the poor and the middle class as well as the rich.
Graham, speaking Sunday on ABC's "This Week," said it was fair to ask his party to do this in turn for Democratic concessions on reducing government spending on social-welfare programs, known as entitlements.
"When you're $16 trillion in debt, the only pledge we should be making to each other is to avoid becoming Greece, and Republicans -- Republicans should put revenue on the table," Graham said.
He was alluding to Grover Norquist, a powerful conservative political player in the U.S. budget debate, who over the past two decades has persuaded many Republicans to sign a pledge not to raise taxes.
"I want to buy down debt and cut rates to create jobs, but I will violate the pledge -- long story short -- for the good of the country, only if Democrats will do entitlement reform," Graham said.
