Barack Obama to hit rich with tax and slash war spending

Posted Feb 23, 2009 by Subhabrata Das
Barack Obama has unveiled plans to reduce America’s national debt by raising taxes on rich Americans and slashing Iraq war spending to half the country’s projected $1.3 trillion budget deficit this year, a report said.
Barack Obama
Barack Obama
Photo courtesy United States Senate
US President Barack Obama has reportedly rolled out plans to cut the federal deficit by half by enhancing taxes on rich and scaling back Iraq war spending. Aides at the weekend revealed Mr Obama's ambitious goal of reducing the deficit to $700 billion by the end of his first term in 2012.
When Obama took the charge of his office, the US economy was in deep crisis with annual budget deficit of more than $1.3 trillion. It is believed that the situation might get worse with the latest $787 billion stimulus package, which president Obama signed on last week.
According to Mitch McConnell, the Senate Minority Leader, it is right time that Obama is taking action to handle the deficit.
He said: "We have been on an incredible spending spree. So, I think it's timely that the President is having a meeting at the White House tomorrow to talk about the deficit because we're spending money at a very, very rapid pace, far beyond anything in history."
In the White House summit on Monday, Obama is reportedly going to outline his plan to save money by slashing spending on wars in Afghanistan and Iraq.
Although Obama’s campaign had reportedly estimated that USA could save about $90 billion a year by pulling out troops from Iraq, but his recent decision to double the US presence in Afghanistan is already raising doubts about the real potential for saving on military spending.