When Obama met with Democrats at the Capitol yesterday, he was facing a few skeptics, including Virginia's senior senator, Mark Warner. The president wants to lower corporate tax rates while also expanding some tax breaks for smaller businesses. His new proposal leaves the contentious issue of individual tax rates off the table. Warner says the two ought to be dealt with together.
"It's hard to do corporate tax reform independent of individual tax reform," says Warner. "At the end of the day, if we're going to jumpstart this economy. We can't lurch from budget crisis to budget crisis. We can't have the stupidity of sequestration actually hurting our economy and costing the taxpayer more money than we're saving."
Sen. Ben Cardin, D-Md., disagrees. He says the combination of tax changes coupled with investments would go a long way in the region.
"It is part of an overall strategy to help the middle class, to help job growth in this country," says Cardin. "Part of that is having a competitive corporate tax rate, part of that is using resources to help build our infrastructure, invest in research, to invest in ways in which America can become more competitive."
Republicans are nearly universally rejecting the proposal, arguing more deficit spending won't create jobs.