The plan is nicknamed the Buffet rule after billionaire Warren Buffet. Buffet noted he paid a lower tax rate than his secretary. The Obama plan would raise the tax rate on those earning more than a million a year.
Obama claims the tax would reduce the inequality between the top one per cent and the other 99 per cent of Americans. His proposal will no doubt be defeated in the senate probably today (Monday 16th of April). However this is fine with Obama since he can then campaign on the theme that the Republicans support and represent the rich one per cent of Americans. 37 per cent oppose the Obama tax.
Independents actually support the tax by over 60 per cent, a good sign for the Democrats. Only the Republicans have a majority opposing the plan at 54 per cent while even among them 43 per cent approve.
A Republican spokesperson said:"Democrats can talk about this tax hike until they're blue in the face, but Americans are looking for solutions on jobs, gas prices and the deficit, and this gimmick doesn't offer a solution to any of them." Polls show that the Republicans may have a point. Only one per cent of Americans found the gap between rich and poor was the U.S. number one issue. Most found the economy, jobs, and problems with government more important. For more see this article.