Blogs Derek's Tax Blog Blue Dog vs Red Dog
The Blue Dog House Democrats were able to show their power in forming last weeks budget resolution. They will require pay-as-you-go budget rules for Alternative Minimum Tax, Obama’s reimbursement plan for doctors of Medicare patients and his plans for the estate tax. Pay-as-you-go means either tax increases or budget cuts elsewhere. This could mean that Blue Dogs could be battling their own party’s leadership.
There is also a group of moderate Democrats in the Senate; however, they are not as defined. For example, the Senate group did not hold together on the Lincoln / Kyl amendment last week. Interestingly, Washington Senators Maria Cantwell and Patty Murray both voted for the amendment that would have increased the estate tax exemption to $5 million and decreased the top rate.