Boehner concedes only three percent of small businesses affected by extending tax cuts (updated)

[ProSense]

Boehner concedes only three percent of small businesses affected by extending tax cuts

As you know, John Boehner made big news yesterday on CBS when he seemed to allow that he would support it if Dems held a vote on whether to extend just the tax cuts of those who make less than $250,000.

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In the exchange, Bob Schieffer of CBS asked Boehner to respond to a recent report by the nonpartisan Joint Committee on Taxation finding the three percent figure. And then...

BOB SCHIEFFER: Do you quarrel with that figure? Is that a right figure or a wrong figure?

BOEHNER: Well, it may be three percent, but it's half of small business income. Because, obviously, the top three percent have half of the gross income for those companies that we would term small businesses. And this is why you don't want to punish these people at a time when you have a weak economy.

Boehner's camp will argue that this isn't a concession at all. After all, he reiterated the claim that half of small business income will be impacted, creating a drag on investment and innovation in a weak economy.

But Dems will counter that this only proves their point -- most of the small business income that would be impacted by ending the tax cuts for the rich is concentrated in the hands of a tiny group of people. Look for this to become part of the Dem argument -- and part of the ongoing White House and Dem offensive against Boehner -- as the skirmish over the tax cuts heats up.

UPDATE, 11:16 a.m.: Boehner spokesman Michael Steel responds without directly addressing the three percent figure:

"There is no argument that the President's plan would raise taxes on half of the small business income in the United States, according to the non-partisan Joint Tax Committee. Why do Washington Democrats want to raise taxes on anyone -- especially small businesses -- in a struggling economy? If Speaker Pelosi allows a fair debate and vote in the House, we're confident that our plan to stop all of the tax hikes would prevail."

Debate? Boehner stepped all over the Republican talking points.

Updated to add this DNC ad targeting Boehner: Video

[Schema Thing]

1. I know how that three percent can get a massive tax cut:

Hire someone.

[flpoljunkie]

2. The 'small business income' dodge! Not 'mom and pop' small business,Tiger Woods, hedge fund manager

'small businessmen.' Shame on you, Boehner! These perpetual GOP liars must be continually called out! Thank you, Bob Schieffer for setting the record straight.

[niceypoo]

3. Boehner is a professional half wit

There is no other possible explanation.

[ProSense]

4. DNC statement

Via Steve Benen

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Yesterday, Boehner effectively conceded that Neugebauer and Republicans like him aren't even close to telling the truth. We're talking about 3% of small businesses that would see a difference.

DNC spokesperson Hari Sevugan said in a statement, "Now that Boehner admits at least 97% of small business won't be affected if the Bush tax cuts expire, we can put an end to the canard that John Boehner and Republicans are fighting to extend tax breaks for anyone but super-rich individuals. And while Republicans are fighting for tax cuts that they now admit won't help small business they are holding hostage a small business jobs bill that actually provides significant tax benefits for most small businesses."

Some Republicans are already less-than thrilled that Boehner grudgingly endorsed Obama's tax-cut plan. The fact that he also undermined a key GOP talking point probably won't help matters with his caucus.

[LiberalFighter]

5. What is defined as a small business and what is the breakdown

for small businesses for their taxable income?

[Arkana]

6. We may actually win the talking point duel on tax cuts.

My jaw will hit the floor if it happens.