Obama Senior Advisor Does Not Understand Income
There are some big problems with all this, for starters the only "capital gains" that Joe the Plumber would declare would be from the sale of all or part of his business. Furthermore, as I am sure Mr. Obama knows, most small businesses are set up as an "S-Corporation". The business files a return, form 1120S with the profit being declared on the owner's form 1040 (line 17). In addition to being dishonest on the subject it should be noted that during the past decade small businesses that file as S-Corporations have been very important job creators. Obama wants to pluck the geese that have been laying the golden eggs in our society.
Good Lord, Mort Kondracke just said the same thing concerning capital gains, business income is not a capital gain.