MANHASSET - In his State of the Union address last night, President Barack Obama proposed a minimum 30 percent tax on Americans who earn more than $1 million annually, and the plan is sparking a lot of debate.Some Long Islanders say they believe the president's proposal is "socialistic" and unfair because it targets top earners. Others argue it?s unfair that middle-class workers are often burdened with heavy tax rates while the nation?s wealthiest get hefty tax breaks.Economist Pearl Kamer says there aren't enough people earning more than $1 million on Long Island for the plan to make much of an impact here. Some experts, however, say the so-called "Buffet rule" could have a chilling effect on investors and job creation.Obama's proposal came just hours after Republican presidential hopeful Mitt Romney released his personal tax returns. Romney's net worth is estimated between $190-$250 million, and he paid about 14 percent of his income in taxes last year. Experts say that rate is much lower than most Americans pay because his income mostly came from investments.
To watch the full video of President Obama's State of the Union address, go to channel 612 on your iO digital cable box and select the 'iO Extra' tab.Obama: American dream in peril, fast action needed