Obama Under Fire For Jet Tax Idea

The Wall Street Journal reports:

President Barack Obama on Wednesday targeted a tax break for corporate-jet ownership, aiming to put Republicans in the position of defending a luxury perk.

In a news conference, Mr. Obama repeatedly indicated that Congress should consider limiting the depreciation break for corporate-jet owners, which allows companies to rapidly deduct from their taxable income the decline in the jets' value.

Almost immediately, however, business leaders and some union officials criticized the president, saying such a move could jeopardize the executive-aircraft sector's still-fragile recovery.

Mr. Obama's corporate-jet challenge drew scoffs from deficit hawks for its tiny budgetary impact. But the mini-backlash from the aviation industry showed how discussion of even small, largely symbolic tax increases can provoke angst among those directly affected, complicating efforts by the White House and congressional Republicans to reach agreement on cutting the deficit and raising the federal debt ceiling.