President Obama and his Republican rivals may have reached a compromise for a tax plan, but a group of Ivy League professors says the plan unfairly favors the wealthy -- and is encouraging taxpayers take a stand by donating their tax cuts to charity.
"You can see what your tax cut is and, if you can afford it, you can support the kinds of programs the government would be supporting," said Daniel Markovits, a professor at Yale Law School. "It allows you to tie your charitable donations to a statement of principle that taxes should be more equally distributed."
Markovits said the tax compromise, which extended the Bush-era tax cuts, decreases funding supporting programs for the economically disadvantaged and disproportionately helps the wealthy. Current income taxes, which have a maximum rate of 35 percent, are the lower than the 50 percent under President Reagan, according to Markovits.
"You have a great deal of inequality, hardship in the middle class, and fiscal policy that's not distributing the burden equally. The tax deal that the Obama administration made combined modest stimulus to the middle class with huge giveaways to the wealthy."
Markovits said he and the others chose the name of this year's website to highlight that more jobs are what are needed for the middle class to recover from the economic downturn. He said tax cuts for the wealthy will not stimulate the economy as Republicans have argued.
"Tax cuts to working class families and unemployment benefits are more likely to get spent. Those are definitely effective stimulus measures," said Markovits. "Tax cuts for the wealthy are not the most effective stimulus measures for their cost to the budget deficit -- not even close."
Robert Hockett, professor of law at Cornell Law School, said the website's goal is to promote public discourse before the expiration of the current tax cuts around 2012.
Hockett and Markovits started the site with Jacob Hacker, a political science professor at Yale University. They say the goal is not to raise money for charity or to replace government programs.
"The danger is that people who support the tax cuts for the wealthy may say it's more effective to just give to charity," said Hockett, a long-time friend of Markovits. "Our own thought is that charity is a very important virtue but not a replacement for good fiscal policy."
The professors started a similar website in 2005, GiveBackTheTaxCut.org, to raise money for relief from Hurricane Katrina. It is no longer live, but Hockett said the sentiment behind it was similar to that of GiveItBackForJobs.org. In 2005, they were protesting the Bush administration's tax cuts for the wealthy when a lack of funds and attention to its poorest residents in New Orleans exacerbated the tragedy of Hurricane Katrina.
The professors have already generated criticism, including an opinion piece on the Wall Street Journal website that called the site the "nitwittiest idea of the year." James Taranto, columnist and editor of the newspaper's online editorial page, calls GiveItBackForJobs.org "the cognitive elite's version of a tax revolt."