Obama and Tax Cuts: Should Tax Cuts Be Extended To The Wealthy Or Just The Middle Class?

Nov. 12, 2010— -- President Barack Obama has indicated that the Democrats might be willing to compromise on the extension of the Bush-era tax cuts for the wealthy.

"There may be a whole host of ways to compromise around those issues," the President told reporters at a news conference during his Asia trip. "But I've made very clear what my priorities are."

Pres. Obama doesn't believe in permanently extending the tax cuts to those earning $250,000 a year, or more.

"I continue to believe that extending permanently the upper-income tax cuts would be a mistake and that we can't afford it," Obama said in South Korea. "And my hope is, is that somewhere in between there we can find some sort of solution."

White House Senior Adviser David Axelrod ignited a conflagration of ire among liberals when he seemed to signal in an interview with the Huffington Post earlier this week that the administration might be willing to bend on cuts for the wealthiest.

"We have to deal with the world as we find it," Axelrod said in his conversation with HuffPost. "The world of what it takes to get this done."

Republicans, soon to be in power in the U.S. House after significant wins this month, plan to use their clout to extend tax cuts to all Americans.

Earlier this week, incoming House Speaker John Boehner said that extending tax cuts for all Americans is the best way to create jobs in the ailing economy.

The tax cuts, set to expire at the end of this year, will be on the top of the agenda when the lame duck Congress convenes next week.

ABC News' Amy Walter and Michael Falcone say that the upcoming fight over taxes won't be about whether to give the wealthiest a tax cut, but about how long the cut will last.

Pres. Obama will meet next week with Democratic and Republican congressional leaders.

Our question to you today: Should Tax Cuts Be Extended To The Wealthy Or Just The Middle Class?

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ABC News' Amy Walter and Michael Falcone contributed to this report. The Associated Press contributed to this report.