WASHINGTON, DC ( Catholic Online) - Republicans want the tax cuts extended for everyone. They say allowing the taxes to increase would make things difficult for small business owners. Obama countered by saying 97 percent of small business owners would fall under the $250,000 mark. 

Obama said allowing the tax cuts to expire would help job creators. 

Observers say the goal is to change the conversation from the poor jobs outlook to another topic. The June jobs report has cost Obama some political ground and the forecasts are not much better as consumer confidence shows signs of weakening. 

The announcement also puts Obama in position to claim that he is a champion of the middle class. 

The tax cuts previously enacted by President Bush will automatically expire on January 1, unless Congress and the President extend them. 

Very deep, automatic spending cuts are set to take effect at the same time. 

Romney argued that allowing the cuts to expire would amount to a "massive tax increase." 

"It just proves again that the president doesn't have a clue how to get America working again and help the middle class," a spokesperson for the Romney campaign said. 

Meanwhile, Democrats cannot themselves agree on what to do with the cuts. Democratic Representative Nancy Pelosi wants to allow the cuts to expire, but only for those making more than $1 million. Some Democrats are also siding with Republicans on the issue and don't want any tax cuts to expire for fear of the economic impact of collecting additional taxes in a period of economic uncertainty. 

In any case, Obama will improve his situation by shifting attention away from the June jobs report - at least until next month. 

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