... And a step back

The Wall Street Journal reported today that the Obama administration is backing down from plans announced in May to crack down on tax dodgers, including closing a loophole which allowed corporations to defer paying taxes on profits from overseas investments. President Obama, according to the Journal, will consider such measures as part of a broad overhaul of the tax code "sometime next year."

When first announced in May, officials in the administration said the government could retain $210 billion through the crackdown. A senate report maintains a $100 billion is lost to offshore evasion a year. And yet, as the government hemorrhages money and unemployment unparalleled in decades hampers middle-class spending and financial security, these loopholes - including loopholes which reward employers for shipping jobs overseas and degrades the value of work here in the U.S. - will remain in place, clearly a greater priority for the lobbying groups and special interests fighting for them than tax relief for the average, working American family. And, at least for now, a greater priority for the Obama administration.