The opening salvo: President Obama demands $1.6 trillion in tax hikes

This week, President Barack Obama and his Democratic allies responded to Republican Speaker of the House John Boehner's call for a comprehensive strategy to address the upcoming "fiscal cliff." During a press conference, White House press secretary Jay Carney iterated the president's demand that substantial tax increases, to the tune of $1.6 trillion dollars, be included in any deal.

"The president has put forward a very specific plan that will be what he brings to the table when he sits down with congressional leaders," Carney said in a response to a reporter's question about the impact of the election on the forthcoming negotiations.

He went on to state that these savings, in addition to those derived from as-yet-unspecified discretionary budget and healthcare spending cuts, would yield a deficit reduction of $4 trillion over the next 10 years. Carney also decried those who have a "pinched view" of how to resolve the fiscal cliff crisis.

The stipulation, according to The New York Times, is actually an increase from the level requested by the president during previous negotiations in 2010 and 2011, which at the time only amounted to $1 trillion. Precisely how and where the additional $600 billion would be levied remains unclear. However, members of the small business community certainly fear the specter of taxes on their finances, which have already been put into doubt as the full implementation of Obamacare approaches in 2014.

Stay with us for updates on the continuing fiscal cliff crisis as they develop. At GreatWealthStrategies.com, we also offer investment solutions to those seeking to diversify their portfolio and reduce the risk of losing their hard-earned income to oppressive taxes or a volatile market. Explore our website today and receive your own "Free Game Plan Report" to start taking control of your financial future.