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The criefor exemptions would be great. >> don't combine it with state taxes. this doesn't address state taxes. if you add them together, yes, you would get that number. this is a replacement structure. these are replacement taxes. they're not on top of anything. we replace cital gains tax. we replace the payroll tax. we replace corporate income tax. replace personal income tax. and replace the death tax. is a replacement tax structure. where do state taxes go? you say they're going to be repealed? >> with the current structur you have state taxes, right? so with this new structure, you still g...

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Did a few years ago and no reason the government can't do the same thing. that's what is about. >> eric: adam, what about the spending issue? republicans want to cut spending by 20% or so. if the president we're told intends to increase spending in some areas on tuesday and announce that. >> there is broad agreement that it needs to be brought under control. the question is what this nice pairing up at the "state of the union" doesn't address is the extreme policy differences. this past week, you had republican policy committee in the house, speaking for two-third of the republican caucus in t...