Obama: Nothing 'off-limits' in fiscal plan

WASHINGTON -- President Barack Obama said Saturday that "nothing can be off-limits" in the budget debate -- despite Republicans saying tax increases are. The president said every tax break and federal program must come under scrutiny.

With an Aug. 2 deadline looming to raise the government borrowing limit, Obama used his weekly radio and Internet address to call on Congress to make a deal.

He also renewed his call for Congress to eliminate some tax breaks for the well-off as part of any agreement. Republicans want deep spending cuts without any tax increases or closing any tax loopholes, while Obama and Democrats have called for a "balanced" approach.

That means one that also includes new revenue from higher taxes on high earners, though Democrats try to avoid such phrases as "tax increases" or "higher taxes."

"Now, it would be nice if we could keep every tax break, but we can't afford them," Obama said.