This Ain't No Budget, It's a Tax Bill

Because the Democrats and Obama could not stop the Bush tax cuts from being extended, Obama has created this work around. This is his 10 year plan. Most Statist Plans are 5 years, so this is pretty ambitious. This will be a $1.5 trillion tax hike over the next ten years. That’s taking one and a half $trillion out of the pockets of the citizens, money we need to pay for housing, food, child rearing, and transportation to name just a few things.

Of course military spending will be cut by about $78 billion, one of the things the Constitution says the government is required to do; protect the borders and citizens, which this president has shown no inclination to do. We do know Leftists despise the military (they have guns and vote Republican).  

There’s no cuts to any entitlement spending, and an increase in several.

What Republicans need to be saying over and over again is what the Dems say every time a Republican president submits a budget, it’s “dead on arrival”.

This is immoral, that we are spending and borrowing $trillions at least two, maybe three generations into the future, saddling the unborn with massive economic problems they didn’t have a say in creating.

Obama and the Dems have cut revenue to the federal government by their effectively shutting down production of the oil and coal industries. By not being able to produce, there’s no income to tax. This is a huge revenue loss.

Reduced revenue from that, plus reduced revenue because fewer people are working so they aren’t paying taxes, plus about 47% of the population not paying taxes in the first place, and lots of other stuff too numerous to mention in a short post (plus its being mind numbingly boring except for us political and economic wonks), here’s some of the ways he’s going to get blood from the turnip.

Obama proposed budget:

Raises the top marginal income tax rate (big hit on small business profits) from 35% to 39.6%.

Raises the capital gains and dividends rate from 15% to 20%.

Raises the death tax rate from 35% to 45% and lowering the death tax exemption amount from $5 million ($10 million for couples) to $3.5 million. 

Caps the value of itemized deductions at the 28% bracket rate.  This cuts tax deductions for mortgage interest, charitable contributions, property taxes, state and local income or sales taxes, out-of-pocket medical expenses, and unreimbursed employee business expenses. 

Creates new bank taxes.

Creates new international corporate tax hikes.

Creates new life insurance company taxes.

Creates new taxes on energy

Increases unemployment payroll taxes. (This is on the 53% paying taxes so the 47% can continue to live off the fruits of our labor). My view is that everybody should have some skin in the game.

Taxing management capital gains in an investment partnership (“carried interest”) as ordinary income. 

Companies could no longer deduct the cost of punitive damages from a lawsuit settlement. (Trial lawyers, one of the largest contributors to the Democrat Party after Unions, love this.)

Increasing tax penalties, information reporting, and IRS information sharing.

Plus there’s a whole bunch of hidden taxes in ObamaCare that we must must must repeal.

House Budget Committee chairman Rep. Paul Ryan (R-Wisc.):

“The president punted on the budget and he punted on the deficit and on the debt.” “This doesn’t even include any of the president’s fiscal commission’s recommendations [and] it doesn’t address the drivers of our debt.” (The Budget Commission formed by Obama spent $millions to come up with reports and recommendations. Obama didn’t use one of them.)

“I really thought that we would see an advancement, that we would see a step in the right direction.” “Instead we saw a step farther to the left than if we did nothing at all.”