Thursday, May 26, 2011
Dems and other Leftists have the idea that if you confiscate the earnings of the wealthy, that’ll pay for everything, and there won’t be a debt problem; plus all their redistribution and payoffs to their donors can continue endlessly, and they can continue to increase spending.
What they do show, besides irresponsibility, is a total lack of understanding of economics, or the moral tale of the goose that lays the golden eggs.
At one time the marginal tax rate was 90%. That was when JFK brought it down. It went back up, to a little lower percentage, and Reagan brought it down. Dems raise taxes at every opportunity, to as high as they can. Since the Dems see no moral reasons for limiting taxes, why not raise it to 100%? They certainly have the mind set.
Starting where we are now, the top 1% of earners, including salaries, capital gains, and dividends, have an income of $380,000 per year. They pay 38% of our nation’s taxes. If the Dems and Obama were to get all that tax money in a lump sum, it would come to about $938 billion. Our debt is over $4 trillion. Not much of a dent.
The top 10% of earners pay 69% of the taxes. Those are people that make about $114,000 a year, certainly not the millionaires the Left says are not paying “their fair share”. To keep paying for all the entitlements and redistribution, where are they going to get the bucks? Mostly it would come from the middle class in the form of hidden taxes and fees.
“Cap and trade” was one way to fleece the middle class, but even filtered through the Leftist Jurassic Press, the huge increase in energy costs to ordinary citizens could not be masked. It’s been put on the back burner for now. They floated the Value Added Tax (VAT), so every level of production of a product gets taxed, in addition to the current point of sale taxes. Of course the manufacturers are going to pass that cost on to ordinary citizens, the middle class. Next is to eliminate mortgage deductions; a cost to ordinary citizens, the middle class. They want to get rid of deductions for state and local taxes, at cost to the middle class. They want to get rid of property tax deductions, at cost to the middle class. They want to raid retirement funds (they’re already doing this with federal employees) and 401K’s, tax your company health insurance as income, and they’ve already reduced the deductions for charitable giving. Meanwhile, nearly half of the citizens pay no income tax. My view is that no matter what the income, a minimum of 10% should be deducted. Everyone benefits in some way from services this country offers, and if there’s no contribution, there’s no appreciation. That half that doesn’t pay up, think they’re entitled.
When one looks at the tax returns of the limousine Liberals, they have huge deductions. Obama certainly did. If these guys believe so much in the goodness of government, why are they deducting anything at all? Why aren’t they paying more voluntarily?
The cold hard truth is the Dems are attacking the middle class more than the rich. They can confiscate all the wealth of the middle class and the wealthy and still coverage of all their redistributionist schemes will not be paid for. When citizens and companies work to increase their incomes, the Left calls them greedy. When the Left uses the sledge hammer of the government to confiscate the wealth of citizens, and they balk at giving up more of their worked for income, then it’s the citizens that are greedy.
Of course the Left isn’t greedy, they’re taking away your income and enriching themselves for your own good.