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View Full Version : Why the regime must come after the middle class!



LWW
04-19-2011, 04:44 AM
First, I will not denigrate hard working middle class America by calling them "LITTLE PEOPLE" of "PEOPLE IN FLYOVER STATES" as the elitist leftists of the board who frolic about in power boats getting single digit MPG's while lecturing others on how they should do with less energy.

I will slay the myth that this regime seeks to only tax the rich. Being that they absolutely refuse to spend a thin dime less, and plane ver more grandiose expenditures, the only recourse left for the statists is to crush the middle class with confiscatory tax rates:

http://si.wsj.net/public/resources/images/ED-AN418_1taxes_G_20110417172403.jpg

<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"><span style='font-size: 26pt'><u>Where the Tax Money Is</u></span>
<span style='font-size: 11pt'>Obama targets the middle class while pretending to tax only the rich.</span>

A dominant theme of President Obama's budget speech last Wednesday was that our fiscal problems would vanish if only the wealthiest Americans were asked "to pay a little more." Since he's asking, imagine that instead of proposing to raise the top income tax rate well north of 40%, the President decided to go all the way to 100%.

Let's stipulate that this is a thought experiment, because Democrats don't need any more ideas. But it's still a useful experiment because it exposes the fiscal futility of raising rates on the top 2%, or even the top 5% or 10%, of taxpayers to close the deficit. The mathematical reality is that in the absence of entitlement reform on the Paul Ryan model, <span style='font-size: 11pt'>Washington will need to soak the middle class—because that's where the big money is.</span>

Consider the Internal Revenue Service's income tax statistics for 2008, the latest year for which data are available. The top 1% of taxpayers—those with salaries, dividends and capital gains roughly above about $380,000—paid 38% of taxes. <span style='font-size: 11pt'>But assume that tax policy confiscated all the taxable income of all the "millionaires and billionaires" Mr. Obama singled out. That yields merely about $938 billion, which is sand on the beach amid the $4 trillion White House budget, a $1.65 trillion deficit</span>, and spending at 25% as a share of the economy, a post-World War II record.

Say we take it up to the top 10%, or everyone with income over $114,000, including joint filers. That's five times Mr. Obama's 2% promise. The IRS data are broken down at $100,000, yet taxing all income above that level throws up only $3.4 trillion. And remember, the top 10% already pay 69% of all total income taxes[/b<span style='font-size: 11pt'>]</span>, while the top 5% pay more than all of the other 95%.

We recognize that 2008 was a bad year for the economy and thus for tax receipts, as payments by the rich fell along with their income. So let's perform the same exercise in 2005, a boom year and among the best ever for federal revenue. (Ahem, 2005 comes after the Bush tax cuts that Mr. Obama holds responsible for all the world's problems.)

In 2005 the top 5% earned over $145,000. If you took all the income of people over $200,000, it would yield about $1.89 trillion, enough revenue to cover the 2012 bill for Medicare, Medicaid and Social Security—but not the same bill in 2016, as the costs of those entitlements are expected to grow rapidly. <span style='font-size: 11pt'>[b]The rich, in short, aren't nearly rich enough to finance Mr. Obama's entitlement state ambitions—even before his health-care plan kicks in.</span>

<span style='font-size: 14pt'>So who else is there to tax? Well, in 2008, there was about $5.65 trillion in total taxable income from all individual taxpayers, and most of that came from middle income earners. The nearby chart shows the distribution, and the big hump in the center is where Democrats are inevitably headed for the same reason that Willie Sutton robbed banks.</span>

<span style='font-size: 11pt'>This is politically risky, however, so Mr. Obama's game has always been to pretend not to increase taxes for middle class voters while looking for sneaky ways to do it. His first budget in 2009 included a "climate revenues" section from the indirect carbon tax of cap and trade, which of course would be passed down to all consumers. Such Democratic luminaries as Nancy Pelosi have often chattered about a European-style value-added tax, or VAT, which from a liberal perspective has the virtue of applying to every level of production or service and therefore is largely hidden from the people who pay it.</span>

Now that those two ideas have failed politically, <span style='font-size: 11pt'>Mr. Obama is turning as he did last week to limiting tax deductions and other "loopholes," such as for mortgage interest payments. We support doing away with these distortions too, and so does Mr. Ryan, but in return for lower tax rates. Mr. Obama just wants the extra money, which he says will reduce the deficit but in practice will merely enable more spending.</span>

<span style='font-size: 14pt'>Keep in mind that the most expensive tax deductions, in terms of lost tax revenue, go mainly to the middle class. These include the deductions for state and local tax payments (especially property taxes), mortgage interest, employer-sponsored health insurance, 401(k) contributions and charitable donations. The irony is that even as Mr. Obama says he merely wants the rich to pay a little bit more, his proposals would make the tax code less progressive than it is today.</span>

Mr. Ryan isn't proposing controversial entitlement reforms because he likes pointless political risk, or because he likes being berated to his face from a front row seat, as he was on Wednesday. Medicare and Medicaid spending are consistently growing two to three times faster than the rest of the economy, while Medicare's cash-in-cash-out financing model means that seniors collect far more in benefits than they paid in taxes over their working lifetime. The entitlement state was designed for another era.

Mr. Obama's speech was disgraceful for its demagoguery but also because it contained nothing remotely commensurate to the scale of the problem. If the President had come out for a large tax on the middle class, like a VAT, then at least the country could have debated the choice of paying for the government we have or modernizing it a la Mr. Ryan so it is affordable.

Instead the President will continue targeting the middle class for tax increases to pay for an entitlement state on autopilot, while claiming he only wants to tax the rich. Oh, and we almost forgot: Happy Tax Day.</div></div>


While the lemmings on the left will gladly regurgitate dear leader's lies ... we luckily have people who actually go beyond the state's slogans.

I'll bet you won't find THIS (http://online.wsj.com/article/SB10001424052748704621304576267113524583554.html?m od=djemEditorialPage_h) on the spoon.

LWW &lt;--- Doing the critical thinking and research the far left just won't do anymore.

cushioncrawler
04-19-2011, 09:31 PM
Dubb -- I thort that rich pipple called themselves companys and trusts.
Look into the figures for companys with one or few employees, and trusts.
Thats where the money iz.
That graff only inkloods filers, ie it duznt inklood non-filers, no big deal. And it duznt inklood rich lies. So if u double the figures for the rich u will be kloser to their aktual incomes.
And then double that again to inklood the company and trust guff that i mentioned earlyr u will be kloser yet, but still a ways to go.
mac.

Qtec
04-19-2011, 11:51 PM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">A dominant theme of President Obama's budget speech last Wednesday was that our fiscal problems would vanish if only the wealthiest Americans were asked "to pay a little more." </div></div>

BS. Show me where he said that.

Its no surprise to me that whoever wrote this crap didn't have the guts to put their name to it.

Q

LWW
04-20-2011, 02:43 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body"> <div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">A dominant theme of President Obama's budget speech last Wednesday was that our fiscal problems would vanish if only the wealthiest Americans were asked "to pay a little more." </div></div>

BS. Show me where he said that.

Its no surprise to me that whoever wrote this crap didn't have the guts to put their name to it.

Q </div></div>

HERE (http://www.foxnews.com/politics/2011/04/13/gop-leaders-raise-alarm-tax-talk-obama-deficit-plan/) is one link.

BTW ... the "CRAP" is from the regime itself.

They know the truth ... and they know that you will cling to whatever lie they put on the spoon for you.

Tell the truth, you haven't the foggiest idea who Obama's tax reform actually goes after.

LWW
04-20-2011, 02:48 AM
Mac, you almost have it.

Obama's deception takes advantage of class warfare and voter ignorance.

By raising income tax rates and removing/lessening deductions, the propsed changes will crucify what Gee disdainfully refers to as the "LITTLE PEOPLE" while leaving the "RICH" untouched other than a handful of pro athletes and such.

Qtec
04-20-2011, 02:49 AM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">HERE is one link. </div></div>

Don't give me that crap . Show me the quote.



Q...waiting...........yawn..........

Qtec
04-20-2011, 02:53 AM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"> By raising income tax rates</div></div>

Typical TP brainless crap.

In the stimulus bill, everyone got a tax cut. Obama extended the BUSH tax cuts, also for those who didn't need it.

The fact is, the TP brainless morons were complaining about taxes being too high at the same time taxes HAD NEVER BEEN LOWER!!!!!!!!!!!!!

Q

LWW
04-20-2011, 03:22 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body"> <div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">HERE is one link. </div></div>

Don't give me that crap . Show me the quote.



Q...waiting...........yawn.......... </div></div>

Your illiteracy is not my problem.

And, just for good times, remember this one:

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body"> Q.....find it yourself. </div></div>

or this one:


<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body">I don’t have to prove anything.

Q </div></div>


Grow up nit boy.

Qtec
04-20-2011, 04:05 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: LWW</div><div class="ubbcode-body"><div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body"> <div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">HERE is one link. </div></div>

Don't give me that crap . Show me the quote.



Q...waiting...........yawn.......... </div></div>

Your illiteracy is not my problem.

And, just for good times, remember this one:

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body"> Q.....find it yourself. </div></div>

or this one:


<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body">I don’t have to prove anything.

Q </div></div></div></div>



For all to see.

"Q...show me a quote.

<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">LWW: .....eh...........mmmmmmmmmmmmmm...........ehhhhhh hhhh............mmmmmmmmmmmmm................eh... ...... </div></div>


I called you out, you had no answer. That means I am right and you are the dufus.

Q...live with it,......LOL

Anybody who takes an anonymous post on the WSJ for the truth - without checking it out- .is nuts or stupid..........Q

wolfdancer
04-20-2011, 04:10 AM
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body">Anybody who takes an anonymous post on the WSJ for the truth - without checking it out- .is nuts or stupid..........Q
</div></div>
OR both!!

LWW
04-20-2011, 04:26 AM
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Qtec</div><div class="ubbcode-body">
Anybody who takes an anonymous post on the WSJ for the truth - without checking it out- .is nuts or stupid..........Q </div></div>

Your ability to delude yourself is quite impressive Snoopy.

Much to your chagrin, the literate among us realize that ... in spite of your prayers ... this was not "an anonymous post on the WSJ" as you deceived brother woofie into believing.

It is, in fact, the official opinion of the editorial staff of the WSJ.

That's why the column was in the section dedicated to the official opinion of the editorial staff of the WSJ.