Next Up: a "Flat Tax" for the Rich

Discussion in 'Politics' started by georgephillip, Nov 29, 2010.

  1. georgephillip
    Offline

    georgephillip Gold Member Supporting Member

    Joined:
    Dec 27, 2009
    Messages:
    26,428
    Thanks Received:
    1,265
    Trophy Points:
    215
    Location:
    Los Angeles, California
    Ratings:
    +2,039
    Subtitled: "The Endless Thanksgiving" Michael Hudson chronicles the regressive tax shift off wealth onto wage earner beginning with the 1982 Greenspan Commission ploy "of moving the cost of Social Security and Medicare out of the general budget (where it would have to be financed by taxpayers in the higher brackets) onto the bottom of the scale..."

    The former Wall Street Economist and current professor at UMKC then pulls out his short-term crystal ball:

    "The danger the United States faces today is that the government debt crisis scheduled to hit Congress next spring (when Republicans are threatening to vote against raising the federal debt limit as the government deficit soars) will provide an opportunity for the wealthy to give a coup de grace on what is left of progressive taxation in this country.

    "A flat tax on wage income and consumer sales would 'free' the rentiers from taxes on their property.

    "All governments have to levy taxes – that is, they have to tax somebody.

    "Naturally, the super-rich would like this tax to be shifted off their shoulders onto those who have to work for a living.

    "In diametric opposition to Adam Smith and other putative 'founding fathers' of 'free market' neoliberalism, the super-rich want to shift taxes off 'free lunch' economic rent – off interest, dividends, rents and capital gains – onto wage-earners."

    "This tax shift already has been underway for the past thirty years.

    " It has doubled the proportion of the returns to wealth (interest, dividends, rents and capital gains) enjoyed by the wealthiest 1 per cent, from a reported one-third in 1979 to an estimated two-thirds of the U.S. total today.

    Look for a "fiscal 9/11" around Mothers Day with Alan Simpson headlining as "tax cutter" rather than "tax shifter."

    Think Obama will fold?
     
  2. Oddball
    Offline

    Oddball BANNED Supporting Member

    Joined:
    Jan 3, 2009
    Messages:
    41,428
    Thanks Received:
    8,397
    Trophy Points:
    0
    Location:
    Drinking wine, eating cheese, catching rays
    Ratings:
    +8,409
    Gubmint apparatchiks can't tax their way out of their overspending problem.
     
  3. georgephillip
    Offline

    georgephillip Gold Member Supporting Member

    Joined:
    Dec 27, 2009
    Messages:
    26,428
    Thanks Received:
    1,265
    Trophy Points:
    215
    Location:
    Los Angeles, California
    Ratings:
    +2,039
    Do you favor "user fees" over "taxation"?

    "Instead of being treated as 'entitlements' paid by the highest tax brackets, it is treated as 'user fees' by employees with a cut-off (currently about $102,000) for higher-income earners.

    "The pre-saved 'Social Security fund' was invested in Treasury bills and then lent to the government – enabling it to cut taxes on the higher brackets.

    "'Social Security and Medicare' became a euphemism for giving the government enough 'forced saving' of labor so that the Treasury could cut taxes on the higher income and wealth brackets.'"

    Flat Tax
     
  4. Oddball
    Offline

    Oddball BANNED Supporting Member

    Joined:
    Jan 3, 2009
    Messages:
    41,428
    Thanks Received:
    8,397
    Trophy Points:
    0
    Location:
    Drinking wine, eating cheese, catching rays
    Ratings:
    +8,409
    I prefer controlling and cutting spending.
     
  5. georgephillip
    Offline

    georgephillip Gold Member Supporting Member

    Joined:
    Dec 27, 2009
    Messages:
    26,428
    Thanks Received:
    1,265
    Trophy Points:
    215
    Location:
    Los Angeles, California
    Ratings:
    +2,039
    Would anyone pay taxes in your America?

    If so, would your system of taxation fall more heavily on "earned" or "unearned" income?
     
  6. boedicca
    Offline

    boedicca Uppity Water Nymph Supporting Member

    Joined:
    Feb 12, 2007
    Messages:
    41,808
    Thanks Received:
    12,777
    Trophy Points:
    2,250
    Location:
    The Land of Funk
    Ratings:
    +22,809
    Why should the government place a value judgment on sources of income?

    A low flat tax for everyone combined with shrinking the size of government would benefit everyone except for the blood sucking parasite who feed off of the government picking winners and losers.
     
    • Thank You! Thank You! x 1
  7. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    Yup. And the largest single tax increase ever imposed on the middle class happened on Ronal Reagan's watch/


    Yup, that's the idea -- to give the INVESTOR CLASS a tax free way to make money.

    Naturally.


    Que surprise, huh?


    Yes.
    Will he have any choice?

    All he can do is veto a bill.

    You don't imagine that the DEMOCRATS IN CONGRESS are going to change this, do you?

    They are the same people who (working in conjunction with the Republicans) created this system.
     
  8. Mr. Shaman
    Offline

    Mr. Shaman Senior Member

    Joined:
    May 4, 2010
    Messages:
    23,892
    Thanks Received:
    817
    Trophy Points:
    48
    Ratings:
    +819
    ....As-long-as those spending-cuts impact everyone (else), but you........right?

    :rolleyes:

    [ame]http://www.youtube.com/watch?v=tWMgEp4QlvQ[/ame]​
     
  9. Mr. Shaman
    Offline

    Mr. Shaman Senior Member

    Joined:
    May 4, 2010
    Messages:
    23,892
    Thanks Received:
    817
    Trophy Points:
    48
    Ratings:
    +819
    Ohhhhhhhhhhhhhhhhhh.....so, dividends (from investments) are considered the Holy Grail of income.....and, the 1%ers have some kind o' Divine Right NOT to pay taxes, on them, huh???

    Lemme guess....that's in The Good Book somewhere, right?

    :rolleyes:
     
    Last edited: Nov 29, 2010
  10. georgephillip
    Offline

    georgephillip Gold Member Supporting Member

    Joined:
    Dec 27, 2009
    Messages:
    26,428
    Thanks Received:
    1,265
    Trophy Points:
    215
    Location:
    Los Angeles, California
    Ratings:
    +2,039
    Why should the FIRE sector get a free lunch from those who work for a living?

    Can you name a more obnoxious "blood sucking parasite" than Goldman Sachs (the Pentagon, possibly)?

    "The flat tax is supposed to be accompanied by a European-style regressive value-added tax (VAT). By taxing 'value,' it essentially falls on labor – as in 'the labor theory of value.'

    "The tax does not fall on 'empty' pricing in excess of value – what the classical economists termed 'economic rent,' that element of price (and income) that has no counterpart in actual cost of production (ultimately reducible to labor) but is a pure free lunch: land rent, monopoly rent, interest and other financial fees, and insurance premiums.

    "This economic rent is the major return to wealth.

    "It is grounded in the finance, insurance and real estate (FIRE) sector."

    Flat Tax
     

Share This Page