- Jun 6, 2007
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Republicans call for making the Bush tax cuts permanent for wealthy Americans is dispositive proof they haven't changed, their still the same party that have made things worse in America the same party that has caused the dream of a good middle class life for huge numbers of Americans to disappear! Obviously, they still adhere to this trickle down economics/supply-side economics philosophy which the last ten years has shown beyond a shadow of a doubt that it doesn't work increasing small and big businesses income alone won't create the middle class jobs America needs. This November voters across America need to send the Republican party the message they need to take this platform of lowering the corporate tax rate and the tax rate for the wealthy and permanently stick it in their ear America wants it out of the public debate we want ideas that will bring results!
Republican party big shots like the leader in the House John Boehner and in the Senate Mitch McConnell are continually blasting how can the Democrats not extend the Bush tax cuts for the top two income brackets because not extending them will hurt small businesses whose income falls into this bracket and thus hurt job creation significantly in America because small businesses are the biggest job creators in the U.S. economy. Let's look past the sickening spin going on here and examine the facts. To ordinary Americans the income limit for a business to be a small business, a Mom and Pop business, that warrants sympathy is about $ 500,000.00 per year. Let's consider want it means to not renew the Bush tax cuts for the top two income brackets, it means letting the income rates increase from 33% and 35% to 36% and 39.6% respectively. It is important to consider that America's tax system is a graduated tax rate system so that although the top income bracket taxpayer will be paying a 39.6% tax rate that is only for that taxpayer's income that falls into that top bracket (in 2010 income above $373,000.00) so for all of that taxpayer's income that falls into the lower tax brackets which will not be changed because the Bush tax cuts will be renewed that taxpayer's tax bill will not be changed. Therefore for that business owner that is making what a reasonable American would consider is the ceiling of a small business income, $500,000.00, that small business taxpayer's bill with the Democrat proposed expiration of the Bush tax cuts will be paying an increase of $ 11,000. Isn't it impressive how many jobs such income will create for the American people if the Bush tax cuts are renewed compared to if their not, how can America do without this occurrence, isn't it something how those Republicans are really looking out for ordinary Americans. Obviously, it is a bunch of baloney the Republicans are peddling here about all the small business jobs that will be lost from expiration of these Bush tax cuts.
What is critical in justifying allowing the Bush tax cuts to expire on these top two income brackets is how much America needs the seventy billion dollars per year which on average that will flow into the treasury over the next decade from this tax cut expiration. America's budget deficit will be $1.3 trillion this year and honestly the country is looking at $1 trillion dollar deficits per year for the foreseeable future, most of the next ten years. This is a crisis for America it is morally wrong to pass this kind of debt on to future Americans and it is extremely dangerous for the country's economic well-being to expect to be able to borrow this kind of money! America can't budget cut its way out of this problem the overall federal budget is only $3.6 trillion so the deficits is around 35% of the budget and mandatory spending in the budget amounts to at least sixty percent of the budget. A responsible person has to recognize revenue needs to be raised and there is few options for the country to raise significant revenue, this is a reasonable option returning the country to the tax rates of the Clinton Administration when the economic welfare of the nation was much better than it is now and the U.S. economy was in good shape!
President Obama should make one concession on this issue. He should listen to those members of his own party that are saying extend the highest income Bush tax cuts for incomes like up to $600,000 per year for two more years because the economy is in danger of stalling of going into a double-dip recession and prudent leadership calls for not doing anything at the federal government level that could push the country over the brink here. It is well known that two-thirds of America's economy is based on consumer consumption, increasing taxes on American individuals and families with incomes under $600,000 could collectively significantly reduce consumption or just as bad give the business community the belief it would. President Obama shouldn't gamble with America's future like this, he being a basketball player should know that when you have the game won (the recession is beaten) you run out the clock!
Republican party big shots like the leader in the House John Boehner and in the Senate Mitch McConnell are continually blasting how can the Democrats not extend the Bush tax cuts for the top two income brackets because not extending them will hurt small businesses whose income falls into this bracket and thus hurt job creation significantly in America because small businesses are the biggest job creators in the U.S. economy. Let's look past the sickening spin going on here and examine the facts. To ordinary Americans the income limit for a business to be a small business, a Mom and Pop business, that warrants sympathy is about $ 500,000.00 per year. Let's consider want it means to not renew the Bush tax cuts for the top two income brackets, it means letting the income rates increase from 33% and 35% to 36% and 39.6% respectively. It is important to consider that America's tax system is a graduated tax rate system so that although the top income bracket taxpayer will be paying a 39.6% tax rate that is only for that taxpayer's income that falls into that top bracket (in 2010 income above $373,000.00) so for all of that taxpayer's income that falls into the lower tax brackets which will not be changed because the Bush tax cuts will be renewed that taxpayer's tax bill will not be changed. Therefore for that business owner that is making what a reasonable American would consider is the ceiling of a small business income, $500,000.00, that small business taxpayer's bill with the Democrat proposed expiration of the Bush tax cuts will be paying an increase of $ 11,000. Isn't it impressive how many jobs such income will create for the American people if the Bush tax cuts are renewed compared to if their not, how can America do without this occurrence, isn't it something how those Republicans are really looking out for ordinary Americans. Obviously, it is a bunch of baloney the Republicans are peddling here about all the small business jobs that will be lost from expiration of these Bush tax cuts.
What is critical in justifying allowing the Bush tax cuts to expire on these top two income brackets is how much America needs the seventy billion dollars per year which on average that will flow into the treasury over the next decade from this tax cut expiration. America's budget deficit will be $1.3 trillion this year and honestly the country is looking at $1 trillion dollar deficits per year for the foreseeable future, most of the next ten years. This is a crisis for America it is morally wrong to pass this kind of debt on to future Americans and it is extremely dangerous for the country's economic well-being to expect to be able to borrow this kind of money! America can't budget cut its way out of this problem the overall federal budget is only $3.6 trillion so the deficits is around 35% of the budget and mandatory spending in the budget amounts to at least sixty percent of the budget. A responsible person has to recognize revenue needs to be raised and there is few options for the country to raise significant revenue, this is a reasonable option returning the country to the tax rates of the Clinton Administration when the economic welfare of the nation was much better than it is now and the U.S. economy was in good shape!
President Obama should make one concession on this issue. He should listen to those members of his own party that are saying extend the highest income Bush tax cuts for incomes like up to $600,000 per year for two more years because the economy is in danger of stalling of going into a double-dip recession and prudent leadership calls for not doing anything at the federal government level that could push the country over the brink here. It is well known that two-thirds of America's economy is based on consumer consumption, increasing taxes on American individuals and families with incomes under $600,000 could collectively significantly reduce consumption or just as bad give the business community the belief it would. President Obama shouldn't gamble with America's future like this, he being a basketball player should know that when you have the game won (the recession is beaten) you run out the clock!
