Barrack Obama is using the “Kitchen Sink” appeal on taxes allowing him to pose as a middle class tax cutter. Posing is something Obama does well; after all he has posed as a US Senator while campaigning for President for most of his term. Kitchen Sink means that he is promising tax cuts for everything and everyone. Let’s combine that with the billions of dollars needed for the government programs that he wants to implement or expand. Unless you are completely ignorant, common sense will tell you this is not possible. One of Obama’s biggest campaign promises is that he’ll cut taxes for 95% of working families. Hell, who wouldn’t love a promise like that? Remember Bill Clinton, he made similar tax cut promises and less than a year later American taxpayers got the bill for Clinton’s reality. So how does Obama back up this 95% claim? Since 33% of tax filers pay no taxes it’s not possible to cut their taxes. Remember when Clinton tried to change the definition of what “is” is? The same thing is happening here. Obama is trying to change the meaning of what a tax cut is. To me, a tax cut means I get to keep more of what I earn. Obama wants to change the definition to include billions of dollars in government handouts. These handouts are cleverly disguised with the more acceptable name “tax credit.” If you follow all the small print you could qualify for one or more of these credits, but you will have to buy the cars they tell you to buy, purchase the insurance they tell you to, see the doctors they tell you to, go to the schools they tell you to and so on. Most people will not be in a position to earn these credits, but they don’t want to tell you that. Even non-taxpayers can earn these and this is accomplished by shifting income from taxpayers to non-taxpayer in the form of welfare checks.
A recent analysis by the Wall Street Journal also suggests that the Obama plan would be a disincentive to work harder. Here is a chart that illustrates that as a family works more to make more money, they lose much larger percentages of their income for each dollar earned. Obama’s current tax plan is being compared to that of Herbert Hoover, a plan that plunged us deeper in to the Great Depression. What is similar is that Obama proposes greater taxes for investors and the “wealthy”. These are the people that provide the employment for most Americans. Below is a listing of some of his proposed tax increases:
- To Increase the top individual income tax rate by 13% and the second individual income tax rate by 10%.
- To Increase the capital gains tax rate by 33%.
- To Increase the tax rate on dividends by 33%.
- To raise the top payroll tax rate by between 16%-32%.
- New payroll tax on employers to help pay for national health insurance.
- Reinstatement of the death tax, which is being phased out under current law, with a new top marginal tax rate of 45%.
- Protectionist trade policies and higher tariff taxes.
The result of all of these increases would be lower employment, less money being reinvested and many businesses closing. At least we won’t have to worry about our taxes. Oh yeah, about our taxes. Most people will see a large tax increase under Obama’s tax plan. It’s the only way he can accomplish his goals.
God forbid that you are successful in the age of Obama’s tax plan. He wants to take the money that you’ve earned and “spread the wealth around, it’s good for everyone.” Here is a link to a short video that shows you just what Obama thinks of anybody that works hard to be successful.
http://www.youtube.com/watch?v=wNuqV7N_bj0
“Spread the wealth around” is Obama’s economic philosophy and is part of Socialism. "Your new tax plan is going to tax me more, isn't it?" the plumber asked, complaining that he was being taxed "more and more for fulfilling the American dream." Obama responds with, "It's not that I want to punish your success. I just want to make sure that everybody who is behind you, that they've got a chance for success too. My attitude is that if the economy's good for folks from the bottom up, it's gonna be good for everybody ... I think when you spread the wealth around, it's good for everybody." His entire plan is wealth redistribution accomplished by increasing taxes on most taxpayers.
This is the type of tax help that most Americans can’t afford and would flush our economy down that kitchen sink’s drain.