Monday, August 02, 2010

Republicans Want to Keep Their Bush Tax Cuts and They'll Stomp Their Feet Until They Get Them | Video Cafe

Republicans Want to Keep Their Bush Tax Cuts and They'll Stomp Their Feet Until They Get Them

One of the resounding themes we heard from the talking heads last week was the we need to keep those Bush tax cuts in place and that if they're allowed to expire, it's going to harm small business and the "job creators".

Bob Cesca passed on this graph from the Wall Street Journal of all places that illustrates just who those tax cuts have benefited and who they're going to harm if they're allowed to expire without a fix, like our middle class. As the chart shows you have to be making $300,000 a year or so before allowing them to expire starts to hit you.

Republicans have done nothing but shamelessly stood up for their ultra-rich campaign donors.

As expected.

Except this time, for some reason, people are starting to notice.

1 comment:

alan markus said...

Here's a Democrat who has figured out a way to let the tax cuts expire but not hurt the wealthy:

Democrats want to raise taxes — but only on red states!

"One irony of the tax increase that arrives on January 1 is that the it will hit residents of high-income, Democratic-leaning states like California, Connecticut, New Jersey and New York the hardest. This is a problem for pro-tax Democrats.

Enter New York Representative Jerrold Nadler, who wants to exempt his own six-figure constituents from the tax hike he supports. Mr. Nadler’s bill would “require the IRS to adjust tax brackets proportionally in regions where the average cost of living is higher than the national average.”

In other words, the various tax brackets would apply to residents in certain regions at higher income levels versus other parts of the country. A family with an income of $50,000 or even $1 million in Manhattan would pay less federal income tax than a family with the same earnings in Omaha. The bill is called the Tax Equity Act, but a more accurate title would be the Blue State Tax Preference Act.

Hmmm. Why is it so expensive to live in New York? Oh yeah:

That point about “reality” and the tax code could certainly use some fleshing out, but leave that aside. A big reason the cost of living is so high in Boston, Manhattan and San Francisco is because of high state and local taxes, union work rules, and heavy business regulation that make it more expensive to produce, sell and buy things.

Why should someone in Spokane or Knoxville or Topeka be penalized because New York and California impose destructive policies? Mr. Nadler also conveniently forgets that the federal tax code already subsidizes high-cost states through the deductibility of state and local income and property taxes."