http://online.wsj.com/article/SB10001424052970203918304577239201669890634.html The president is moving in the right direction on tax reform. I give him credit for finally understanding what is economically necessary to get this country working again. Now if he could only drop the idea of raising taxes on the wealthy, it would be a full fledged enlightenment.
The top 5 percent of income earners accounts for about one-third of spending, and the top 20 percent accounts for close to 60 percent of spending. That's the kind of spending that moves the economy forward.
Personally, I would eliminate the income tax, the corporate income tax, the capital gains tax, and the death tax. I would, however, implement a 6% derivatives and securities tax on such financial instruments' notional values. I would also adopt a small scale land value tax or a small scale income tax system with a maximum rate of 5% if needed in the long-run. I would institute a massive payroll tax cut, and would put SS, Medicare, and Medicaid "on-budget" so that they are funded primarily by general tax revenue.
Ayuh,.... More smoke, 'n mirrors.... Just the tiny bit of it I've read, will be raisin' my love's Taxes, on her tiny 1 woman operation... Obocare has already slammed her pretty good... It's another plan sold as a Great Deal for the common folk, who end up payin' the bill on it... Nothin' more, nothin' less...
I think the closing of loopholes across the board is right for the course. I do disagree with the President's intention on creating new taxes to cover the costs of making these changes permanent. These tax cuts must be temporary. If the economy improves in the long-run, that is when you raise taxes. However, you do not implement a stabilizer on a tax cut in the short-run. Depending on the severity of the tax increase, it could wipe out any positive effects of the tax cut. In addition, if you close loopholes that serve as a stabilizer, you better ensure that they do not wipe out any positive effects of the tax cut. Of course my analysis will go over the head of most forum posters here.
So, the President is on television and it sounds like memories of what is grandfather might say are being presented. Save America; take care of each other; work; live; and then Suzanne Malveaux cuts in like the Cookie Monster or some sort of 3 minute attention span believer and say - "Blah, blah that's the President see ya later, etc." (while he's still talking). What is this? Now the spokesmodel (not reflective of her previous career as a journalist) is blabbing on about Hosni Mubarak and his problem. Hello? Ms. Malveaux who cares about Mubarak today? Now they are deciding what this man's fate should be and neither of these chicks are even Egyptian. Maybe they just like to chat with their friends on CNN's dime ya' know why don't they just call each other and leave the "news' alone??? eh?
