Thursday, September 18, 2008

Patriotism and paying taxes

So Joe Biden says that it is patriotic for wealthy Americans to get a tax increase. Hmmm, not sure about the logic there, but hey, nobody ever accused Joe B. of using logic.

But if you follow that train of thought, would Joe say that the nearly 40% of the people who don't pay direct income taxes are UNpatriotic?

While we're on that note, lets take a look at an analysis of the Congressional Budget Office figures by Americans for Tax Reform. The results are very interesting.

...the CBO data also shows that the middle 20% of income earners, the true middle
class, paid only 4.4% of federal income taxes. The bottom 40% of income earners actually paid a negative 3.8% of federal income taxes. That means they got money back on net from the federal income tax system, rather than paying money. The top 40% paid 99.4% of federal income taxes, covering for the negative 3.8% paid to the lowest 40% of income earners.

Now, if you are actually paying attention to some of Obama's words, other than 'hope' and 'change', you will note that he makes the statement that he will cut taxes for 95% of working Americans. But 95% of working Americans don't pay taxes. Evidently 40% actually get money back that they didn't even pay in. So what does a 'tax cut' really even mean to them?

Maybe instead of 'tax cut' Obama should really call his plan what it is; an increase in government hand outs and a surge in the number of Americans dependent on the government. This will come in the form of tax credits. Of course if your number of tax credits exceeds the amount of taxes that you should have paid, then you get money back. Money that you never paid in to begin with.

Tax cut? No. Buying votes? Something like that.

3 comments:

Anonymous said...

I am a prophet... or maybe just smart.

I just read that Biden made this "patriotic" remark and then I said to myself, "Self, I'll bet you $10 that good ol' White Foot Jones has an expose post about this comment... lets go check."

Sure enough...

JonesGardenBlog said...

You always make me laugh, Nick. Glad I could fulfill your prophecy.

kristen said...

Hey now lets not start stepping on tax credits :)

 
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