We continuously hear Democrats make the fraudulent claim that tax cuts add to the deficit. We are hearing this same claim right now over the extension of the Bush TAX RATES from 2001 & 2003. Americans need to understand that these extensions are not tax cuts. If the Democrats block this extension, EVERYONE’S taxes increase. Republicans are fighting to keep the tax rates the same.
Spending increases the deficit.
John Hayward reports, via Human Events:
One of the amusing things about watching the Left go to war against itself is the angry chaos as they settle on which fairy tales to believe. A Democrat Party that used to become purple with rage over being called “socialist” just embraced openly-declared socialist Bernie Sanders of Vermont as its new spokesman and folk hero, after he delivered a filibuster against the tax deal that dragged on for longer than the theatrical release of The Lord of the Rings trilogy… and I’m talking about the whole trilogy, not just Return of the King, although the director’s cut of the Sanders speech will restore the scene where the Witch King appears on the House floor and breaks his staff.
On the same evening, Barack Obama effectively resigned the Presidency, turning it over to noted “Third Way” triangulator Bill Clinton, who assured Democrats that the agreement between his predecessor and congressional Republicans was a “good bill” that will “really help America over the long term.” It is impossible for any Democrat to hold a consistent set of beliefs and agree with both Sanders and Acting President Clinton.
Of course, the key insight to Democrat Party economics is that it begins with three truly immutable core beliefs: (1) successful people who are not loyal Party members are evil and must be punished; (2) government spending is both morally and practically superior to free choice; and (3) “progress” means perpetual growth in the size of government. Everything else a given Democrat believes is reasoned backward from these foregone conclusions. They stop being Democrats at the precise moment this is no longer true. I thought it might be useful to review a few of the lies being told about the Clinton tax deal with the Republicans, in the hopes it might prompt a few more people to stop being Democrats – which, to quote the Acting President, “would really help America over the long term.”
First and most importantly, you can dispense with the sanctimonious balloon juice that Democrat politicians care about the federal deficit. Senate Democrats obviously don’t, since they insisted on larding the Clinton tax compromise with all sorts of targeted tax breaks for favored constituencies, after weeks of bleating that refusing to raise taxes was “irresponsible” because it would increase the deficit. No one who paid the slightest attention to the actions of Democrats since they took control of Congress in 2006 would believe they view deficit reduction as a priority, but here’s a fresh reminder. The deficit is only meaningful to the Left when they can use it as a club to beat down resistance to tax increases.
This leads to the important myth about tax reduction causing deficits. No belief is more crucial to the Democrat voter. It’s a lie, and giving it up is like unplugging themselves from the Matrix. There have been four major tax reductions since the implementation of the income tax, and every one of them has been followed by increased tax revenue. Yes, that includes the unspeakable Bush tax cuts, as reported in such right-wing propaganda rags as… The New York Times.
In a July 2006 piece, Edmund Andrews of the Times writes, “An unexpectedly steep rise in tax revenues from corporations and the wealthy is driving down the projected budget deficit this year, even though spending has climbed sharply because of the war in Iraq and the cost of hurricane relief.” Tax receipts after the Bush cuts were about $250 billion over the previous year’s levels.
Revenue increase after tax relief is strongly influenced by who gets the tax relief. Here’s where the 2006 revenue surge came from, according to the New York Times: “Corporate tax payments are expected to exceed $300 billion, up from $131 billion three years ago. The other big increase is an extraordinary jump in individual taxes that were not withheld from paychecks, usually a reflection of taxes on investment income and executive bonuses.” That’s right, kids – corporations, investors, and executives. In other words, The Evil Rich.
Continue reading>>>
Like this:
Like Loading...
Read Full Post »
