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Thursday, September 16, 2010

The Bush Tax Cuts Should be Extended Across the Board/Restoring Honor Rally (Part 7)

YouTube - Glenn Beck's 'Restoring Honor' Rally pt.7

Today House Speaker Nancy Pelosi said that she is supportive of the Bush tax cuts for the "middle class."  There have been Democrats in the House and Senate urging the President for the Bush tax cuts to be extended due to the condition the national economy is in.  This past Sunday House Minority Leader John Boehner (R-OH) stated that he would be willing to compromise with President Obama and accept extending the tax cuts to the middle class.  He said extending the Bush tax cuts to the middle class is better than no tax cuts at all.  This whole issue of extending the 2001 and 2003 tax cuts is nothing but a dog-and-pony show as far as I'm concerned.  I am not a Bushpot.  I wasn't a Bush fan during his years as president, esp. during his second term.  However, one of the policies of the former president that was right was the 2001 and 2003 tax cuts that he persuaded Congress to pass.  I say that the Bush tax cuts should be renewed and extended across the board to all income levels.  The progressive tax structure in America should be repealed.  It is too burdensome.  It does nothing but punish those who are successful achievers.  Just because a person is a millionaire doesn't mean he should pay over half his income in taxes.  That's not a fair share.  Soaking the rich isn't right.  It's not the government's right to confiscate a persons' income.  I've heard some different proposals concerning different methods of taxation.  One idea I hear of was to abolish the income tax and enact a national sales tax to collect revenue.  However, that's another post in itself.  Until around 1917 under Progressive president Woodrow Wilson, a person's income was taxed.  Federal revenues were collected from tariffs from overseas goods, for example. 

I'm very perturbed over the class warfare that Congress likes to play with the American public.  The government is out to collect all the taxes it can from you.  The more taxes they collect from you, the more control they can exert over our lives.  As the old adage goes, "The power to tax is the power to destroy."  On Friday September 3, 2010, I wrote a post about the Bush tax cuts that are set to expire on January 1, 2011.  I retrieved the information from one of the websites which says that we have six more months to go until the Bush tax cuts expire.   It showed a list of tax increases that would be automatic once the Bush tax cuts expire.  It listed the different types of taxes that would be affected.  It also mentioned some of the new taxes that will be created as the result of the passage of Obamacare in March.  The list of tax increases is disgraceful.  Washington collects enough money.  The problem is Congress refuses to keep spending under control.  It's inexcusable.  That's why we need to encourage our Congressmen to vote to renew the tax cuts which should be across the board.   Congress doesn't have to vote on increasing taxes for next year.  Tax increases will be automatic if the tax cuts aren't renews. 

Why should the Bush tax cuts be renewed across the board?  First of all, it's not the government's money.  Just because I earn the money doesn't mean the government should confiscate half or better of my income.  I do recognize the Biblical mandate about paying taxes.  I'm not opposed to taxation.  Taxation is a must.  You can't pay for a military without taxes.  However, there are proper methods of taxation.  It should be a fair tax where everyone contributes their share in paying taxes--whether it be those with little or no income or those with six-figure incomes.  The progressive tax rate should be abolished.  I'm not going to take the time to throw out ideas on proper methods of taxation.  Years ago I believed taxes should be collected based on a certain percentage across the board.  For example, if the Congress decides to impose a 2% tax on personal income, that 2% tax should be collected from all income levels.  That would eliminate class warfare.  The Democrats love to use class warfare to generate votes from certain minority groups and those on the lower end of the income scale. 

One of the things many Americans don't understand is that in order to grow our economy, it must be grown through the private sector.  The economy isn't grown through the redistribution of income.  It isn't grown by using taxpayer dollars to create more government jobs.  Most of our jobs are created by wealthy Americans.  Poor people don't create jobs.  We don't need to discourage wealthy people from investing in the economy.  The government should extend all kinds of tax breaks on businesses so businesses can grow.  Businesses aren't going to grow when they have to incur extra costs.  In order for the economy to recover from the recession, the private sector must grow the economy.  The problem is the taxes on small businesses along with unnecessary regulations help stifle economic growth.  Another problem is with the passage of Obamacare in March businesses don't know how much money they will have to spend to pay for the increasing costs of healthcare.  Because of the controls the government is trying to impose on business, businesses can't forecast what the economy will be like down the road.  Hence, they can't grow and hire more people. 

Some people believe with the booming deficit the way to pay down the debt is to increase taxes.  This is the worst time to increase the tax rates or add new taxes.  The answer is to reduce the tax burden across the board, including businesses.  If businesses start to hire once again, then there will be new revenue added to the government.  When more Americans are added to private sector payrolls, there will be more taxable revenue collected by the government.  Increasing the tax load when Americans are struggling economically right now is foolish.  Congress can say all they want, but these tax increases on the wealthy will fall upon the middle class.  When business taxes increase, they will pass that tax increase to the customer and as a result customers will have to pay higher prices to purchase the same product.  Therefore, the middle class will be hit if the taxes are increased upon the wealthy.  The bottom line is tax cuts are the correct solution.  It should be spread across the board--both middle class and wealthy.

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