The Buffett Rule, Tax Fairness and the 2012 Presidential Race
http://thedianerehmshow.org/shows/2012-04-12/buffett-rule-tax-fairness-and-2012-presidential-race
At the white house yesterday, President Obama continued his push for the “Buffet Rule.” That’s a proposal he says would require the very wealthy to pay the same tax rate as the middle class. The senate is slated to vote on the buffet rule next week. Everyone agrees it’s not likely to pass. The Obama campaign says tax fairness will be a central theme in the 2012 election. But congressional republicans call the measure a political gimmick. And advisers to GOP front-runner Mitt Romney say the president is just trying to divert attention from his economic record. As tax day approaches, a look at the fiscal impact and political implications of the debate over taxes.
Guests
Roberton Williams
principal research associate, the Tax Policy Center, a joint venture of the Urban Institute and the Brookings Institution.
Kevin Hassett
director, economic policy studies, American Enterprise Institute, economic policy advisor to the Mitt Romney campaign.
Michael Linden
Director for Tax and Budget Policy, Center for American Progress
Carol Lee
White House Correspondent, the Wall Street Journal
Comments
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"For everyone to whom much is given, of him shall much be required." ~ Luke 12:48
This will undoubtedly fall on many a deaf ears in this crowd.
However, just look ahead to next Thursdays DRS....Ross Douthat: "Bad Religion: How We Became a Nation of Heretics"
I'm certain that he will take up how christianity has become greedy and no longer follows any of the teachings.... thus explaining how this parable no longer applies. Nice thought, but nice thoughts don't count....
Hey TB:
Maybe you can look up to see how much Christianity or Christian Churches in the US have given to Charity. Not to mention the Hospitals, Homeless Shelters, Food Centers, etc which are run by some of these entities.
Might give you a more positive understanding.
Considering Warren Buffett's secretary makes 200K plus a year and old Warren is in a fight with the IRS to pay less taxes, what were we talking about again? Oh' yea the deceiver and chief wants to raise taxes for the sake of "fairness"
http://www.politico.com/news/stories/0112/72073.html
http://www.forbes.com/sites/paulroderickgregory/2012/01/25/warren-buffet...
http://newsbusters.org/blogs/noel-sheppard/2011/08/29/warren-buffetts-co...
I'm really torn on this one, a part of me applauds any taxation below 20 %. But the multimillionaires should not pay less then everyone else is a pretty good argument. So I suggext a 20% flat tax then everyone gets the same treatment. Then we would actually have equity, and if the government can't afford to live off the budget then they get to learn the joys of the rest of us. Saving up for something you really want.
Removed as duplicate.
Here in Ohio we get a steady diet of Regressive taxation. Corporations or special interest campaign contributors keep getting more tax breaks. They steal revenue citizens voted on that was to go to cities and schools. Then cities and schools are forced to get new taxes,cut wages or employees,or come up with new fees like garbage removal,or red light cameras,to fill the void.
The largest tax increase in my lifetime was done by Ohio`s Bob Taft,Republican. He raised the sales tax,gas tax,license plates,$10.00 a carton on smokes.Cable,permits,you name it,it was raised.Ronald Reagan raised the taxes on working class Americans more than ANY other president.The problem is these guys brand themselves as the tax cutters,and the responsible conservative spenders.HA ! LOL...
This a prime example as to why the American economy has been limping along for 4 years...President Obama and his surrogates have been rolling out useless schemes such as this supposedly Buffet Rule for almost 4 years, and none of these schemes have been worth the time and effort devoted to them by his media allies…our economy still sucks!
In this time of the dwindling middle class and the wealth gap, the Buffet Rule, sends a message to the majority who are not wealthy that those who are are engaged. The actual fiscal effect is small, but should be seen as part of a larger effort, but something good for the mood of the people. This is really similar to the common sacrifice made during WWII.
Ron, Troy, Michigan
mnemecek,
I agree on the flat tax with one caveat. I think the first $30,000 should be exempt. It is VERY difficult to live in the country on less than that and taking taxes out only adds to the burden. After $30,000 everybody, including corporations (they are people too), pays X percent of their income. No deductions, no exemptions (except listed above) and no tax shelters, if it comes in, you pay taxes on it. Seems logical and straight forward, which only means that no one in Washington will pay any attention to it.
Whenever I hear discussions on taxes and Mitt Romney's tax rate brought up, I never hear what President Obama's rate is? Would like to know that since he's wealthy too.
Define tax "Fairness" about half the people pay no federal income tax. Don't hand me that B.S. about social security and medicare, these are pay as you go insurance programs that happen to be broke. Fairness these days means revenge.
I pay 25% or more income tax each year and am poor. I have been unemployed for 34 months and don't have any money to pay what I owe. Please discontinue misrepresenting the proportion of income that poor people in income tax.
An analysis of the tax systems in all 50 states finds that nearly every state and local tax system in the US takes more from middle and low income families. The poorest 20% paid (at 11%) more than double that of the top 1% (who paid 5%), so they derive little or no benefit from the federal offset. Source: Institute on Taxation and Economic Policy (a non-partisan think tank)
http://www.itepnet.org/whopays3.pdf
Considering record corporate profits in 2011, shrinking corporate tax revenues (loopholes), and the growing inequity itself... we are apparently Regressive.
The Obama administration and his Dept of Justice have not brought to justice or prosecuted any of the individuals responsible for the sub prime loan or foreclosure frauds that has brought the US economy to the brink ACCOUNTABLE
How do your guest think this failure to deliver will effect this upcoming election?
Can someone please address the reason no one on Capitol Hill is supporting the FairTax legislation! I am a firm believer that this bill is the best idea available for tax reform, yet it seems that it is not in the news, and hardly anyone with half a brain is on board with it. Am I missing something, because it sounds like a great approach to the problem and it solves countless issues that inhibit economic growth. thanks.
Why do we keep demonizing entrepreneurship in America? Self-reliance defines our American history. We teach students the Calvinist ideal that those who "work hard" will be rewarded. Constant taxation will drain that "can do" attitude, to a "do for me" ethic. Do we really want a citizenry that believes the government shall be our "keeper"?
Mary Schlueter, Partnership for Innovation in Education (www.piemedia.org)
kathleen wrote: "The Obama administration and his Dept of Justice have not brought to justice or prosecuted any of the individuals responsible for the sub prime loan or foreclosure frauds that has brought the US economy to the brink ACCOUNTABLE"
The reason why is the federal government when you clear away all the misinformation was responsible and they don't want you to know it.
With 47% of American`s wages SO low that they owe NO Federal taxes,it should NOT be a boastful talking point.
Our current Governor John Kasich,aka the "Flim Flam Man",upon taking office lowered wages to his non-union office workers by 1/3,then turned around and give out $50,000 raises to his staff members.
American workers are getting screwed on the job. American workers are paying a higher tax rate. Americans workers are fighting inflation. What class war they say.????
libertarians r us,
Just who are these people? I know a lot of people across all income levels and all are paying taxes. Most of us get a tax refund, but that is different than not paying taxes. It is just because we had too much taken out of the paycheck.
The 'C' Street people and their minions are against all collection of data and its analysis. They want no empirical data out there. Their minions make collection of data and its analysis 'impossible', as in certain Virginia Cities.
Wasn't it a Russian who collected the data, and modeling equations, for hydrology and open channel flow. "Communist"
Kepler and Tycho de Brache who collected data and Newton find the equations for planetary motion. FOREIGNER.
The rest of the world is just waiting for AMERICA to show them how and what to do.
There are so many wonderful things to do with tea bags, besides hypnotizing and entrancing the overtired and harrassed, but that is part of the plan.
And, not an exact quote, but Edward Hunter, in his book on the men who survived brainwashing in Korea, noted what all people expderience, hostages that experience Stockholm syndrome, abused wives, victims of cults, etc. He said the tactic is to change the meaning of words and phrases that used to guide you to good and to collect yourself, hence all that you need to stand on your own is now "OF THE DEVIL" You are now a hostage, but, they call everyone else hostage takers.
Where do all the good folk meet, "Cee Street. Cee Street", you know the tune.
Carry on with yourselves, Oh "CEE" Street, and your cottilion.
Former Governor Romney is taking a much more aggressive and deadly stance against Iran based on unsubstantiated claims. President Obama is taking a stance against Iran fueled mostly by many of the same individuals who lied the US into Iran and who have spent the last 10 years repeating these unsubstantiated claims about Iran through out the MSM.
How will the push for a military confrontation with Iran play out in this upcoming election?
Irving Moskowitz, Controversial Backer Of Israeli Settlements, Gives $1 Million To Anti-Obama Super PAC
http://www.huffingtonpost.com/2012/04/12/irving-moskowitz-israeli-settle...
Wouldn't all of this be much simpler if there was a flat national sales tax? No loopholes - you buy, you pay.
What would it take to get this?
Imagine not having to "do your taxes" every year.
Charlotte
Midland, TX
By enacting a "millionaires tax" you show that you CAN raise taxes. It's easy to raise taxes and cut benefits on the vast majority of Americans who have no political voice. While passing this tax may not be effective at reducing the deficit it does show that we are willing to represent ALL Americans by taxing those who's outsize political influence allowed them to skew the tables in their favor. The argument that we can't raise ANY taxes is just a way to enact taxes in other ways and with different names - for instance, pushing Medicaire costs on to seniors is a tax, pure and simple. That is why the wealthy and their various think-tanks have advocated NO tax increases while advocating plenty of cuts in social spending. Let's pass this tax and show that the US actually does have the power to tax those who benefit from our prosperity.
Professor William Black (lawyer, economist, one of the head litigators in the Savings and Loan scandal) has stated that they issued 10,000 prosecutorial referrals during the S&L crisis. That over 1000 people were prosecuted. He has said that the OBama administration has the where with all to prosecute the fraudsters.
Great watch and listen
http://www.youtube.com/watch?v=N_AuvLTJNh0
Mike Sergeant wrote:
libertarians r us,
"Just who are these people? I know a lot of people across all income levels and all are paying taxes. Most of us get a tax refund, but that is different than not paying taxes. It is just because we had too much taken out of the paycheck"
With all the write offs (middle class welfare) most pay little or know federal income taxes, in fact many "middle class" people are net profiteers. You need to have a discussion with your accountant.
I am in the midst of trying to be heard above the din. Can anyone in your panel answer my question? Why is no one on Capitol Hill getting on board with the FairTax legislation? I am convinced it is the best plan available for tax reform but you never hear of anyone else supporting it passionately. Can you offer your opinion? Thanks.
Mary Schuleter,
Self-reliance defines our American history? I can only think on one time that self-reliance defined the period of American history, and that is the time of the Robber Baron. Even the cowboys of the wild west were reliant on each other to get the job done. When was American power in the world at it's height? 1940's to 1970's. We won the War together, we rebuilt Europe together and we built this country into the most powerful, and richest country the world had ever seen together. Strangely (to you way of thinking), during this same time of unparalleled and historic growth and power, the Evil Unions were also at their height of power and influence. People were starting businesses for the good of their families, and community and those that did good gave back to the community that fostered them, not demanded for tax breaks that would cripple the community. The entrepreneur, who's business was growing, was loyal to the people who worked for him (again that person didn't do it alone there was a work force), and in turn they were loyal to him, building this Great Nation together.
I know the libertarians and conservatives are going to attack this notion with all sorts of anecdotal examples, but I point out that almost none of what I have outlined is present today. Loyalty is a foreign concept and everybody is looking out for Number One. No wonder this country is in a mess.
Ok...I'll keep trying. In my opinion, the Buffet Rule completely misses the point of tax reform. People will still be paying on income and capitol gains, etc. The point I think is to pay taxes on what we each desire to purchase. So again...why is no one on Capitol Hill supporting the FairTax legislation?
One of the real issues related to taxes is about the role of "Private Equity" and Companies like Bain Capital, the Company that Mitt Romney ran. When "Sports Authority" enters a market it will put a small sporting goods company out of business. When "Staples" enters a market, it will put a small stationary and office supply company out of business.
Of course, you can say the same thing about any of the large big box businesses like Walmart, Best Buy, Costco, etc. Unfortunately, it is becoming more difficult to be in business without "deeper" pockets.
This is forcing more small businesses to sell to larger businesses or go out of business. The irony is that those large companies see development costs, labor costs, operating costs lower in foreign markets, so this in turn is taking jobs away from Americans.
It seems that the US is just going into a "mature economy" phase. Of course if the Company is Apple, Google, Intel, Facebook maybe there is some hope for the country. The question is for how long will those companies be around, and how many Americans will those companies hire? If not, our country will never have enough tax revenue.
libertairans r us,
just can I take a write off, doesn't mean I should. I realize there is a greater good here and I don't try to gain the system simply because it is allowed. If you conscious allows it the by all means take it.
The middle class are Net profiteers? Really !? Then we have nothing to worry about because we are all making gobs of cash from the government. Great let's raise the rate on them. Oh wait, we have.