July 22, 2011
The Senate Still Scamming
It would appear that the U.S. Senate is in need of some major upsets, the next election cycle:
The plan, released this week by the bipartisan "Gang of Six" senators, punts on many of the most difficult issues, leaving it to congressional committees to fill in the details later. But supporters say it provides a framework to simplify the tax code, making it easier for businesses and individuals to comply while eliminating incentives to game the system. ...The plan would simplify the tax code by reducing the number of tax brackets from six to three, lowering the top rate from 35 percent to somewhere between 23 percent and 29 percent. That could provide a windfall for wealthy taxpayers because the 35 percent tax bracket currently applies to taxable income above $379,150.
To help pay for lower rates, the plan would reduce popular tax breaks for mortgage interest, health insurance, charitable giving and retirement savings. Other tax breaks would be spared, including the $1,000-per-child tax credit and the earned income tax credit, which helps the working poor stay out of poverty.
All told, the plan would amount to a $1.2 trillion tax increase over the next decade, which means that it's all just a political trick. Worse, it's a trick that would increase taxes on productive, charitable middle class families while decreasing them for the wealthy. (Although, the article hints that capital gains taxes might be in for an increase down the road.)
The Senators are hoping, no doubt, that they'll be able to confuse voters with talk about cutting taxes and simplifying the tax code. If that's the case, however, I think they're underestimating the extent to which Americans are now paying attention to such Rhode Islandish schemes.
I don't get it. This sounds like more tax cuts for the rich at the expense of the middle class. What happened to the Democratic party (aka the party controlling the Senate) being about the middle class? Or is this how they think they'll get it past the Republicans in the House? They give tax breaks to the rich in exchange for raising taxes on others?
I would expect the left to go bonkers over this too. But then again, their concerns are the poor. The people below poverty level. Those are people who don't care about mortgage interest, retirement savings, or tax breaks on health insurance.
This just proves that the Republicans and Democrats are BOTH the parties of the rich people and no one is representing the middle class anymore.
Posted by: Patrick at July 22, 2011 9:35 AMThe plan would simplify the tax code by reducing the number of tax brackets from six to three, lowering the top rate from 35 percent to somewhere between 23 percent and 29 percent. That could provide a windfall for wealthy taxpayers because the 35 percent tax bracket currently applies to taxable income above $379,150.To help pay for lower rates, the plan would reduce popular tax breaks for mortgage interest, health insurance, charitable giving and retirement savings.
Thank god that the Republicans are raising our taxes to bail out those poor people earning $400k plus. Congratulations, wingnuts!
Posted by: Russ at July 22, 2011 10:58 AM"What happened to the Democratic party (aka the party controlling the Senate) being about the middle class?"
Welcome to my world. Been asking that question my entire adult life. Nader 2012?
Posted by: Russ at July 22, 2011 11:31 AM"Thank god that the Republicans are raising our taxes to bail out those poor people earning $400k plus. Congratulations, wingnuts!"
Who controls the Senate Russ and when was the last time that Democrats did anything for the middle class?
Posted by: Max Diesel at July 22, 2011 12:22 PMyeah Russs, let's blame the Republicans for this... I thought this was 'bipartisan' plan??? but let's go ahead an blame the Republicans... typical.
God forbid we acknowledge the truth.
dems/liberals don't think the average person can't take care of themselves and want BIG government.
True conservatives (not necessarily today's version of a republican) wants SMALL government, and believe that people CAN and SHOULD 'take care of themselves'.
having said that.. this Congress is HORRIBLE, plain and simple.
we're cutting 17.4 trillion from anticipated increases in spending over the next 67 years... who cares?
revenue is down, period...
the economy s&^cks
now is NOT the time to raise taxes
we need REAL spending cuts RIGHT NOW
we need to figure out just what we're going to do with Medicare/Medicaid and SSI... how viable are these programs and how on earth can we pay for them? Is it time to take an HONEST look at them and decide what's reasonable and what's not?
I can't believe I'm going to say this, but I think we might have a better shot of getting our shyte together here, at the local and state level than the Fed.
does that scare you as much as it scares me?
Posted by: stuckhereinri at July 22, 2011 12:27 PM"Who controls the Senate..."
Good question. I keep asking myself that. When the "superminority" sets the agenda.
"...when was the last time that Democrats did anything for the middle class?"
Not the easiest question to answer. I'm of the opinion that there's not much difference between the two major parties. However, this comes to mind:
"New US consumer protection watchdog opens for business"
articles.boston.com/2011-07-21/business/29798673_1_consumer-financial-products-credit-card-overdraft
The Consumer Financial Protection Bureau will begin this week to enforce dozens of rules that Congress lumped together as part of last year’s overhaul of financial regulations. It will help ensure that credit card holders have a clear understanding of the plastic in their wallets, borrowers are protected from unfair lending, and military families have a dedicated financial watchdog.
Of course, Republicans are dead set against all of that.
Republicans say they will block [Ohio Attorney General Richard Cordray] or any other nominee until the power of the agency and its director are scaled back.Posted by: Russ at July 22, 2011 3:03 PM
"Who controls the Senate..."
Good question. I keep asking myself that. When the "superminority" sets the agenda.
"...when was the last time that Democrats did anything for the middle class?"
Not the easiest question to answer. I'm of the opinion that there's not much difference between the two major parties. However, this comes to mind:
"New US consumer protection watchdog opens for business"
articles.boston.com/2011-07-21/business/29798673_1_consumer-financial-products-credit-card-overdraft
The Consumer Financial Protection Bureau will begin this week to enforce dozens of rules that Congress lumped together as part of last year’s overhaul of financial regulations. It will help ensure that credit card holders have a clear understanding of the plastic in their wallets, borrowers are protected from unfair lending, and military families have a dedicated financial watchdog.
Of course, Republicans are dead set against all of that.
Republicans say they will block [Ohio Attorney General Richard Cordray] or any other nominee until the power of the agency and its director are scaled back.Posted by: Russ at July 22, 2011 3:04 PM
"yeah Russs, let's blame the Republicans for this..."
Let me get this straight, do you think the "compromise" [read sellout] came about out of thin air or was it in response to something?
Don't get me wrong. You should see the letters I sent off to our Congressmen this week.
Posted by: Russ at July 22, 2011 3:07 PM"we need REAL spending cuts RIGHT NOW"
Exactly the wrong thing to do when the economy is tanking. Welcome to 1937.
Russ should come to Washington, D.C. and see who these people are who donate millions and millions of dollars to the Democratic Party and mingle with all these (D) politicians. It would be a real education for him. Real Housewives doesn't even begin to cover their nastiness, selfishness, and hypocrisy. I've been to their houses and cocktail parties - they live in big mansions in lily-white communities far away from public transportation and minorities, run their households through sham corporations for tax loopholes, hire illegal immigrants to rake their leaves and cook their meals while they treat them like crap and make them work unpaid overtime, etc., pictures of them with Clinton, Obama, and Hillary all of their house... yep, real defenders of the poor and middle-class.
Posted by: Dan at July 22, 2011 3:54 PMConsumer Financial Protection Bureau?
Great! Lets expand an already obese government while taxpayers suck up additional bank fees created to off-set 'protections' implemented by another bloated bureaucracy. That will surely benefit the middle class.
Posted by: Max Diesel at July 23, 2011 11:21 AM