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It's your money, don't let them take it without a fight
Chicago Sun Times ^ | October 10, 2005 | BY JOSEPH BAST

Posted on 10/10/2005 9:53:19 AM PDT by .cnI redruM

Governments in the United States take approximately 40 percent of the country's total income in taxes. In other words, nearly half of all the income generated each year is sent to governments to spend.

The good news is that a growing number of people pay no federal taxes at all. According to a recent Tax Foundation report, 29 million people had no federal income tax liability in 2000, and the number was expected to reach 44 million in 2004. The bad news is that people who do pay taxes much pay more to make up for those who pay nothing.

Writes Daniel Mitchell at the Heritage Foundation, "According to data from the Internal Revenue Service, the top 1 percent of income earners pay nearly 35 percent of the income tax burden; the top 10 percent pay 65 percent; and the top 25 percent pay nearly 83 percent. The bottom 50 percent of income earners, on the other hand, pay barely 4 percent of income taxes."

Federal income taxes are only a small portion of the taxes we pay. We also pay federal payroll taxes for Social Security and Medicare, state income taxes, state and local sales taxes, property taxes, death taxes and excise taxes.

Except for excise taxes, these taxes fall most heavily on the most productive members of society. This doesn't make excise taxes better: They fall randomly and unfairly on people based on their habits and needs without regard to their ability to pay or their use of public services.

The growth of government spending is what makes this tax burden necessary. The federal budget grew 14 percent in President Bush's first three years, with discretionary spending growing nearly 50 percent. The 2006 Bush budget would increase the Department of Education budget by 40 percent since 2001 and the Department of Commerce budget by 85 percent. Bush's 2006 budget was supposed to be an "austerity" budget that finally would rein in spending, but it started with a proposed 3.6 percent increase in federal spending and has taken wing from there. The energy and transportation bills signed by the president are budget busters, and the just-announced spending to "rebuild New Orleans" is likely to make 2006 another record-breaker.

If government is too big, as Republicans love to chant, why is it growing larger and at a record pace with a Republican president and Republicans in control of both houses of Congress? Why did it grow at a slower rate when Bill Clinton was in the White House?

Meanwhile, state governments have been indulging in their own spending orgy. Between 1990 and 2000, total state spending grew by a staggering $512 billion, or 89 percent. All of that new built-in spending is moving through today's budgets like a pig through a python, causing state politicians to cry about "budget cuts" even as they reap record revenue increases due to the reviving national economy.

Voters need to hold to the fire the feet of elected officials, and especially Republicans who pretend to be pro-taxpayer. Officials who cut taxes and balance budgets need to be rewarded with success at the ballot box, and those who raise taxes and increase spending should be targeted by taxpayer groups and lose elections.

Tax and expenditure limits, such as Colorado's Taxpayers' Bill of Rights, are a structural solution to the problem of too much spending during good economic times and tax hikes during bad times. (It limits government spending to growth in population and inflation and returns surpluses to taxpayers.) Efforts are under way across the country to adopt TABOR through referendums and initiative where they are allowed, or legislatively if not. Those efforts deserve everyone's support.

Voters need to be far more aggressive in opposing excise taxes and so-called sin taxes. These taxes often pass by dividing the public -- pitting smokers against nonsmokers, beer drinkers against nondrinkers, tourists against residents, and so on. They are easily hidden from taxpayers, a good example being the Spanish-American War tax on telephone service.

Privatization and outsourcing of government services are widespread, have been closely studied, and typically increase the quality of services provided while reducing spending. They need to be promoted and aggressively defended against attacks by public-sector labor unions and their allies on the left.

It's easy to complain about taxes and then do nothing to lower them, but how free are you when governments take half or more of your income? Even serfs in the 16th and 17th centuries typically owed their feudal lords only a quarter of their crops and livestock, and often much less.

Our forefathers fought a war for independence over taxes that were far lower than those we now pay without complaint. It's time we got up off our sofas and demanded real tax relief.


TOPICS: Business/Economy; Editorial; Government; News/Current Events
KEYWORDS: cutspending; tabor
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To: Baynative

"The good news is that a growing number of people pay no federal taxes at all. According to a recent Tax Foundation report, 29 million people had no federal income tax liability in 2000, and the number was expected to reach 44 million in 2004. The bad news is that people who do pay taxes much pay more to make up for those who pay nothing. "

And the RATS are screaming to the country that only the wealthy get tax breaks. I think they meant to say that anyone who paid taxes got a tax break.


21 posted on 10/10/2005 11:17:36 AM PDT by EQAndyBuzz (Liberal Talking Point - Bush = Hitler ... Republican Talking Point - Let the Liberals Talk)
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Comment #22 Removed by Moderator

To: FreeAtlanta

several other states have received subsidies for similar "plane art." It will be interesting to see what happens when places like Louisiana have plane art that shows a big pot of gumbo, Idaho paints potatoes on THEIR plane, or the Arizona plane sport Saguaro cactuses in all kinds of interesting poses.


23 posted on 10/10/2005 11:36:19 AM PDT by redhead (I didn't come from no monkey, and the earth is NOT my MOTHER!)
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To: .cnI redruM
Our forefathers fought a war for independence over taxes that were far lower than those we now pay without complaint.

Right. But, now 50% don't pay any or barely any at all, taxes. Thus, 50% could give a rat's hip pockets less if we have high taxes or not. They are getting their full pay checks while I mail in my 40% to the imperial federal,state, city, fire, water, police, gym teachers pension fund, schools, roads, bridges, rails, streets, stop signs, fences, cross walks in the middle of no where, politicians slush funds, politicians retirement packages, politicians vote buying activities, etc. Right, we found a war. Defeated the Brits to earn the right to self govern ourselves and TAX OURSELVES TO DEATH! Might as well have let the Brits say in charge for all the good it is doing us.

24 posted on 10/10/2005 11:53:45 AM PDT by RetiredArmy (All democrats are ENEMIES of the Republic!)
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To: Baynative

Source this for me, I'll burn Bev Woods with the info.


25 posted on 10/10/2005 3:10:45 PM PDT by bigfootbob
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To: RetiredArmy

... true and clearly the problem is the 50% that pay no federal tax. The loss and misuse of huge monies is rampant and escalating. It just goes 'missing' and no one 'knows' anything about where it went.

Ridiculous.


26 posted on 10/10/2005 4:40:53 PM PDT by Countyline
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To: .cnI redruM

MISES: FREE E-BOOK: The Power to Destroy, The Income Tax: Root of All Evil

http://www.mises.org/fullstory.aspx?control=1477

If we run into such debts as that we must be taxed in our meat and in our drink, in our necessaries and our comforts, in our labors and our amusements, for our callings and our creeds, as the people of England are, our people, like them, must come to labor sixteen hours in the twenty-four, and give the earnings of fifteen of these to the government for their debts and daily expenses; And the sixteen being insufficient to afford us bread, we must live, as they do now, on oatmeal and potatoes, have no time to think, no means of calling the mismanagers to account; But be glad to obtain subsistence by hiring ourselves to rivet their chains around the necks of our fellow sufferers; And this is the tendency of all human governments. A departure from principle in one instance becomes a precedent for a second, that second for a third, and so on 'til the bulk of society is reduced to mere automatons of misery, to have no sensibilities left but for sinning and suffering...and the forehorse of this frightful team is public debt. Taxation follows that, and in its train wretchedness and oppression. -- Thomas Jefferson

27 posted on 10/10/2005 5:19:31 PM PDT by thinking4me (The Founding Fathers were right: sound money first)
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To: Mulch

The problem is that both Democrats and Republicans idiotically believe that by spending more of your and my money that they can feel and look good in the eyes of others. Because in their perverted world, the more money they spend on stupid government programs the more "love" and "care" they have. It is a basic human flaw which, unfortunately, those running government are too blind to recognize. 'Tis a pity - and 'tis why we are sitting on about $8 trillion dollars in public debt. The ONLY way to fight this is to somehow tie what government spends to a percentage of the income of its citizens. No more and no less. It will never happen, though.


28 posted on 10/10/2005 7:37:28 PM PDT by DennisR (Look around - there are countless observable clues that God exists)
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