This tax cut is just welfare. Tax cuts are for those paying taxes. Payroll taxes have specified uses (retirement income and health care). The EITC already refunds a large part of payroll taxes for low wage earners. The rats want to rebate even more payroll taxes for low wage earners. Government retirement benefits are already highly skewed to low wage earners. High wage earners barely receive any more benefits than low wage earners.
These tax cuts will be a disaster. These tax cuts will substantially increase the idea that only the rich should pay taxes. The productive part of society will produce less, leading to a much deeper economic crisis.
The federal government had tax revenues of 1.16 trillion in personal income taxes in 2007 along with 870 billion in social security taxes and 370 billion in corporate taxes. Eliminating those three for a year would be around 2.5 trillion which is about the same cost as all the bailouts and proposed stimulus packages.
The federal government had tax revenues of 1.16 trillion in personal income taxes in 2007 along with 870 billion in social security taxes and 370 billion in corporate taxes. Eliminating those three for a year would be around 2.5 trillion which is about the same cost as all the bailouts and proposed stimulus packages.
In the meantime, I presume that I, a working and productive American, will pay less taxes.
I’ll take it.