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Many businesses, the wealthy would feel heavier burden of taxes under Obama plan
KFSM-TV / The Associated Press ^ | February 26, 2009 | Stephen Ohlemacher and Joan Lowy

Posted on 02/27/2009 12:13:01 AM PST by 2ndDivisionVet

President Barack Obama's budget proposal would shift much of the tax burden from middle- and low-income families to the wealthy, while increasing taxes on many businesses.

Oil and gas companies would be hit with big tax increases, as would U.S. companies doing business overseas. Hedge fund and other private equity managers would also see significant tax increases.

Most of the tax increases would be delayed until 2011, when the economy will presumably be improved. Several of the tax cuts would be permanent extensions of those enacted in the economic recovery package this month.

Among them, a new tax credit that provides up to $400 a year for individuals and $800 for couples, and an expanded $2,500 tax credit for college expenses.

The budget outline released Thursday lacked many details about the tax provisions. But the policies represent a clear ideological break from the Bush administration.

Tax cuts enacted under Bush for families making more than $250,000 would be allowed to expire in 2011, increasing the top income tax rate from 35 percent to 39.6 percent. The top capital gains tax rate would be increased from 15 percent to 20 percent.

Republicans and business groups said the tax package would delay an economic recovery that has yet to happen, while Democrats hailed the proposal as a break from the policies that caused the recession in the first place.

"This is a budget about a new era of responsibility," House Speaker Nancy Pelosi said. "This is about accountability, fiscal discipline, cutting waste, fraud and abuse."

Marty Regalia, the chief economist at the U.S. Chamber of Commerce, called Obama's tax proposals "the biggest return to the welfare state that we've seen in decades."

(Excerpt) Read more at kfsm.com ...


TOPICS: Business/Economy; Front Page News; Government; Politics/Elections
KEYWORDS: agenda; bho2009; bho44; congress; economy; obama; porkulus; stimulus; taxes
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Here comes the bill for Porkulus and the Bailout.
1 posted on 02/27/2009 12:13:02 AM PST by 2ndDivisionVet
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To: 2ndDivisionVet

I will be keeping what little money I have left to myself instead of spending it profusely as usual and keeping services workers employed and well tipped. Not anymore. They are going to steal my money to give to themselves or others that never worked for it, I will withhold it from our economy. Too bad good honest working people will ultimately lose their jobs. They can get new one though I suppose with ACORN cheating Americans out of good honest elections etc.


2 posted on 02/27/2009 12:16:25 AM PST by GOP Poet
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To: GOP Poet

Who is John Galt?


3 posted on 02/27/2009 12:17:21 AM PST by 2ndDivisionVet ("To insist on strength is not war-mongering. It is peace-mongering." Barry Goldwater)
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To: 2ndDivisionVet
Maybe he is the one who I saw the other day here at Galt’s Gulch :-). Perfect response. It is amazing the prescience Ayn Rand had. Amazing.
4 posted on 02/27/2009 12:28:04 AM PST by GOP Poet
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To: 2ndDivisionVet

Very strange, thiis article seems to conflict with another article from the AP that I posted here:

http://www.freerepublic.com/focus/f-news/2195181/posts


5 posted on 02/27/2009 12:40:57 AM PST by Tempest (There's a storm coming...)
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To: 2ndDivisionVet

Well, that is going to put a damper on the idea I had for a small business.
I am so sick of the endless warfare against those who take risks and strive to, or have been, successful.


6 posted on 02/27/2009 12:50:37 AM PST by txnativegop (God Bless America! (NRA-Endowment))
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To: 2ndDivisionVet
This is all pretty simple. They tax income not wealth. Keep your income under the 250K mark until this crap goes away. If you make more than that you need to start setting up a deferred income situation. If it is not income you do not have to pay taxes on it.
I will pay down everything so that my income is free and clear. No credit cards, no new cars, and no housing upgrade. I will sit fat, dumb, and happy, on a lower income that actually contains more discretionary dollars until they get rid of this clown.
I will hire my children and pay them well so that I can put my assets in their hands before the death tax takes it from them. I will max out every untaxed gift I can legally give them every year.
If they still mess with me I will be living in another country running my business there.
President barry, I will spend a thousand dollars to keep from giving you a hundred. This type of tax revolt will do one of two things. It will either start a class war between those who have worked for their own money and those who want other people's money, or it will start state by state secession that will end up breaking this country into several separate republics.
The stock market has reacted to each of barry’s speeches by going further down the road toward a total crash. The market is capitalism and it does not like the imposition of socialism. It confirms this by dropping each and every time our new president makes a public speech. I will do what ever I have to so that I am not legally forced to give my hard earned money to the minorities in this country who refuse to get educated, quit their criminal activities, display reproductive accountability, and get a damn job!!! I started with nothing, joined the military, served my country, and was medically retired due to line of duty battle injuries. I used my GI bill to get an education while raising two daughters alone and went on to build a thriving company. I don't even want to hear about how anyone was "kept down" because of their race or never given a chance. Every one of them had the same chances I did. Save you speech for someone else who just might believe you. Then get off your butt and get a job. If the black community continues to listen to the Shaprtons and Jacksons crap they will never have anything of their own unless they got it from someone else who earned it. I feel that our ship of state is not on an even keel and it is time to either put it on and even keel or sink the SOB. Every great nation has ended it's sower stage. Each one of them have self destructed by trying to tax the wealthy for the good of all others. Not one great nation in our worlds history has survived with it's greatness and financial power intact. The USA is just next on that list. Our socialist congress and president have truly given us change. They are changing us into a has been world power.
7 posted on 02/27/2009 1:05:38 AM PST by oldenuff2no (I'm a VET and damn proud of it!!! I did not fight for a socialist America!!!!!!!)
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To: 2ndDivisionVet

It’s sadly Bush chickens coming home to roost, to a large degree. Him being unable to control spending to control the budget just meant that Democrats have an easy time racking up the taxes again in the name of “fiscal responsibility”. Meh, as if.

Tax cuts financed by deficits = Future tax increases waiting to happen.

But hey, don’t you think the department of education could use a few extra billion?


8 posted on 02/27/2009 1:10:44 AM PST by oscars300
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To: All; oldenuff2no

Plan B: http://www.livinginthephilippines.com


9 posted on 02/27/2009 1:11:46 AM PST by 2ndDivisionVet ("To insist on strength is not war-mongering. It is peace-mongering." Barry Goldwater)
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To: oldenuff2no
This is all pretty simple. They tax income not wealth. Keep your income under the 250K mark until this crap goes away.

The problem is that all those taxes on corporations and small business will be passed on to all Americans in the form of highers prices. This isn't a tax increase on the wealthiest American so much as it is a redistribution of the tax burden. In the end, we will have the shared misery that Winston Churchill once talked about.

10 posted on 02/27/2009 1:37:20 AM PST by AlaskaErik (I served and protected my country for 31 years. Democrats spent that time trying to destroy it.)
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To: AlaskaErik
"In the end, we will have the shared misery that Winston Churchill once talked about."

Agree. The coming inflation will result in the lowering of everyone's standard of living. IMHO - the only "Losers" will be those who work, save, plan, etc. to supply the living expenses for those who do not, in exchange for the government allowing them to have a slightly better, but highly regulated standard of living (ex. You are allowed to save some money for a bigger TV, but you can't use it to go out of the country for an immediate, life saving operation).

11 posted on 02/27/2009 2:36:31 AM PST by LZ_Bayonet (There's Always Something.............And there's always something worse!)
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To: Tempest

Indeed. And this http://www.kfsm.com/news/nationworld/sns-ap-fact-check-budget,0,827072.story story...from the same source as the story posted also conflicts with it.


12 posted on 02/27/2009 2:50:56 AM PST by KDD ( it's not what people don't know that make them ignorant it's what they know that ain't so.)
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To: 2ndDivisionVet

The most anit-capitalist President ever.


13 posted on 02/27/2009 3:03:28 AM PST by Always Right (Obama: more arrogant than Bill Clinton, more naive than Jimmy Carter, and more liberal than LBJ.)
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To: oscars300

Ahhh. I see. Bush’s Fault. How original.


14 posted on 02/27/2009 3:34:16 AM PST by rlmorel ("The Road to Serfdom" by F.A.Hayek - Read it...today.)
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To: oscars300
Welcome to FR

Bush's Fault ?

A troll?

15 posted on 02/27/2009 4:32:21 AM PST by TYVets
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To: 2ndDivisionVet

I suspect our $7 a week (pre-tax) will not begin to cover the increased cost of energy, food, transportation, not to mention the whammy when the Bush Tax cuts expire.

Also, the recent pork bills severely underestimate the costs entailed by Obama’s social programs.

In the end there are two classes: those who work for the government and those who work to support the government. He is going to make us all slaves. Ironic, given what he ostensibly symbolizes.


16 posted on 02/27/2009 4:38:04 AM PST by Puddleglum (Freedom works/socialism steals)
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To: GOP Poet

Rush had a caller yesterday that he described at “shrugging.” The family had decided over cereal that morning that it was time for Dad/husband to stop working so much and let their income fall back to 40hrs. a week.


17 posted on 02/27/2009 4:40:39 AM PST by EBH (The world is a balance between good & evil, your next choice will tip the scale.)
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To: TYVets

Gee, way to be a teensy bit too paranoid - pointing out that “Compassionate Conservatism”, I.e. letting spending run amok is bad is hardly controversial on FR. Bush-botism died spring 2007 on FR.

And one of the reasons spending binges are bad is the unfortunate fact that those binges easily lead to tax increases once Democrats take power. To “balance the budget”. Which is what is happening now.


18 posted on 02/27/2009 5:17:15 AM PST by oscars300
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To: EBH
Back in the 70’s I was a technician for a large Computer company and was receiving, for that period, a good wage. My wife was a waitress at a small restaurant in a department store, making at the most about 3-4K a year WITH tips. Total income was about 21K.

We had no children, claimed 0 dependents and, at the end of the year we had to pay up to the state and feds $400-600 at tax time.

I refused overtime as much as I could because it exasperated the situation even worse while most of the OT pay was erased from the weekly check due to the with-draw tables at that time.

Basically, guess I'm trying to say is; Deja Vu!

19 posted on 02/27/2009 5:17:46 AM PST by Wilum (Never loaded a nuke I didn't like)
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To: 2ndDivisionVet
First of all $250k is not "rich". Michelle made OVER $300k in her last "job".

Second many ultra rich supported 0 so let them pay - I have no sympathy.

Third set up several companies to deal with your income. Move some offshore to protect your assets because asset confisaction is coming soon to a town near you.

20 posted on 02/27/2009 5:23:21 AM PST by mad_as_he$$ (Liquidity is a state of mind.)
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