Bush refuses to deny 'wrong people' relief

Washington Times ^ | 1/10/03 | Joseph Curl

[kattracks]

President Bush yesterday accused Democrats of using "class warfare" to disparage his tax-cut plan.

He said opponents would exclude millions of middle-class taxpayers for being "the wrong people," as charged by Senate Minority Leader Tom Daschle, South Dakota Democrat.

Highlighting his economic-stimulus proposal with a visit to a small flag-manufacturing company in Alexandria, the president said excluding groups of taxpayers because they are more successful or wealthy is inherently unfair.

[Mo1]

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[ImphClinton]

All of this is fine.

However the dividend cut is a clear case of finding a tax cut for only the richest of the rich.

The President lied and said 60% of Americans would benefit there is no way. Nearly all Americans own stock through 401K, IRA or similar retirement accounts. All are currently tax free. High Tech companies do not pay dividends. Most companies that do pay dividends are old money families like the Kennedy's. It is unlikely that more that 5% of the population of America will benefit by this tax cut.

Most unfortunate is it does make sense to have a dividend tax cut. Currently dividends are taxed at a rate of 40% or so. Cut this corporate rate by giving corporations a tax break on dividends. This really would encourage more companies to issue dividends. This would also help all invested in 401k type accounts. Then the 60% might be true.

[cactusSharp]

and YOU just lied too...I know 47 retired parents who
are on fixed incomes who as well get dividend checks
this is more OF THEIR OWN money. If these folks sold their home,sure they have money but that plan is backwards right ? of course it is

[america-rules]

"The President lied and said 60% of Americans would benefit there is no way. Nearly all Americans own stock through 401K, IRA or similar retirement accounts. All are currently tax free. High Tech companies do not pay dividends. Most companies that do pay dividends are old money families like the Kennedy's. It is unlikely that more that 5% of the population of America will benefit by this tax cut. "

Man you're way out there !

92 Million working Americans will get a tax break,
Kennedy isn't a company
Get up to date on the President's package !

You're probably a rat plant but incase you aren't you need to ready a few articles on this site to get educated ?

[ClancyJ]

However the dividend cut is a clear case of finding a tax cut for only the richest of the rich.

Richest of the rich? What about the people trying to live off the dividends to support themselves after they retire. Do they get no help at all until they qualify for welfare?

Or, is it better for the country to have them not invest all their working careers and merely spend and to heck with trying to provide for their old age.

I agree with President Bush - this is class warfare. When people pay the most in taxes, they should be considered at least equal when tax cuts are given. Or, is it the goal to continually increase their burden year after year to carry more and more of America while being considered unworthy of any tax decrease?

This plays into the democrat plan of wealth redistribution. They plan on getting more and more of the tax burden shifted to the rich and away from the continual "lower", "poorer" ones. Then, the wealthy forfeit their wealth to the government and all other Americans while being ignored in any say about the running of the country and its economic policies. Soon, the wealthy are carrying the whole burden without the numbers to vote out the policies that steal their wealth.

[stylin19a]

I don't think that's quite right. Pre-tax dollars invested into a 401k/IRA's are tax deferred, not tax free.

Some 401k's are invested into funds. The funds contain a broad spectrum of stocks in different companies. Some of these stocks will pay dividends. (There are more companies that pay dividends than you might think).

I'm not sure who is right re: the number of people benefiting.
I am quite confident that more people than not, who own stocks in some form or another, are going to benefit.

[kattracks]

BUMP!

[Myrddin]

I received annual dividend checks from PacBell from my ESOP accounts. That continued until I left the company and sold the stock. I did not own very much company stock. My last divident check came in January 1991 for a tidy sum of $119. It just covered the window that my wife bashed out with a rock when she locked her keys in the car in the middle of nowhere. Easy come, easy go.

[glory]

Guess I"m in that minute 5% of yours and I'm not even rich--wow what an exclusive club I'm in. Hey buddy, dividend reinvestment. Lot's of us are doing it outside of IRAs. It makes investing in stocks more accessible for the average joe since you can put in as little as 10.00 at a time. Many blue collars are doing this to boot, many are surprised to find this is an option. The only reason people don't invest is they don't know--plain and simple.

[nicmarlo]

Looks like the White House is taking on Daschole and his remarks about the "wrong people" getting tax relief.

"It's class warfare to say that there are wrong people in America and these wrong people are not deserving of tax relief," said Bush spokesman Ari Fleischer. "The president doesn't look at the American people and say, 'I'm from the government, I know who the right people are — I'm from the government, I know who the wrong people are.' "The president believes that's a divisive approach and the president seeks an approach that unifies people."

-------------------------------------------------------------

(Please Freepmail me if you want on/off my Daschle ping.)

[keats5]

Wow! You know where to get TAX FREE 401Ks and IRAs? Do tell. Where might the rest the the world get these? I can only find the tax deferred versions, and after checking my dictionary, I see "deferred" does not mean "free."

By the way, my apparently very rich parents, lived off their stock dividends after working all their lives as a steel mill helper and secretary. Good thing that under your plan, folks like them would pay the price for their life of excess. They had central heating, two cars and (gasp!) even a gas powered lawn mower. I'm still trying to get over the shame.

You're doing good, comrade. Keep those neurons sparking.

[firewalk]

Thanks for the ping....

& good morning (-:

[Damocles]

I love the smell of sarcasm in the morning.

[katana]

So we may presume you think it's fine that income dollars on which federal taxes have already been paid should be taxed again? If so, we have a philosophic difference. Even if your off hand estimate of "5 %" is correct, what do you personally have against those fifteen million of your fellow citizens?

Besides, it seems to me the main purpose of this is to encourage investment in American equity and at the same time increase spendable dollars for a lot of seniors who, contrary to your estimate, do rely on dividends for a part of their income. The plan makes sense from both a financial and political point of view and, speaking as a conservative Republican, that makes it a win-win.

[cyncooper]

"The president doesn't look at the American people and say, 'I'm from the government, I know who the right people are — I'm from the government, I know who the wrong people are.'

BUMP

[bert]

You're blowing smoke through your hat.

The elimination of the dividend tax will change the way business is done. Your complaint is based on the past, the future will be different because of the cut.

Not mentioned in the fray is small family business where dividends can't be paid because of confiscatory taxation. In my mind, there will be major stimulus from small business owners cutting loose the money now retained by the tax code.

[Redleg Duke]

"Never in the field of economics have so few been given so much at the expense of so many," said Sen. Hillary Rodham Clinton, New York Democrat.

Is she referring to the Welfare Folks sucking off of the rest of us? Or, maybe the Limo Liberals?

[Redleg Duke]

The fact that this individual is not responding to posts tends to indicate a RAT lurker.

[GodBlessRonaldReagan]

The fact that this individual is not responding to posts tends to indicate a RAT lurker.

Check out ImphClinton's profile - he claims to be a lifelong Pub, but advocates a $9/hour minimum wage. Cognative dissonace, anybody?