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July 23, 2010
Coming Soon: Tax Tsunami
Posted by Dave Blount at July 23, 2010 10:31 AM
You think the economy is bad now? Wait awhile: Obama isn't done "fundamentally transforming" it yet. First he spent us into a hole that it will take generations to get out of. Next, he's jacking taxes through the ceiling, snuffing out any hope of long-term economic growth. Investors Business Daily reports that
as of midnight Dec. 31, the death tax returns — at a rate of 55% on estates of $1 million or more.
The main effects of the death tax are to destroy family farms and to prevent family businesses from being passed from one generation to the next. That's only the beginning of the taxes soon to hit us — rich, poor, and shrinking middle class alike:
The lowest bracket for the personal income tax, for instance, moves up 50% — to 15% from 10%. The next lowest bracket — 25% — will rise to 28%, and the old 28% bracket will be 31%. At the higher end, the 33% bracket is pushed to 36% and the 35% bracket becomes 39.6%. …
The marriage penalty also makes a comeback, and the capital gains tax will jump 33% — to 20% from 15%. The tax on dividends will go all the way from 15% to 39.6% — a 164% increase.
Both the cap-gains and dividend taxes will go up further in 2013 as the health care reform adds a 3.8% Medicare levy for individuals making more than $200,000 a year and joint filers making more than $250,000. Other tax hikes include: halving the child tax credit to $500 from $1,000 and fixing the standard deduction for couples at the same level as it is for single filers.
Letting the Bush cuts expire will cost taxpayers $115 billion next year alone, according to the Congressional Budget Office, and $2.6 trillion through 2020.
Then comes a second wave of tax hikes, meant to finance the unwanted ObamaCare power grab. Tax shelters for medicine will be removed, withdrawals from health savings accounts will be taxed, drug manufacturers will be looted mercilessly, and the IRS will be empowered to disallow any tax deductions that it regards as lacking "economic substance."
After that comes the third wave, which will include widening the impact of the alternative minimum tax from 4 million this year to 28.5 million next year. Businesses will be gouged by withholding tax credits and radically limiting depreciation deductions. As with all Obama policies, this will raise unemployment. Tax credits will be snatched away from those trying to get an education. Those who decline to buy health insurance will be taxed brutally, as will real estate transactions.
Our rulers have figured out that we will not rebel before they have bled us dry. It doesn't bother them that the public wants the Bush tax cuts made permanent by a 2 to 1 margin.
Here's Obama lying in our faces about taxes:
To have voted for him once was foolish in the extreme. Anyone who would even consider voting for this lying kleptomaniac a second time has not only no sense, but no pride.
On a tip from G. Fox.