TAXING THE MIDDLE CLASS TO DEATH
Once again, the sneaky pests of the GOP are trying to raise taxes on the middle class to pay for tax cuts for the very rich. Class warfare run by kindergarden thugs.
From the NYT:
President Bush's tax advisory commission indicated on Tuesday that it would not propose replacing the income tax with a national sales tax or a value-added tax, but would recommend limits in the popular tax deductions for mortgage interest and employer-provided health insurance.Sneaky, sneaky! Removing or restricting deductions is raising taxes. Duh. Of course, they will pretend the usual tricks of removing protections and increasing fees and other hidden revenue rasising forms, isn't tax hikes.
The commission, scheduled to make its recommendations to the president by Nov. 1 on how to change the tax system, did not take votes or dwell on details, but its consensus on many important issues was clear.
"We're getting focused on the income tax as a base," said the panel's chairman, Connie Mack, a former Republican senator from Florida.
This is for political reasons. The rich can't tax the poor, this is impossible. They restrict funds flowing to the poor instead. Which has been done already. Now, with little safety net available, the rumblings from below are increasing. Time for the rich rulers to squeeze the middle class. They do this via inflation and restriction of money flowing to the middle class via school loans, etc.
But every time they cut this, the middle screams and they reinstate the spending which is why we are in a budget deficit from hell, created 100% by GOP pandering to the rich during elections, buying the loyalty of corporate America and greedy media owners.
At its last meeting, in July, the commission agreed to recommend abolishing the alternative minimum tax for individuals, a step that would cost the federal government $1.2 trillion in lost revenue over 10 years.Insanity. Looks like FEMA is running this commission!
With a mandate to develop a proposal for changing the tax system that is revenue neutral - meaning it neither raises nor lowers total tax receipts - the commission must find enough revenue to offset the amount now generated by the alternative minimum tax.
We need more revenue! This is painfully obvious, running up $2.5 trillion in debt in five years, rising still, eating up Social Security money at a mad rate, this is insanity. And note that they are cutting taxes to the upper 10% yet again, this minimum tax is designed to get some revenue from people with many deductions.
So why cut deductions to all people via changes to the mortgage deduction? Heh. To spread the pain downstairs, of course.
The panel's vice chairman, John B. Breaux, a former Democratic senator from Louisiana, acknowledged the political difficulty but said, "We've got to make bold recommendations without regard to politics."So, the vice chair is a Democrat who is really a right winger Republican! Louisiana, model for America!!!
Hahaha. Indeed. Well, Louisiana sucks money away from the Northeast just like all the south. And quess who pays these stupid taxes?
That level changes each year and varies depending on housing costs in each county, with a maximum loan limit now of $312,895 in communities where housing is most expensive and a national average of $244,000, according to the housing administration.I am not rich but my farm is valued at $250,000. I once owned a very fine house in New Jersey which in 1984, cost me $120,000 which I fixed up beautifully and sold three years later for $325,000!
Another proposal under consideration was to change the interest deduction to a credit, meaning that taxpayers with the same size mortgage payments would get the same tax break regardless of what tax bracket they were in.
A third idea was to limit the deduction to 15 percent or 25 percent of a taxpayer's mortgage interest payments. The wealthiest taxpayers can now deduct 35 percent of the interest.
I know someone very dear to us that bought a one room condominium in Manhattan for $400,000! This is not "rich" by any means! He needs this mortgage deduction! To the averages the government uses is crazy for it doesn't reflect reality in any of the big cities which produce the most revenue for Uncle Sam. And you know, they won't change these numbers to reflect changes in relative values, market crashes, inflation, whatever.
Just recind the goddamn Bush tax cuts, you morons.
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