Little-Acorn
01-18-2015, 06:14 PM
The liberal political machine is chugging along in high gear, proposing for the umpteenth time that taxes be raised on "the wealthy", despite the fact that they already pay more taxes than any other group. Obama has also proposed an increase in the capital gains tax.
Recall, of course, that during the Clinton administration, the Republican congress passed bills lowering the Capital Gains tax four separate times. Clinton vetoed it three times. And then, faced by an imminent election, he finally signed it, saying it was "broken but we'll fix it later". No "fix" was ever put in place subsequently.
After that decrease in the Capital Gains tax rate, economic activity exploded. Revenue from Capital Gains taxes more than doubled despite the lower rate, and the budget was nearly balanced for three years in a row, due mostly to this increased Capital Gains tax revenue.
(The Federal budget has never show a surplus or balance since 1957. But these capital gains tax rate cuts brought it closer to balancing, than at any other time in living memory.)
Now Obama proposes to reverse that. We can expect the results to reverse, too: Revenue from Capital Gains taxes will likely decrease, contrary to Obama's predictions. How this helps anybody is unclear.
And his proposed tax increases on "the wealthy" will probably result in slowing of job growth or even decreases in job production as large employers have less money to spend on wages and personnel, adding to their increased burdens imposed by Obamacare.
These old, tired liberal "ideas" backfire nearly every time they are tried, resulting in poorer economies, reduced job growth, and smaller paychecks for everyone.
When will the liberals ever learn?
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http://www.forbes.com/sites/robertwood/2015/01/18/obama-pitches-capital-gain-hike-to-31-8-in-simpler-fairer-tax-code/
Obama Pitches Capital Gains Hike To 28% In 'Simpler, Fairer' Tax Code
1/18/2015 @ 12:36AM
Right before his State of the Union address to a Republican controlled Congress, President Obama has thrown down a tax gauntlet, proposing $320 billion in tax hikes. His signature ideas would make community college free, and would extend sick leave to working families. But his massive batch of tax hikes is unlikely to be met with applause, even though he has cleverly invoked Ronald Reagan’s name to sell yet another big capital gains rate hike.
During Reagan’s years, Mr. Obama will note, the top capital gains rate was 28%. Today, our top rate is 20%, right? Not really. President Obama already raised it from 15% to 20%, and even that isn’t accurate. Long term capital gains today are hit with 23.8%, 3.8% being the President’s net investment income tax that was enacted to help fund Obamacare. Of course, that 3.8% tax is only one of many taxes imposed by Obamacare.
Recall, of course, that during the Clinton administration, the Republican congress passed bills lowering the Capital Gains tax four separate times. Clinton vetoed it three times. And then, faced by an imminent election, he finally signed it, saying it was "broken but we'll fix it later". No "fix" was ever put in place subsequently.
After that decrease in the Capital Gains tax rate, economic activity exploded. Revenue from Capital Gains taxes more than doubled despite the lower rate, and the budget was nearly balanced for three years in a row, due mostly to this increased Capital Gains tax revenue.
(The Federal budget has never show a surplus or balance since 1957. But these capital gains tax rate cuts brought it closer to balancing, than at any other time in living memory.)
Now Obama proposes to reverse that. We can expect the results to reverse, too: Revenue from Capital Gains taxes will likely decrease, contrary to Obama's predictions. How this helps anybody is unclear.
And his proposed tax increases on "the wealthy" will probably result in slowing of job growth or even decreases in job production as large employers have less money to spend on wages and personnel, adding to their increased burdens imposed by Obamacare.
These old, tired liberal "ideas" backfire nearly every time they are tried, resulting in poorer economies, reduced job growth, and smaller paychecks for everyone.
When will the liberals ever learn?
------------------------------------------
http://www.forbes.com/sites/robertwood/2015/01/18/obama-pitches-capital-gain-hike-to-31-8-in-simpler-fairer-tax-code/
Obama Pitches Capital Gains Hike To 28% In 'Simpler, Fairer' Tax Code
1/18/2015 @ 12:36AM
Right before his State of the Union address to a Republican controlled Congress, President Obama has thrown down a tax gauntlet, proposing $320 billion in tax hikes. His signature ideas would make community college free, and would extend sick leave to working families. But his massive batch of tax hikes is unlikely to be met with applause, even though he has cleverly invoked Ronald Reagan’s name to sell yet another big capital gains rate hike.
During Reagan’s years, Mr. Obama will note, the top capital gains rate was 28%. Today, our top rate is 20%, right? Not really. President Obama already raised it from 15% to 20%, and even that isn’t accurate. Long term capital gains today are hit with 23.8%, 3.8% being the President’s net investment income tax that was enacted to help fund Obamacare. Of course, that 3.8% tax is only one of many taxes imposed by Obamacare.