Happy Tax Day America…and remember, if you decide that your future includes another four years of President Barack Hussein Obama, you will experience the largest tax increase in American history starting 1 January 2013.Tax Day is not just a day for requiring American citizens to cut their annual check to Uncle Sam; it is an opportunity to highlight a series of facts and figures to examine the merits of U.S. tax policy. Given the recent increased discussion surrounding tax reform, this information can assist in determining the most prudent direction to pursue reform:
The Impact of the President’s “Buffett Rule” Proposal:
President’s proposed tax increase would require Americans making over $1 million per year to pay an effective tax rate of at least 30%. The President stated of the Buffett Rule “…if applied to our tax code, could raise enough money” to “stabilize our debt and deficits for the next decade…This is not politics; this is math.”
According to the Joint Committee on Taxation, the Buffett Rule would raise $47 billion over ten years. The President’s budget calls for adding $6.7 trillion to the national debt. The Buffett Rule would cover ½ of 1 percent of the President’s spending plan.
If the government collects the Buffett Rule tax for 250 years, it would not cover the Obama deficit for 2011 alone.
The Buffett rule would pay for 17 days of the President’s deficit spending over the next 10 years.
The House passed Republican budget lowers the debt 62 times more than the Buffett Rule.
The Complex, Inefficient, and Inequitable Internal Revenue Code:
Americans are taxed too much and too often. The average American employee will work 107 out of the 365 days per year to pay federal, state, and local taxes. 29.3% percent of their year is spent working for the government.
In 1955 there were 409,000 words in the entire tax code. There are now 3.8 million words in the tax code.
There are at least 480 tax forms on the Internal Revenue Service (IRS) web site. As a result of this complexity, it takes 300,000 trees each year to create and distribute all necessary tax forms.
To deal with such a convoluted code, the IRS employs 114,000 people. That is double the amount of employees at the Central Intelligence Agency (CIA) and five time the amount of employees at the Federal Bureau of Investigation (FBI).
Americans have been working countless hours to comply with our nation’s burdensome tax code, 6.1 billion hours a year according to the National Taxpayer Advocate.
The Tax Code and American Competitiveness:
On April 1, 2012 the United States claimed the mantle of having the highest statutory corporate tax rate in the world at 39.2%.
According to the World Bank, there have been 133 major corporate tax cuts globally since 2006. None of which were enacted by the U.S.
Of the 33 non-U.S. Organization of Economic Cooperative Development (OECD) countries, 28 cut their corporate rate during the past ten years while two had no change.
2012 marks the 21st year in which the U.S. corporate tax rate has been above the average of OECD nations.
DONATE & VOLUNTEER FOR CONGRESSMAN ALLEN WEST AS HE SEEKS ELECTION IN FLORIDA’S DISTRICT 18
Mr Krauthammer’s op-ed piece clearly articulates Obama’s disastrous bit of wealth redistribution policy entitled the Buffett Rule. It does not impact our debt or deficit and would require some 250 years just to alleviate one year of Obama trillion dollar plus deficits. Bill Clinton pivoted and worked with the GOP led House and Senate, Obama has tripled down. This is a choice between two ideologies which yield two very different futures for America. I challenge my liberal admirers to show me where in the world has a socialist egalitarian State been successful?
At the beginning of his presidency, Barack Obama argued that the country’s spiraling debt was largely the result of exploding health-care costs. That was true. He then said the cure for these exploding costs would be his health-care reform. That was not true.
It was obvious at the time that it could never be true. If government gives health insurance to 33 million uninsured, that costs. Costs a lot. There is no free lunch.
Now we know. The Congressional Budget Office’s latest estimate is that Obamacare will add $1.76 trillion in federal expenditures through 2022. And, as one of the Medicare trustees has just made clear, if you don’t double count the $575 billion set aside for the Medicare trust fund, Obamacare adds to the already crushing national debt.
Three years later, we are back to smoke and mirrors. This time it’s not health care but the Buffett Rule, which would impose a minimum 30 percent effective tax rate on millionaires. Here is how Obama introduced it last September:
“Warren Buffett’s secretary shouldn’t pay a [higher] tax rate than Warren Buffett. . . .And that basic principle of fairness, if applied to our tax code, could raise enough money” to “stabilize our debt and deficits for the next decade. . . . This is not politics; this is math.”
Okay. Let’s do the math. The Joint Committee on Taxation estimates this new tax would yield between $4 billion and $5 billion a year. If we collect the Buffett tax for the next 250 years — a span longer than the life of this republic — it would not cover the Obama deficit for 2011 alone.
As an approach to our mountain of debt, the Buffett Rule is a farce. And yet Obama repeated the ridiculous claim again this week. “It will help us close our deficit.” Does he really think we’re that stupid?
Congressman West on the “Liberal” media, “it’s all about fear.”
Congressman Allen West is interviewed by John D. Villarreal of Conservative New Media on a range of issues including the 2012 Election, President Obama, Presumptive GOP Presidential Nominee Governor Mitt Romney, Tax Policy/The “Buffet Rule,” Government Spending & the National Debt, the media, and more!