Follow by Email

Friday, April 30, 2010

America Soars, Right into its Pocketbook

America Soars-Right Into Its Pocketbook

Throughout presidential candidate Obama’s campaign, he promised change that would send America to soaring heights while spreading wealth to every backwoods niche in the country.

And he has done some of that, especially the soaring business. I figured those of you who voted for his pie-in-the-sky dreams might care to see the results of his first sixteen months of soaring.

A few days back, the House Ways and Means Committee released the list of the $670,341 billion in tax increases that he has already signed into law. These taxes total a whopping $2,100 increase for each man, woman, and child in America. Now, that’s what I call soaring.

Remember the ‘no tax increase for incomes under $250,000?” According to Texas Insider, he’s violated that promise fourteen times. But, hey, who’s counting? Keep in mind, this information is not from a liberal or conservative source, but the House Ways and Means Committee. (how truthful they are, you decide)

Under his one-party control regime, he will level new taxes upon individuals and employers who do not buy government-approved insurance; stick a 40% tax on high cost health plans, but exempt union members; increase Medicare taxes on all income; levy a 3.8% tax increase on investments; lower medical deductions by 2.5%; 10% tax increase on UV tanning services; $2,500 annual cap on Flexible Spending contributions; excise taxes on brand name pharmaceuticals as well as medical devices including wheelchairs; and a double penalty for non qualified HAS distributions.

Oh, yeah, I forgot-tax increase on tobacco—naturally.

Also this year, there are several more increases scheduled to kick in:
1. Alternative Minimum Tax will decrease from $46,700 to $33,750 for single filers and from $70,950 to $45,000 for married couples filing jointly
2. No deductions for state and local general sales taxes on federal income tax return.
3. Businesses will not be able to claim a tax credit for research, experimentation, and development.
4. Taxpayers will not be able to claim a deduction for qualified tuition and expenses.
5. School teachers will no longer be able to write off books, supplies and other equipment
6. Five year depreciation of farm machinery and equipment will expire.
7. Donations of books to public schools will no longer be eligible for an enhanced charitable deduction.

How’s all of that for change? Hold on, I ain’t done yet. In 2011:
1. 35% income tax bracket increases to 39.6.
2. 33% bracket will increase to 36%
3. 28% bracket will increase to 31%
4. 25% bracket will increase to 28%
5. 10% and 15% brackets will coalesce at 15%
6. child tax credit will decrease from $1,000 to $500
7. marriage penalty tax will be restored, charging married couples a higher tax rate than individuals on the same total income
8. the “death” tax returns with a 55% maximum rate and a $1 million exemption, after years of decreasing “death” tax rates
9. dependent care tax credit will decrease from $3,000 to $2,400
10. adoption tax credit from $13,170 to $5,000

But that isn’t all. The following tax credits will also expire: energy efficient home appliance; hiring unemployed veterans and disconnected youth; Work Opportunity Tax Credit; the $400 ‘Making Work Pay” credit; electric drive motorcycles, three-wheeled vehicles, low-speed vehicles, and plug-in electric vehicles, most of which are utilized by the handicapped.

Somehow, I don’t believe this is the change the majority wanted. Do you?

No comments: