Wednesday, September 15, 2010

Special Tax Cuts For The Rich?

Let's compare the Republican and Democrat tax plans. R for Republican, D for Democrat. R plan will extend Bush tax cuts for everyone, D plan will extent tax cuts for only those making up to $250,000 per year. How would either of these affect you? R plan changes estate tax upward to no tax on up to $10 million. D plan makes no change which means no tax up to $2 million(?). How will either of these affect you? R plan will cost almost $400 billion per year for ten years. D plan will cost less than $100 billion per year. R plan will increase interest payments on debt by about $95 billion per year. D plan about one forth as much. So how will either plan affect you? R plan would include a spending freeze on all non-military spending which would save about $30 billion per year. $30 billion against $400 billion. I'm under-impressed and under-whelmed. In-so-far as our debts are concerned, the best course would be to roll back all tax cuts, but to help our economy, the Democrat plan to continue the tax cuts for those making less than $250,000 makes a lot more sense than giving it to the very wealthy. Don't get me wrong, I don't dislike the wealthy, but they really don't need the help. The rest of us do. Oh, by the way. The middle class will probably spend it's tax cut money helping the economy, but the rich only pocket the money, not helping the economy at all. And the small businesses affected include mostly lobbying companies, Haliburton and the like, so that's no loss. All in all, whether you're a Democrat or Republican, the Democrat plan makes the most sense. Don't be fooled by all the "smoke screen talk".

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