Thursday, September 29, 2011

TAXES AND THE "RICH"

It is interesting to me that the First Idiot is trotting around whining that the "rich" need to pay their "fair share" of taxes, when they already pay 50-75+ percent of all income taxes (depending on where one draws the line for "rich").
Per the IRS, the top 1 percent of income earners pay 39 percent of all income taxes.
The top 10 percent of income earners pay 70 percent.

In his latest tax increase proposal, he wants the income tax rate on "rich" folks to go from 35 percent to 39 percent.
So, these wealthy, unpatriotic slackers are a full four percent away from paying their "fair share".
Four percent?
But this four more percent represents a tax increase of over 10 percent.

What does not penetrate the cranial processing organ of this, and most other liberal policy lemmings is that increasing tax rates ALWAYS results in LESS tax revenue.
When GWB convinced the Congress to reduce the highest tax rate from 39 to 35 percent in 2001, actual tax revenues went UP.
This happens every time tax rates are cut.

Why?
Because "the government" has no money of its own.
It can only take money from individual productive citizens.
What about the "big corporations", you say?
Where do you think a company - any company, large or small - gets its money?
If you owned a company - any kind of company - where would you get the money to pay your taxes?
You would get it from your customers.
It would be hidden in the prices you charge your customers.
SO - a tax on a business is ultimately paid by individual citizens who do business with that company.
Thus, ALL taxes levied by the government are ultimately paid by individual citizens.

What most people do not understand that that "the government" is not a stand-alone entity with a source of income separate from the general economy at large.
The money pie of any nation is only so large at any given time.
The more of this pie "the government" takes, the less that is left for all the rest of us.
And when "the government" takes your money, IT gets to make the decisions about where and how much is spent.
You don't.
You might agree with some of the spending decisions by "the government" but you likely will not agree with all of them.
Tough noogees.

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