2016 Postmortem
Related: About this forumBoehner's claim that raising taxes on incomes over $250,000 would "destroy small businesses."
The most recent tactic adopted by the most misleading Republicans in reaction to President Obamas call for those with incomes over $250,000 to pay more of their fair share of taxes is to claim that would destroy small businesses. But that is grossly misleading and disingenuous (if not totally dishonest).
The fact is that the personal income tax is on individuals, and therefore on the individual owner of small businesses, not the business itself. Moreover, most very small business owners who have annual personal incomes of between $250,000 and $500,000 have been allowed to pay nothing in income taxes because they been able to deduct all their business expenses (most of which are for personal use as well, like vehicles, home office equipment, travel expenses, etc.). Consequently they are able to pay zero income taxes.
No politician is talking about that, but the fact is that very small business owners with personal incomes like that can certainly afford to pay a fair share of taxes.
Now, President Obamas plea to require those with incomes over $250,000 to pay their fair share of taxes has actually been very clever, because he has cited "The Buffet Rule," which is based on Billionaire Warren Buffet's statement that he should not be able to pay a lower percentage of his income than his secretary.
Mr. Obama's plea has also not only been clever, but also ironic, even though the commercial media has ignored it. For Mr. Obama has used words very similar to the Republicans' biggest hero, Ronald Reagan, in insisting that the wealthy pay their fair share of taxes -- as you can see in a video in the article on Reagan's Legacy -- because Reagan said very clearly that "a bus driver should not have to pay a higher percentage of his income in taxes than a millionaire."
Republicans ignore that, of course, and instead focus on all the things that Reagan said and did that benefitted the wealthiest few at the expense of everyone else, and unfortunately that was Reagans main agenda. He had to pretend otherwise of course, as most Republicans do. And since then the cunning deception of the Reaganites has been incredibly successful in their war on labor unions and everything else that restrained corporate power and profit, and that has had a devastating effect on labor unions, workers rights and benefits, the environment, and the economy.
(Quoted and excerpted from The American Economy: Why It's Broken, and How We Can Fix It.)
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Angry Dragon
(36,693 posts)SmittynMo
(3,544 posts)Boner aint got no facts. He's just out to protect himself and all his rich croonies. I thought he'd buy a vowel this time around, as clearly he still does not get what's going on. Apparantly it still doesn't make a difference, even after spending 500 bucks on a vowel.
TomCADem
(17,387 posts)...under Boehner's definition. Extend tax cuts to those making under $250K and 97 percent of small businesses enjoy the break.
subterranean
(3,427 posts)but only on their first $250,000. Large business owners, too.
LiberalFighter
(50,943 posts)Too many don't understand how taxes are levied.
glowing
(12,233 posts)and need to give up more benefits and pension $. These two ideas do not compute. Most people in America would be only too happy to earn that much a year. The avg family is lucky to see $50,000 a year to live off of.
I think most people would be happy to pay a little bit more in taxes if they were lucky enough to earn that much as a total per year... Especially, if they had been on the other side of the curve earning way less. Really, minimum wage is like $14,000 a year or some such nonsense.
Most people would think making $100,000 or more should pay more in taxes incrementally until the billionaires were really paying their fair share. And after this election where we saw the millionaires literally throw millions away on a worthless candidate, they clearly have more than enough to pay into the treasury to reduce our taxes!!!!
liberal N proud
(60,335 posts)The GOP continues to work for the rich and attacking the middle class.
kestrel91316
(51,666 posts)My business profit (gross receipts minus operating expenses) is more than an order of magnitude less than $250k. And if I DID take home $250k+ I would be so gloriously well off that increased taxes wouldn't phase me.
Proud Liberal Dem
(24,414 posts)I'd love to apply for one! BTW is Rep. Sean Duffy (R-Wisc) still in office and complaining about his paltry $174K annual income?
Hippo_Tron
(25,453 posts)So basically, AFTER taking advantage of dozens upon dozens of deductions available to small businesses, you will have to pay A WHOLE 4.5% more ONLY on your REMAINING income OVER $250,000. Cry me a fucking river...
Angry Dragon
(36,693 posts)it is the republicans fighting for the rich
Make over $5 million/year pay 50%
Make over $4 million/year pay 45%
Make over $3 million/year pay 40%
and that is after deductions
BlueDemKev
(3,003 posts)...
If a small business (even if it's a one-person operation) can't afford to pay 39.6% income tax rate, starting with its 250,001st dollar in a calendar year, then they can INCORPORATE their business and pay the lower corporate tax rate.
Angry Dragon
(36,693 posts)Jeff In Milwaukee
(13,992 posts)The taxes being raised are on personal income taxes. This is the net profit from the small business, so any profits and losses have been calculated BEFORE the business income goes onto the personal return. So raising personal income taxes has absolutely ZERO effect of the profitability of the business.
Utterly Bullshit Argument.
plcdude
(5,309 posts)This is what needs to be stressed - it is on small business owners or anyone else who makes over $250,000 annually from their business or their job. It is not a tax on the small business profits.
Jeff In Milwaukee
(13,992 posts)The higher the individual tax rate, the more inclined I'm going to be, as a small business, to NOT take the cash out of the business and (instead) invest it in new equipment or marketing for new customers or hiring a part-time employee. Higher individual tax rates = greater tax savings for people who reinvest the profits in their business.
Lower tax rates are a disincentive to small business investment.
ladjf
(17,320 posts)SarahM32
(270 posts)Looks like you all agree that the claims of Boehner and the right-wing Repubublicans is deliberate, misleading propaganda.
We know the problem, but what we need a a solution. We need real change and reform, which is not likely to come given the status quo.
That's the reason I quoted that article, because it's part of a comprehensive message discussing the important issues of the day regarding both government and religion, because these days they have become related by Theocrats.
My hope is that you will investigate and explore the message, because it suggests real solutions.
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Myrina
(12,296 posts)... and suppressing wages, downsizing and taxing the shit out of the lower & middle class will do that in a jiffy.
Pretty simple, Mr. TanMan.
meow2u3
(24,764 posts)It really means multinational corporations, multimillionaires, and billionaires, especially those who take advantage of loopholes and tax breaks in such a way that they not only don't pay income taxes, they get freakin' refunds.
yellowcanine
(35,699 posts)Deal with it.