Bernie Sanders introduces millionaire surtax to slash deficit

[Enrique]

Source: Raw Story

WASHINGTON – As Democrats and Republicans battle over how much spending should be cut to bridge the budget shortfall, one senator is focusing on the other side of the equation: revenues.

Sen. Bernie Sanders (I-VT) on Thursday afternoon introduced a bill (pdf) that would establish a surtax on millionaires and strip tax deductions for oil companies -- a proposal he claims would cut the deficit by about $50 billion.

The Emergency Deficit Reduction Act would accomplish this by raising taxes by 5.4 percent on annual income over $1 million.

Congress has yet to pass a budget to fund the government for fiscal 2011, approving three continuing resolutions to avoid a shutdown. The latest expires March 18. The Senate rejected the Democratic and Republican proposals Wednesday.

A NBC/Wall Street Journal poll found late February that 81 percent of Americans believe a surtax on millionaires is an acceptable way to close the budget shortfall.

(...)

Read more: http://www.rawstory.com/rs/2011/03/11/sanders-introduces-millionaire-surtax-to-slash-deficit/

[aquart]

1. God, I love this man. Let's elect more socialists.

[wordpix]

46. it's what Dems used to do and be but now, most are corporate puppets

along with the Reich Wingnuts

[Telly Savalas]

49. Let's just elect more reasonable people.

In the highly unlikely scenario that Sanders' proposal passed, taxes for high-income people would still be considerably lower than under the Eisenhower Administration, and I'd hardly call Ike a socialist.

This is a rather modest and sensible proposal and if its advocates in DC would present it as such they could either build a decent consensus around it or expose the hypocrisy of self-styled deficit hawks (or both).

[NightWatcher]

2. how many ignorant poor people will attack this as they listen to rw marching orders

Save the Billionaires
I can see it on their ten year old beat up minivans

[Plucketeer]

12. I like your vision!

Imagine Koch's underwriting the making and handing out of millions of magnetic ribbons to be stuck on the trunk lidS and van doors of every vehicle in the USA. "SAVE THE WEALTHY!!!! - TAX THE POOR!!!" :crazy:

[Cal33]

37. As long as the news media in our country remain 90% Republican-owned,

they will continue to successfully brain-wash many people with their lies, and
keep them ignorant.

The only way for more liberal-minded people to even the odds is to compete in the
news media field. We've got to own more radio-stations, TV, newspapers, and mags,
and inform the people of the truth. If we don't, we'll continue to lose the battle.

[fittosurvive]

43. As evidenced by the poll cited above,

people are not susceptible to brainwashing as you think.

A NBC/Wall Street Journal poll found late February that 81 percent of Americans believe a surtax on millionaires is an acceptable way to close the budget shortfall.

[Cal33]

48. I'm very surprised and glad that 81% did what they did. But,

unfortunately, for every one such case, there are at least 10 cases
of the opposite. I think, this one case is so obvious. Would you
force poor people to starve to help support something worthwhile,
or would you rather have rich people who can easily afford it to
pay for it? What other answer could there be?

Yet we still have the 19% die-hards who would rather make the poor
starving people pay. Do we have that many sickos in our society?
Apparently, yes!

[peacebird]

3. Bernie Sanders ROCKS!

[OhioChick]

4. Wish there were more like Sanders n/t

[sasha031]

5. one of the few who makes sense in the Belway

unfortunately it won't pass

[Pacifist Patriot]

6. Excellent. Don't expect it to go anywhere, but...

if the Democrats were smart they could use this to expose the GOP's lack of desire to actually address the deficit....oh nevermind.

[Zorra]

7. I love Bernie. He is the best democrat in the Senate. nt

[AnneD]

16. He gives socialists....

a good name.

[mod mom]

28. I've come to realize I, too, am a social democrat like Bernie.

Love him!

[Cal33]

30. I thought he was an Independent.

[_ed_]

38. Sanders is Independent

Not a Democrat.

[Drale]

8. It would probably cut the deficit by more then 50 billion

I'm no economist but if oil company's had to pay their fair share alone it would be more then 50 billion.

[fittosurvive]

45. I have no problem with a surtax; however, oil companies will simply pass

the cost along, which will result in higher costs for consumers.

[Blue Meany]

9. He try tax assets over a few million dollars n/t

[Lorien]

10. 5.4 percent. They would barely feel it nt.

[valerief]

11. If Bernie were our king! nt

[fittosurvive]

42. ...the US would be a monarchy.

[AKDavy]

13. Bernie Sanders

Dennis Kucinich
Ralph Nader
Noam Chomsky
Naomi Klein
Amy Goodman
Chris Hedges

Keeping what's left of the True Left alive.

[ej510]

22. I love Chomsky, but he doesn't consider himself left, he follows

anarcho-syndicalism.

[AKDavy]

26. He's also described himself as "libertarian-anarchist"

Which is how I describe myself.

I could never accept the load of platitudes that came with each of the major political labels. And the liberals selling out to power I've witnessed during my 50 years has been infuriating. Chomsky, Nader and Hedges make the most sense to me, which is why even the mainstream New Liberals sideline and scapegoat them. If Naomi Klein weren't nice to look at, they'd sideline her too.

[fittosurvive]

44. He is definitely not a libertarian.

[LuckyLib]

14. This is what has to happen. Corporations and those who have made their wealth

from them need to pay for the privilege and the rewards of their having risen in the economic stratosphere. If you make over $1million per year, if you have a 5 car garage, homes on both coasts, etc., etc., etc., it's time for the gravy train to be over.

[apnu]

19. I work with a bunch of rich Republicans...

... and every time this topic comes up, taxing the rich and corporations, they always blather on about how those companies will simply leave the U.S. and we'd all get fucked when that happens.

I call bullshit on that when I hear it. I also say: Good, let them leave. America's beautiful and someone will rise up and fill that void. There are tons of small and medium businesses waiting for such an opening.

So let the shit bags pull up stakes and leave, we're better off without them.

[Roland99]

15. K & R !

[Scuba]

17. Bo Bernie Go !!!!!!

[florida08]

18. damn right 81% believe it's acceptable

the question is where is our representative government on this? Obama? Thank you Vermonters for giving us Congressman Sanders..the smartest state in the country.

[rayofreason]

20. If 5.4% yields $50 billion...

...then a 54% boost would get to $500 billion, and 162% would provide $1500 billion, leaving only a $100 billion deficit for this year. $50 billion is a rounding error, so if we are going to get serious we have to talk real money.

According to the IRS the average income for a tax return in the top 0.1 percent was $6.0 million in 2008 (about 140,000 returns), while the average amount of income tax paid was $1.36 million, indicating an average effective individual income tax rate of 22.7 percent. So a 162% increase (what would be needed to really close the budget deficit) would mean an average effective federal income tax rate of 59.5%, plus whatever state and local taxes are collected (about 6% total in MD, for example).

Actually, if you levy a 162% increase on the top 0.1% you only get an additional $308 billion, so I am not sure that the other $1200 billion can really come from people making between $1 and $6 million, but let's assume the Sander's number is correct, and that one really should be aiming for increasing Federal revenue by 10% of GDP ($14 trillion in 2009) in order to deal with the deficit. How would this look in historical context?

The total Federal tax receipt as a percentage of the GDP since 1945 has been remarkably stable around 18% (though state revenues have gone up)

http://www.usgovernmentrevenue.com/revenue_history

despite considerable variation in the marginal tax rates over that period,



So it would seem that any legislation that seeks to increase the Federal take from 18% to 28% of GDP (what is needed to close the deficit through taxes) must be cognizant of the long term trend since 1945, have analyzed and determined the origin of the trend, and have a solution that would reset this 65-year trend to a 55% higher value. Just changing tax rates or imposing surcharges simply will not work since both high tax rates and low tax rates have resulted in the same Federal tax receipt of 18% of GDP for 65 years.

Then one needs to examine the problem of state deficits and unfunded entitlements....

[demigoddess]

21. Is he the only senator with a brain??

this is a perfect idea why don't more senators come up with ideas like this????????????????

[glinda]

23. Wish we had a majority and Bernie as President on top of that.

[hifiguy]

33. rAmen to that, glinda. n/t

[bikebloke]

24. Great!

But all those millionaire congress-corrupts won't vote for it.

[defendandprotect]

25. LOVE you Bernie -- Run for president on the Dem ticket -- please -- !!!

[wordpix]

47. he should run as an indie & get enough votes in polls that O would have to form a 2-bloc alliance

Then put Bernie in charge of the Treasury

[JustAnotherGen]

27. I love that guy

I wish his stuff would get through - just once. I really wish it would get through the process and put into action.

[Kingofalldems]

29. K and R for a great American.

[head of joaquin]

31. That's how it's done

Finally some common sense. But this should be the frame used by the Democrats and Obama -- something they repeat day in and day out.

Instead it will get lost in the Rightwing Noise Machine.

[hifiguy]

32. We need at least 50 more like Bernie

in the Senate, immediately.

[socialist_n_TN]

34. Well at least SOMEBODY is bringing this up........

and it's no surprise that it's Bernie.

[BeyondGeography]

35. Wow, REVENUE can actually be part of the solution?

:silly:

[Enthusiast]

36. Bernie's suggestion is reasonable.

Do any of you Teabag fucks want to argue otherwise?

[Lil Missy]

39. Sounds perfectly reasonable. It's income OVER $1 million a year,

and they've already reaped more on this gravy train.

[Snoutport]

40. love it! nt

[Vidar]

41. You're the best, Bernie. I only wish the Socialists had the numbers

to compete with the two rotten parties we're stuck with.

[shanti]

50. but, but....

he's voting against his own self interests! way to go, bernie!