THE REALITY OF TAXATION.
In this or any other heated political season, “Make them pay their fair share!” becomes a deafening roar… The throng is growing louder and louder… but the premise lying at i’s core is a fallacy. It has nothing to do with sound governmental policy, it is class warfare that preys on misinformation and misunderstanding. Plain and simple. I believe one major key to getting past the ill-conceived rhetoric and misplaced venom, is understanding.
First, we must all understand that No One believes that the rich should not pay a higher tax rate than the poor or middle class. THEY SHOULD!
The real issue, is NOT should the “rich” pay more or be taxed at a higher rate… The issue is CAN and SHOULD they really be taxed more?
An intelliegent opinion requires a minmal understanding of current tax policy and the actual repercussions of the proposed change in policy.
If one feels their taxes should go up… the question becomes, why? To what purpose? What societal benefit is to be serviced? Is it to punish them for having more? I would hope not. Do we believe it will actually help the country?
If the goal is punishment, that constitutes little more than theft and obviously not a reasonble position.
If it’s because it will help the country climb out of the black hole of debt our politicians have created, I would be 100% on board with that decision… BUT IT WON’T! Simple math proves this.
Hear are a few little known FACTS.
1. The top 5% of earners already pay over 50% of all federal taxes. Most that yell “fair share” are not aware of this or fact 2 or 3.
2. The top 20% of earners pay almost 70% of all federal taxes.
3. The BOTTOM 43% pay ZERO taxes and the bottom 50% pay almost ZERO federal taxes.
Based on the facts… If one is truly concerned about the rich paying their “fair share“, I don’t think a tax INCREASE would be the conclusion or policy of most. It would be hard to make argument that they don’t already do so.
TAXING THE RICH MORE IS NOT THE SOLUTION… CONTROLLING SPENDING IS.
Even if we took it ALL… everything!… It just wouldn’t wouldn’t help! The solution is not higher taxes… it’s lower spending. It’s called math. SPENDING vs TAXES are so out of balance that If…
The government imposed a 100% tax on people making over $250K
AND confiscated ALL last year’s profits of ALL Fortune 500 companies
AND TOOK ALL assets of the top 400 billionaires…
This massive confiscatory taxing policy would still only fund our government for 8 months!
And then who would they tax? Who’s left? TAXES ARE NOT THE SOLUTION!
SEE http://allsolutionsnetwork.org/blog/economics-how-much-do-you-owe-uncle-sam/#more-82 The fact is that NO amount of tax increases on the “rich” can solve or even improve our nations deficit. IT IS MATHEMATICAL IMPOSSIBILITY. The only REALISTIC option we have is to get spending under control. PERIOD.
Our politicians may be corrupt… but they are not stupid. Any politician that denies this simple fact, is simply lying and engaging in class warfare as a path to re-election and power.