The Coming Tax War: How Letting the Bush Tax Cuts Expire Could End the Economic Crisis

[babsbunny]

http://www.truth-out.org/the-coming-tax-war-how-letting-bush-tax-cuts-expire-could-end-economic-crisis62154

Friday 13 August 2010

by: Anthony DiMaggio, t r u t h o u t | Op-Ed

The Democrats appear to be sitting on a golden ticket when it comes to ending the economic crisis. Furthermore, the solution to this country's economic woes wouldn't require them to do a thing, short of allowing the Bush tax cuts to expire (as required by law) and appropriating the money for renewed stimulus and in aiding states to cover their budget deficits. Whether the party has the courage to resist Republican and conservative dogmas framing tax cuts as the solution to the crisis remains to be seen.

[Llewlladdwr]

1. I think that the problem with this...

is that letting all the tax cuts expire means that taxes are going to go up for those making less than $250,000.00, which directly contradicts one of the President's campaign promises.

[SCantiGOP]

2. right

What Obama wants to do is renew the cuts for everyone under $200,000/year ($250,000 for couples) which would affect only 2% of the population and bring in about $40 billion a year. GOP is threatening to block it if all catergories aren't included in the extension, but I don't think they have a chance of getting away with that.

[Hannah Bell]

4. no it doesn't. it's perfectly possible to let them expire for the top & continue for the bottom.

top 1% takes 23% of all income.

[LawnKorn]

3. The problem is most of the money has come to rest in the coffers of the rich

The rich have accumulated vast sums of money, but instead of spending, they are just sitting on it. Getting the money that is locked away in the vaults of the rich, and putting it back into circulation in the economy is what is required to get out of this mess.

After reinstating an equatable level of taxation on the richest of American, we need to put in a steep estate tax to prevent accumulation of wealth over generations.