December 9, 2010
It will make no difference now, as President Obama, the Republicans and Democrats are going to extend the Bush tax cuts to everyone, including the wealthy. And there’s even more: they’re not going to let the estate tax-holiday expire either, along with a couple of other niceties for the wealthy. But the Old Man just couldn’t pass up pointing out the following articles on the subject.
From The Payroll Tax Holiday Won’t Be Temporary, Jed Lewison said:
“[T]he payroll tax holiday won’t be temporary. Sure, it’s supposed to be for just one year, but if you think Republicans are going to miss an opportunity to demand permanent extension of a tax cut — especially one that covers the cost of Social Security — then you haven’t been living in the same country as the rest of us. In fact, I can already hear Republicans saying that it must be extended, because now is not the time to raise taxes on the American public. And I can hear them now, laughing privately about the fiscal crisis that such an extension will cause for Social Security.
If we’ve learned nothing else from the tax cut deal, it’s that there’s no such thing as a “temporary” tax cut — once a tax is cut, it stays cut. The only exception appears to be for those at the bottom of the income scale — under this deal, taxes will go up on many families earning less than $40,000.
Once the payroll tax is cut, it won’t be going back up — and that’s a prospect Republicans dream about, because they will have finally created the fiscal crisis for Social Security that they’ve been so eager to ‘solve’.” [bold added]
“Laughing privately” is just what the Republicans do when they’ve stuck it to the American people.
Retiring Republican Representative Connie Mack now says tax cuts for the rich won’t help small businesses. Where was he when every other Republican in Congress was screaming out that it would? But now that Mack is leaving Capital Hill, he’s suddenly became “honest”. It’s like a death-bed confession: “God, please forgive me for all my sins.”
Republican Senator George Voinovich is also speaking out now on his true feelings about extending the tax cuts. I guess that’s because he’s retiring too. He says he’s going to vote no on everything, because by extending the tax cuts there will no incentive for Congress to take up tax reform. He goes on to say “We borrowed the money to pay for the first one; we borrowed money from China to give me a tax break; we borrowed money to pay for our wars; I’m tired of borrowing money.” All very true, but these are words you’ve never heard from Voinovich or ever would have had he not be retiring.
And, of course, we’ve got the Republicans voting “No” on awarding seniors the $250 Social Security one-time check due to no COLA increases for seniors over the past two year. Their excuse is that we can’t afford the $14 billion cost: “Increasing our nation’s crushing deficit on the backs of our children by an additional $14 billion is wrong.” But they see nothing wrong with strapping the $133 billion tax cut cost for millionaires and billionaires “on the backs of our children”.
Never underestimate the difficulty of changing false beliefs [with] facts.
Economist Henry Rosovsky