Thursday, March 17, 2011

Don't Tax the Rich or Corporations! GOP Regressive Taxation

First read this, from earlier, from
Early this month, Democratic Rep. Marcia Fudge of Warrensville Heights appeared on C-SPAN’s "Washington Journal," public affairs television program where viewers phoned in to ask her questions.
A caller who identified himself as James, an Akron small-business owner, discussed some of the tax write-offs he uses as a small businessman, and said larger businesses "game the system" by writing off things like parties, food and clothes.

Fudge agreed with him, calling for an overhaul of corporate tax policy, saying: "There are corporations in this nation, some of the biggest corporations in this nation, who do not pay taxes."
Then read this, from this afternoon online STrib article:
The high-octane political fight over taxes at the Capitol got a new source of fuel Wednesday: a statewide study that finds lower- and middle-income households are hit hardest by Minnesota's tax system.

"Minnesota's tax system is more regressive than it was a decade ago," acting Revenue Commissioner Dan Salomone said Wednesday. "Despite a slight improvement over the last study, the system remains notably more regressive than the historical average since 1991."
How much more clearly do we need to connect the dots that our conservatives want a bad, regressive, unfair tax policies, which benefit the rich and which benefit big corporations - in other words, their donors, not citizens of this state or this country, including not the small business owners?

1 comment:

  1. Are you familiar with the very cynical statement that has been made by politicians to explain why they push for things in face of commonsense :
    "you have all the arguments, but we have the votes" ?

    Ohio Congresswoman Fudge is echoing a major problem that is happening in too many states … I have written about Ohio on the MNPoliticalRoundtable link and
    link … newly-elected Republican Governor John Kasich has seen his poll numbers sink with 47% disapproval and 40% approval … but the Republican-managed Ohio House is set to confirm his agenda.

    … then there is Michigan where newly-elected Republican Governor Rick Snyder proposes significant tax cuts for businesses through the elimination of the Michigan Single Business Tax and replacement with a flat 6% tax that would only be paid by businesses that operate in corporate form (meaning that partnerships and other types of business would be exempt.) The net cost is expected to be about $1.8 billion. Snyder's proposal makes up for the $1.8 billion annual loss in income from lower business taxation by increasing the tax burden on individuals--especially the middle and lower income classes because of pension taxation and elimination of the Michigan earned income tax credit. That’s right those retirees who have not escaped to the warmer weather states will now begin to pay state income tax on their pensions … do you think that will help the real estate market there ? The Republican-controlled Michigan legislature will most likely go along.

    But your focus has been on Wisconsin, so you may want to read this OpEd by William Cronon which provides some historical basis of the wings of the Republican Party … ending with the question : “Have you no sense of decency, sir, at long last? Have you left no sense of decency?”

    There is a lesson here … we citizens have become complacent … we have sat out too many elections (my analysis is that MN-GOP did not “win” the legislature ... as in many races, their vote total was essentially the same as in the last off-year election but instead the DFL did attract voters).

    Newt Gingrich has a tagline that has merit … “You loan power to the Government … by our absence in elections, we have empowered Republicans to shape our future … and remember the adage “It is said that power corrupts, but actually it’s more true that power attracts the corruptible. That’s my fear .. the corruptible are in charge.