Closing Thought–10May19

Keeping with the economic trend I started a couple of posts ago……

Have you filed your taxes yet?  Did you get a refund?

I have filed and I had to pay.

What about the rest of America?

I mean us real people not those stiff criminals that we call the top 1%.

Did those lovely tax cuts that Trump gave the country benefit the rest of us or were the benefits for his rich buddies?

A new six-month analysis of President Donald Trump’s 2017 tax cuts details how workers received little benefit from the plan, despite the savings many of their powerful corporate employers received.

The Center for Public Integrity (CPI) interviewed independent tax analysts and officials who were involved in the Republican Party’s effort to sell the so-called American Tax Cuts and Jobs Act to the public—and within their own party ranks. Progressive critics have consistently called the law nothing nothing more than a “tax scam.”

The GOP’s insistence on a tax law which included the largest corporate tax cut in U.S. history—from 35 to 21 percent—resulted in companies saving about $150 billion in the first year after the passage in December 2017.

Trump and then-House Speaker Paul Ryan had spent months telling Americans they stood to save hundreds or even thousands of dollars in taxes, with Trump telling one crowd that the average family would see a pay raise of about $4,000, a benefit that would “trickle down” from employers’ corporate tax cuts.

 
This tax policy has done nothing to end the inequality that this country has been plaguing the country for decades……in reality everything we were told about the benefits of the Trump tax cuts was a LIE!
 
If the “economy” is doing so well then why are there no movements in the Middle Class?  As a matter of fact the Middle Class is diminishing every year sinc e the 1990s.
 
And this economy is so good it is making most American miserable……
 
After running a campaign on the idea that America was an impoverished wasteland, Donald Trump has spent his presidency bragging about the economic expansion that began under Barack Obama but continued under him. Though he might be a glutton for credit, Trump isn’t wrong, exactly, when he celebrates the “record economy” in his tweets: Unemployment in the United States is at a 50-year low, the stock market is soaring, and GDP is growing at a brisk clip. Polls have found that people are confident in the state of the economy.
 
 
And yet Americans buy the crap and the lies EVERY TIME!
 
WHY?
 
Lear Stuff!
 
Then VOTE!
 
I want to start my weekend….the ‘honey dos’ are considerable….but with luck it will rain and they will have to wait….(he said with crossed fingers)…….
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Tax Day=Pay Day

Today is when most Americans learn if they owe or get a trefund from the IRS…..the tax reforms of 2017 screwed many Americans out of their deductions…..but as usual corporations get a pay day…..

M-IC will be the big winners on Tax Day……

In tax season, most of us think more about getting our forms in on time—and getting our refunds—than about where our tax dollars actually go.

It’s probably no surprise that a significant portion—24 cents out of every dollar—of your taxes go to the military. But where those dollars go from there should be a national scandal.

Out of those 24 cents, just 5 cents go to our troops. But 12 cents go to corporate military contractors.

For a country that claims to celebrate our troops, with holidays and yellow ribbons and patriotic displays of the flag, we sure don’t put our money where our mouth is. Every year for tax day, my organization looks at where our tax dollars go. And every year, far more money goes to Pentagon contractors than to our troops.

All told, the average taxpayer handed over $1,704 to Pentagon contractors last year, compared to $683 for military pay, housing, and other benefits (except military health care, which has its own agency). Still, the taxes we pay for military contractors are more than twice as much as the average contribution for veterans’ health and benefits ($833).

 
Me?  I broke even this year….I was lucky…..most Americans will not be that fortunate.
 
Little do we know…..nothing good has come out of these tax cuts…….especially for the revenue of the nation…..
 
The_Score-IRS_img
 
 
And believe it or not……the Trump tax cuts are popular only with the uber rich….go figure……

Multiple polls show a majority of Americans don’t think they got a tax cut at all — even though independent analyses show they did. And only around a third of the country approves of the legislation itself, the Tax Cuts and Jobs Act, passed by Congress at the end of 2017.

So as Trump moves closer to full-time reelection mode later this year, he will have to battle a stark reality: While his personal rating on the economy remains high, his signature legislative achievement is widely viewed as a political dud, one that has drawn special anger in places with high state and local taxes and pricey housing markets where deductions were limited to reduce the overall cost of the tax plan.

https://www.politico.com/story/2019/04/15/donald-trump-tax-cuts-unpopular-1273469

Not to worry……this all comes around again next year.

 

Taxing The Rich!

It is TAX DAY!

OMG! That is almost blasphemous these days.

The lie spread is that the less tax the wealthy pay to more economic activity they produce and in turn the better the Middle Class and workers will do.

Pause here for the inevitable dash to the Google machine……..

Just about every viable candidate for the Dems has some plan or other to tax the rich so at least we get something from these people….Warren, AOC, Bernie, Yang et al…..it is a popular meme for Dems this cycle.

The 1990s Democratic Party made friends with the rich. The 2008 Democratic Party was eager to bail them out. The 2019 Democratic Party seems ready to declare war.

In just the past few months, at least three major Democratic Party figures, two of whom are presidential contenders, have proposed large tax increases targeted at the richest Americans:

Rep. Alexandria Ocasio-Cortez (D-NY) floated a big increase in top marginal income tax rates in an interview on 60 Minutes. Sen. Elizabeth Warren (D-MA) proposed an annual wealth tax. Sen. Bernie Sanders. (I-VT) proposed a drastic hike in the estate tax.

There is a way and there is a desire by the people to see the rich to start paying their share of the American Dream……

https://www.vox.com/2019/3/19/18240377/estate-tax-wealth-tax-70-percent-warren-sanders-aoc

How successful will these people be in this endeavor?

If you listen close enough you can hear the big guns of corproate America being prepared for war.

2020 is the voters chance to change the course of the crumbling America……but do they have the guts to step up for change or will they roll over like they have been doing since the 1990s?

How Did The Rich Get Richer?

Closing Thought–20Mar19

If you are social media or watch any main stream media then you have heard all about how the rich got richer…..especially after Trump’s tax cuts…..

May I see a show of hands…..do you know just how did the rich get richer?

Okay would you like to know? Of course you would…it may be one of those issues that helps you who to vote for in 2020….

I could bore the crap out of you with all this monetary policy claptrap or I could turn you on to the cartoons below that make this all so much simpler…….

Something massive and important has happened in the United States over the past 50 years: Economic wealth has become increasingly concentrated among a small group of ultra-wealthy Americans.

You can read lengthy books on this subject, like economist Thomas Piketty’s recent best-seller, Capital in the Twenty-First Century (the book runs 696 pages and weighs in at 2.5 pounds). You can see references to this in the campaigns of major political candidates this cycle, who talk repeatedly about how something has gone very wrong in America.

Donald Trump’s motto is to make America great again, while Bernie Sanders’s campaign focused on reducing income inequality. And there’s a reason this message is resonating with voters:

It’s grounded in 50 years of reality.

https://getpocket.com/explore/item/this-cartoon-explains-how-the-rich-got-rich-and-the-poor-got-poor

Don’t just bitch about stuff……

Learn Stuff!

Closing Thought–21Feb19

More Economic Bad news.

Remember that tax cut thing a year or so ago?

You should! Thanx to that piece of political theater will see most of us with smaller tax refunds.

Remember refunds?

That cash that you get back from the IRS because unlike the rich you paid your taxes…..well yours may well be lower than you anticipated…..

The IRS is out with early numbers on tax refunds in 2019, and people hoping for a bump under the new tax changes are being unpleasantly surprised. In the first week of the filing season, the average refund was $1,865, down about 8% from last year’s average of $2,035, reports Politico. That has left many wondering what happened to the “$4,000 raise” the White House promised families would receive under the tax overhaul. Short answer: People are confusing their refunds with their tax burden. Details:

  • An example: The Washington Post highlights the example of a middle-class New Jersey couple whose income didn’t change but who received $3,000 less this year. “It totally feels like a scam,” says John Prugh. “I did still get a small refund, but compared to what I was expecting from previous years, it was shock.”
  • Feeling the same: NBC News notes that the hashtag #GOPTaxScam has surfaced, with people who have gotten decent refunds for years unhappy to discover that they’re getting far less or are even required to pay.

  • The Issue: Financial experts explain that what these people are overlooking is that their overall tax burden went down; they likely got bigger paychecks during the year, even if they didn’t notice. “There’s a difference between taxes and your refund,” a senior research associate at the Urban-Brookings Tax Policy Center at the Urban Institute tells the Post. “People generally got a piece of their tax cut last year gradually in the form of lower withholding on their paychecks.”
    Lost deductions: The tax law may have lowered tax rates and increased the standard deduction, but it also limited deductions for state and local taxes, per Yahoo Finance. In fact, the new tax code eliminates or modifies many long-used deductions, including those related to mortgage interest, student-loan interest, and moving expenses.
    It’s early: Tax-filing season runs through April 15, and it’s possible trends could change. In fact, people seem to be delaying filing, perhaps because of all the changes: The IRS received 16 million returns in the first week, which is down 12.4% from last year.
    They’re doing it wrong: Those who have traditionally gotten fat refund checks from the IRS may think it’s great, but it’s more likely a sign that they need to examine their withholdings. “A large refund from the IRS may seem like an advantage, but it isn’t the best or most effective use of your cash flow,” a rep from Robert W. Baird & Co. tells CNBC. “You’re basically giving the IRS an interest-free loan.”

Not to worry this is just another way of Making America Great Again.

Some things seldom change…..especially the lies about tax cuts……

Peace Out!

 

It’s Tax Time!

Closing thought–11Feb19

Remember those “great” tax cuts that the Idiots in Congress and the president championed before the 2018 midterms…..they made sure that they always included the Middle Class when they were selling then bragging about their accomplishment?

Remember?

Well now that it is tax time how did we poor SOBs in the Middle Class fair?

T o answer that question….YOU WERE SCREWED!

You Feel For A CON JOB!  (as usual)……

That’s right you slow individuals that believed the GOP about the tax cuts are screwed!

The new tax law does result in some people paying higher taxes (especially over the long term), but the specific issue here is tax refunds rather than total taxes paid. Whether you get a refund or owe extra to the IRS at filing time is a function not just of your total taxes owed, but also of how much tax is withheld from your paycheck by your employer on paydays. And the big story here is that as a result of the new tax law, the Treasury Department tweaked things so that on average taxpayers’ withholdings fell by more than their actual taxes owed.

https://www.vox.com/policy-and-politics/2019/2/6/18214039/irs-tax-refund-withholding-trump

No surprise to me…..tax cuts seldom help the Middle Class and yet the Middle Class buys the bullsh*t EVERY TIME!

The 2017 law was supposed to boost workers’ wages, create jobs, and drive more investment — and as we’ve known for awhile, it’s done none of that. But now we can add two more failures to the creatively-named Tax Cuts and Jobs Act (TCJA): It hasn’t encouraged corporations to return their profits from overseas, and it’s probably hiding a nasty surprise for many Americans come tax season.

Let’s start with the second idea. Lots of Americans work for an employer who sends them regular paychecks. Those employers rely on tables published by the Internal Revenue Service (IRS) to guesstimate how much their employees owe in taxes each year. Then they withhold the necessary increments from each paycheck. Come tax season, every worker settles up with the government. If their employer withheld too little, they pay the remainder. If the employer withheld too much, they get a refund from the IRS. As Matt Yglesias pointed out, the system has traditionally overdone withholding on purpose — roughly three-fourths of tax filers usually get a refund.

https://theweek.com/articles/822464/gops-tax-cut-just-keeps-getting-worse

Tax Cuts help NO ONE but the rich…..do not buy the lies and the manure about the Middle Class…..

Those Dem Economic Plans

*********Posted from a secret location known only to myself and everyone on the 4th floor of Memorial Hospital.********

The 2018 elections has brought us a few young freshmen Congresspeople and with the 2020 election looming large a candidate has issued a plan to solve our revenue people….

Let’s look at the economic proposal of announced presidential candidate Sen. Elizabeth Warren……

Two economists who are advising Warren, Emmanuel Saez and Gabriel Zucman of University of California at Berkeley, announced to the Washington Post that the senator is proposing an annual tax of two percent for assets over $50 million, as well as a three percent tax for assets above $1 billion. The proposal, the economists estimate, would raise $2.75 trillion over 10 years and would affect just .1 percent of American households—raising the percentage at which their wealth is taxed to just 4.3 percent from 3.2 percent. 

The “Ultra-Millionaire Tax” would apply to “all household assets…including residences, closely held businesses, assets held in trust, retirement assets, assets held by minor children, and personal property with a value of $50,000 or more,” according to a paper by the economists.

Warren’s proposal, which economist Thomas Piketty recommended in his book “Capital in the Twenty-First Century,” comes weeks after Rep. Alexandria Ocasio-Cortez (D-N.Y.) first told the press about her plan to tax income over $10 million at 70 percent—a proposal supported by a majority of Americans, including 45 percent of Republicans, according to a poll by The Hill.

https://www.commondreams.org/news/2019/01/24/warren-forces-issue-massive-economic-inequality-2020-debate-ultra-millionaire-tax

The freshman women we are calling AOC has a different take on taxing billionaires…..her thought is a 70% tax on them and her thoughts are rooted deep in American’s beliefs….

In 1835, Alexis de Tocqueville produced one of the earliest accounts of the American dream. In his famous study of the Jacksonian U.S., the Frenchman wrote that Americans possessed “the charm of anticipated success” — a ubiquitous optimism that he attributed to our country’s democratic character, and to the “general equality of condition” that prevailed among its “people.”

On Wednesday night, Sean Hannity took de Tocqueville to task. In the Fox News’ host’s telling, general economic equality is not a precondition for the American dream, but rather, an insurmountable obstacle to it — because the American dream is (apparently) to earn more than $10 million year without having to pay a top marginal tax rate higher than 37 percent.

Of course, Hannity did not actually frame his argument as a rebuke of de Tocqueville. His true target was Alexandria Ocasio-Cortez.

http://nymag.com/intelligencer/2019/01/ocasio-cortez-aocs-billionaires-taxes-hannity-american-democracy.html

Because her calls are so American that the GOP is running sacred from her proposals….yes running sacred!

What AOC is proposing

The short version is that Alexandria Ocasio-Cortez is proposing a new 70% tax bracket on income above $10 million. The increased tax on the wealthy would fund what Ocasio-Cortez calls a “Green New Deal,” which would combat both climate change and economic inequality.

Unsurprisingly, this has attracted lots of attention from both ends of the political spectrum. Some agree with the proposal. Some think it’s ludicrous and fear it would derail economic growth. Others think the rich should certainly pay more, but that the addition of a single super-high tax bracket isn’t the best solution.

And, like most tax proposals put forth by politicians, this one is misunderstood by much of the American public.

https://www.fool.com/taxes/2019/01/24/alexandria-ocasio-cortezs-70-tax-plan-what-all-ame.aspx

Let’s watch to see who wins this thing…..but first why would this have the GOP looking over their shoulders…..

Remember that massive tax cuts awhile back?  Appears it did NOTHING it was said it would do…….

The National Association of Business Economics’ (NABE) quarterly business conditions poll published on Monday found that while some companies reported accelerating investments because of lower corporate taxes, 84 percent of respondents said they had not changed plans. That compares to 81 percent in the previous survey published in October.

The White House had predicted that the massive fiscal stimulus package, marked by the reduction in the corporate tax rate to 21 percent from 35 percent, would boost business spending and job growth. The tax cuts came into effect in January 2018.

https://www.reuters.com/article/us-usa-economy-investment-idUSKCN1PM0B0

Turn The Page!