The Buffett Gimmick

Focus on government's shameful spending, not soaking the rich

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Hope and change have been reduced to a Gimmick and a Lie.

It’s still early, but the Obama campaign so far is built on the “Buffett Rule” – a proposal to soak the rich with higher taxes because, hey, they’re not paying their fair share.

A couple of major problems with that.

First, even some prominent liberals admit a surtax on the rich is nothing more than a gimmick.

“It’s total gimmickry,” said left-leaning Politico.com executive editor Jim Vandehei.

“President Obama admits it: His proposed ‘Buffett Rule’ tax on millionaires is a gimmick,” wrote liberal Washington Post columnist Dana Milbank.

“The Buffett Rule is running into a dead end,” writes conservative Byron York in the Washington Examiner, “because a significant part of the political class in Washington has finally admitted the idea is little more than a gimmick that would do nothing to fix the country’s problems.”

Why is it a gimmick? And why does even the president know it? Because the math is simple: It would raise an estimated $4.7 billion a year – when the federal government’s annual deficits under this president are in excess of $1 trillion.

It is, in short, a sick joke. A joke, because it does next to nothing to solve our debt problems, and sick because the proposal is designed with one thing in mind: to divide America along class lines in order to benefit this president politically.

It may look like it, but proponents of the Buffett Rule didn’t flunk math. They know exactly what they’re doing. It’s an election-year diversion, a sop to voters weary of the Obama economy and willing and eager to buy the fable that the uber-rich and their greed are to blame for all our problems. And, of course, that the rich need to pay their fair share.

As the numbers above prove, it’s a lie that the rich are to blame for Washington’s spending problem. As the numbers below bear out, it’s a lie that they’re not paying their fair share:

• The top 1 percent pay nearly 37 percent of all federal income taxes;

• the top 5 percent pay nearly 59 percent of all federal income taxes;

• the top 10 percent pay over 70 percent of all federal income taxes;

• the top 25 percent pay over 87 percent of all federal income taxes;

• the top 50 percent pay almost 98 percent of all federal income taxes.

In addition, we are at the point where about 50 percent of American taxpayers pay nothing.

While this president wants you to believe the gimmickry and lies of the Buffett Rule, he also knows it has no chance of passing: It failed in the Democrat-controlled Senate this past week, and is a total nonstarter in the Republican-controlled House. So if he knows that – and surely he does – then the only reason he’s pushing it is for political effect – to whip up the peasantry, as it were, to revolt against its rich oppressors.

That’s called being disingenuous. And this president has taken that art to new heights.

The truth that Mr. Obama doesn’t want to talk about – other than his disastrous record on everything under the sun – is that all taxpaying Americans are going to be slammed with precipitously higher taxes next January: the expiration of $500 billion in tax breaks. Some are calling it “Taxmeggedon.”

If you’re wondering, experts say 70 percent of the new taxes will be on middle- and low-income taxpayers.

That, and Washington’s unchecked, depraved robbery of future generations, is what we should be talking about.

Not a Gimmick and a Lie.

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justthefacts
20365
Points
justthefacts 04/23/12 - 08:18 am
3
3
"wage earner vs someone who

"wage earner vs someone who sits on his rear end and inherited stocks". Funny, it never takes long before the REAL issue, that of jealousy, rears it's ugly head.

Riverman1
79277
Points
Riverman1 04/23/12 - 08:18 am
4
2
I swear you could take the

I swear you could take the rants of Pravda and Izvestia in the 50s and 60s about capitalism and wealth redistribution and they would flow out of Obama's mouth like smoke from a doobie.

Little Lamb
43827
Points
Little Lamb 04/23/12 - 08:36 am
2
2
You got that right, RM.

You got that right, RM. These arguments are rooted in wealth envy; and the strategy is class warfare. Redistribution of income is not the American way, but instead it is the way of Marx.

Little Lamb
43827
Points
Little Lamb 04/23/12 - 08:46 am
2
1
Okay, here are the tax rates

Okay, here are the tax rates in the argument:

Capital gains: 15%
Stock dividends: 15%
Interest income: graduated (middle class pays 28%, millionaires 33%)
Earned income: graduated (middle class pays 28%, millionaired 33%)

Instead of raising tax rates on the millionaires; lower the rates for everybody to 15%. Fair is fair.

Of course, we would need a corresponding reduction in spending. I say, end foreign wars and bring the troops home from overseas bases. End the federal department of Education and let all school decisions be made locally. Repeal Patient Protection and Affordable Care Act and put the medicine industry back into private hands. End federal involvement in unemployment benefits and make the states totally responsible. End corporate bail outs — period. No company is too big to fail.

That's for starters.

justthefacts
20365
Points
justthefacts 04/23/12 - 08:51 am
3
1
Or Little Lamb, we could ask

Or Little Lamb, we could ask the GSA to cut back a little on partying, junkets, convention, and other such boondogles.

twolane
191
Points
twolane 04/23/12 - 09:14 am
0
0
yes lets talk paying your
Unpublished

yes lets talk paying your fair share.....a friend single mother works at a store has two kids and a foster child....she claims foster child and one kid.....her mother claims the other kid...her total taxes BACK.....11,243 dollars.....and she didnt even make 20,000....so whats that about paying equal share....and techfan....millionaires in one year pay more taxes than most make their entire lives so stop the nonsense

jack234
719
Points
jack234 04/23/12 - 09:34 am
3
2
Afther reading this LTE, I

Afther reading this LTE, I see where it is time I once again crank up the President Obama re-election train, and ride through your neighborhood and go TOOT, TOOT!!! I have been out of the country and OUR president is so respected overseas and has kept us safe. Is Sean Hannity still talking about Jeremiah Wright after almost four years and Wright doesn't have a cabinet position? Look for me to come through your neighborhood, knock on your door and ask you to get on the refurbished President Obama re-election train. TOOT! TOOT!

carcraft
24147
Points
carcraft 04/23/12 - 10:37 am
0
1
Techfan- According to your

Techfan- According to your 07:51 post you want to raise capital gains tax to the level of income tax there by giving America not only the highest corperation tax in the world but also the highest capital gains tax in the world! Obama in this video states he wants to raise capital gains for fairness even if it reduces revenue! http://radio.foxnews.com/2012/01/24/video-why-obama-would-raise-the-capi...

carcraft
24147
Points
carcraft 04/23/12 - 10:43 am
2
1
Little Lamb- if we just fired

Little Lamb- if we just fired the GSA we would be onto a good start, but of course if you cut ANY federal spending the Democrats will say you are in favor of of shoving granny off a cliff in a wheel chair, by ghove we need those trillion a year deficits! Secret Service party venue next year Thialand-great under age girls I hear, and we get to foot a bunch of the bill for both the secret service and GSA-Party on Garth!!!!!

faithson
4784
Points
faithson 04/23/12 - 10:43 am
3
0
The only way to increase

The only way to increase taxes on anyone is to CUT spending at the same time. All these arguments using the 'no new taxes' slogans are based in belief, not fact. It would be nice if some of the more realistic and pragmatic on these boards would speak to a solution that cuts both ways. Going back to the 90's tax rates for all and reasonable reduction in spending without throwing the baby out with the bathwater. It can be done, but everyone's ox needs to be gored in the process.

carcraft
24147
Points
carcraft 04/23/12 - 10:44 am
0
1
Little Llamb If things get to

Little Llamb If things get to tough for granny Obama has a great recipt for Fido fries...

TParty
6003
Points
TParty 04/23/12 - 10:44 am
3
1
I can provide video footage

I can provide video footage of Reagan saying the same thing Obama is saying- that the rich should pay their fair share. Of course Reagan could not be elected today even though he is the darling and hero of the right.

With that said- the problem is the tax code. It has gotten no play since Cain stepped down. Buffet gets his vast wealth from investing, while his secretary draws an income. They get taxed differently because they are both different. If Buffet gave investing tips to his secretary, and she made all her money from investing- she would pay the same rate. Obama is trying to compare apples to pears.

And you should not raise the tax rate on investing, because it's a risky thing to do. You can invest money and lose money. Or you can profit. That's just for the investor. Think about what they are putting their money into. It could be going into a place where jobs can be created, or research is increased for science and technology. Investing is a big deal, and it should not be taxed higher.

Fix the tax code, and stop all the spending- which includes cutting defense.

carcraft
24147
Points
carcraft 04/23/12 - 10:47 am
0
0
By heavens Fisker motors

By heavens Fisker motors needs about another $500 million and maybe they can get the $100,000.00 Karma to go 360 miles before breaking down this time. Even though Solyndra plant is being sold with just $500 million more they could produce solar sells...just saying, any one up for some snoopy snacks?

TParty
6003
Points
TParty 04/23/12 - 10:48 am
3
1
Another thing too- you can't

Another thing too- you can't say $4.7 billion isn't worth putting towards the debt when it's excess of $1 trillion, but then decry that planned parent hood and NPR get a couple million dollars and the problem with our debt.

End the Bush tax cuts too.

carcraft
24147
Points
carcraft 04/23/12 - 10:52 am
2
1
Tparty- With all due respect,

Tparty- With all due respect, nobody but Buffet's secratary has any idea what she pays in taxes and she doesn't know how it compares to what Buffet pays because they haven't released their tax records! I think you pay far less than I do and it is not fair.. How do I know, well I don't, but it sure makes a good sound bite doesn't it?

TParty
6003
Points
TParty 04/23/12 - 11:10 am
1
1
Carcraft- I read somewhere

Carcraft- I read somewhere she own two homes, so I'm not worried about her personally. However Mitt Romney paid less in taxes percentage wise then I did (although he probably paid more in taxes the past two years then I'll ever make!), which will be another attack from the left.

They pick out some rich investors and say "look, this guy paid a lower percentage in taxes then you middle class folks! Let's get him!!" But capital gains tax is not income tax.

They won't pick on professional athletes and movie stars, who are also rich. Why? Because they get their money when their boss writes them a check. Buffet and Romney- no one writes them a check, it's just a return on their investments.

The flip-side to this is: Some checks people get for their work is still low, they don't make much. So their income is not taxed, because it's below a certain amount. It's true people do not pay an INCOME tax, but they do pay sales tax, gas tax, and others, it's just that their income is not taxed because they don't make enough.

Sadly there are more ways then one that people can be taxed, so it's not right to lump all taxes in the same boat.

Jane18
12332
Points
Jane18 04/23/12 - 12:32 pm
0
2
You have admit it, Obama is

You have admit it, Obama is very "artful".............................He's good at what he does, reeeeeaaallllllllll good!

lsmith
105
Points
lsmith 04/23/12 - 12:52 pm
0
0
The article is on the money!
Unpublished

The article is on the money! For those of you who just want the rich to pay more taxes for "fairness sake" obama's rhetoric should make you feel warm and fuzzy inside. But it's not going to help the debt nor is it going to reduce the taxes you pay. In fact, if the Bush era tax cuts are allowed to expire everyone, and in particular the middle class is going to pay a lot more taxes and lord knows the government has plenty of rat holes to throw it into.

Judging from the commentary in this blog it certainly appears obama's campaign ploy is working. Everyone's pointing the finger of blame and arguing taxes equations and that's what he wants you to do, rip each other to shreds, pay no attention his pathetic record while he tip toes back into the white house.

Its ironic that this man who billed himself as the "Uniter" in his 2008 campaign, who was going to bring the red states and blue states together has purposely done just the opposite. Rich against the poor, blacks against whites, whites against hispanics, men (and Republicans) against women, homophobes against gays, right to work against unions etc etc.....no one can deny that this country has never been more bitterly divided than now.

Sadly, if this shameless dictator in the making is returned to office in 2012 you will only see this getting worse, much worse. "Divide and conquer" is working very well.

madgerman
236
Points
madgerman 04/23/12 - 03:28 pm
0
0
Lets put it another way to
Unpublished

Lets put it another way to make it clearer:
- The top 1% own or control 37 percent of the country.
- The top 5% own or control 59 percent of income paid.
- The top 10% own or control 70 percent of income paid.
- The top 25% own or control 87 percent of income paid.

It is a shame that the top fifty percent are the only ones paying taxes. Could it be because a very small percentage of the citizenry have too much power over the rest?

Could someone tell me what the maximum amount a person can earn without paying any income taxes? Are there any millionaires who pay little or no taxes?

faithson
4784
Points
faithson 04/23/12 - 05:22 pm
1
0
'gimmickry and lies', people

'gimmickry and lies', people that live in glass houses shouldn't throw stones. Always amazed at how the 'no taxers' enroll all those good 'Christians' who can't afford a pot to **** in, to go along with the 1%er's. Says a lot about gullibility within the masses. Yes, the left also is an offender.

ultrarnr
896
Points
ultrarnr 04/23/12 - 05:35 pm
0
0
For your reading pleasure or
Unpublished

For your reading pleasure or displeasure. Interesting comment on taxation by a Nobel Laureate

http://krugman.blogs.nytimes.com/2012/04/03/the-simple-analytics-of-soak...

carcraft
24147
Points
carcraft 04/23/12 - 06:52 pm
0
1
ultranr- Obama won the nobel

ultranr- Obama won the nobel peace prize then bombed lybia..LOL Krugman thinks the $800 billion Obama spent on things like "shovel Ready Jobs" that (in Obama's words) "were not quite shovel ready". http://www.cbsnews.com/2100-3460_162-4688594.html We just didn't waste enought teaching African men to wash their crotchs and we just didn't pay enought to China and Spain to Produce windmills. We just didn't waste enough on high speed rail lines or spend enough in Congressional disticts that don't exist http://abcnews.go.com/Politics/jobs-saved-created-congressional-district... ..By heavens by all means Krugman was right..BWAHAHAHAHAHA Krugman has even argued that Spain and Ireland could barrow their way out of debt...

ultrarnr
896
Points
ultrarnr 04/23/12 - 07:46 pm
0
1
FYI Paul Krugman won the
Unpublished

FYI Paul Krugman won the Nobel prize for economics-yes there is more than one prize and yes the stimulus did save a lot of jobs the issue is that it was too small and ended too soon. Keynsian economics is a wonderful thing. Just look what austerity has done to the UK. do we want to be like them?

mooseye
264
Points
mooseye 04/23/12 - 08:28 pm
0
1
The United States has taxed,

The United States has taxed, regulated, and safetyed ourselves out of the world market.
The EPA and OSHA and Congress have made so many rules and laws that our manufactures can't compete.
We have regulated our jobs to thrid world countries that could give a hoot about pollution and safety. So now we get the same pollution, only worse since we were doing better, and we get to pay to import toxic waste in the form of childrens toys and other goods while supporting these countries that are spewing pollution.
Someone needs to look at the real world. Government?

PS Not only that, but the million/billionares that own the big companies that have factories in these other countries are pocketing the profits.

TParty
6003
Points
TParty 04/23/12 - 08:42 pm
1
1
Mooseeye... where to

Mooseeye... where to begin?

We have not taxed, regulated and "safetyed" our way out of the world market. You should see the growth that this country is having compared to the entire continent of Europe, or pick any country there. They are going to have a negative growth, while we are going to have a 2-3% positive growth.

No one says EPA is perfect, it can be more efficient. Obama made that cringe-worthy joke about dairy farmers crying over spilt milk, because it's classified as an oil and EPA worries farmers can't clean it up. HOwever the EPA has been instrumental in cleaning up the air, drinking water- all sorts of things. To say China is doing it right, you are severely mistaken. If you paid attention to the last Olympics- you would have read all the reports of how dirty the cities are, and worried people were about their health. The air is gross, water was disgusting. I don't know about anyone here, but I don't my lungs or the lungs of kid to burn because the air quality sucks, all because there is profit to made somewhere.

You're right- rich folks here do move companies overseas because other countries don't care about workers safety, worker rights, everyones air, water, soil- all sorts of things. Something tells me very few people would leave America to follow one of those companies for a job though...

YeCats
10013
Points
YeCats 04/23/12 - 08:43 pm
0
0
as was wrote here earlier,

as was wrote here earlier, fix the tax code. How?

Flat tax rate (for EVERYONE)
and
NO deductions (TBFY if you are a cpa,tax preparer,IRS)

Same for companies too.

carcraft
24147
Points
carcraft 04/23/12 - 09:31 pm
0
0
Your so right Ultrarnr, there

Your so right Ultrarnr, there is more than one nobel prize, why there may even be one for literature, medicine and physics, etc. Yes Mr Krugman won one in economics, big whup was my point..Krugman thinks Europe can barrow it's way out of debt...my point..I'm applying to represent those districts in the Senate that don't exist..or maybe spend 11 million to cloth two people for job interviews... http://www.sodahead.com/united-states/feds-spent-11-million-to-clothe-tw... think even Krugman would find this excessive! But who cares (according to the Democrats, if we don't spend it granny goes off the cliff in a wheel chair..)

Tparty- The reason we are doing better than Europe is because we haven't yet fully injested the Socialism that is bankrupting Europe, but we are well on our way, one trillion in debt per year by the Democrats and no hint of how to solve it, not one hint at cuts or any redution in spending and taxing the rich won't solve it..Every time the Republicans bring up a plan the Democrats use class warfare such as throwing granny off the cliff..

carcraft
24147
Points
carcraft 04/23/12 - 09:52 pm
0
0
Oh just a little note on the

Oh just a little note on the success of Obama's "stimulus program" it seems it cost about $278,000.00 per job saved or created! http://www.weeklystandard.com/blogs/obama-s-economists-stimulus-has-cost... Gee maybe if we just cut them a check for around $100,000.00 we could have doubled the number...LOL

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