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Irish Bombshell: Government Raids PRIVATE Pensions To Pay For Spending (Could it happen here?)
Business Insider ^ | 05/10/2011 | Joe Weisenthal and Gregory White

Posted on 05/10/2011 9:52:37 AM PDT by SeekAndFind

Ireland's minister of finance, Michael Noonan, has outlined plans for a new tax on private pensions in Ireland.

The new tax on private pensions will be 0.6%, and last for four years.

Earlier:

This was just tweeted by Ireland's RTE News:

BREAKING: The Government is to impose a 0.6% levy on private pension funds for the next four years to fund its #jobsinitiative #dail

Doubt this will go over well.

More details to come...

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; Society
KEYWORDS: debt; ireland; pension; pensions; plunder; seized; spending; theft

1 posted on 05/10/2011 9:52:46 AM PDT by SeekAndFind
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To: SeekAndFind

Well, someone has to go first ...


2 posted on 05/10/2011 9:55:00 AM PDT by ClearCase_guy (The USSR spent itself into bankruptcy and collapsed -- and aren't we on the same path now?)
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To: SeekAndFind

Is not the I WON going to Ireland sometime soon? Who knows what ideas and concepts he plans to bring back.


3 posted on 05/10/2011 9:55:11 AM PDT by Mouton (Voting is an opiate of the electorate. Nothing changes no matter who wins..)
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To: Tax-chick

Will the last industrious, productive person in Ireland please turn off the lights upon leaving.


4 posted on 05/10/2011 9:55:46 AM PDT by Incorrigible (If I lead, follow me; If I pause, push me; If I retreat, kill me.)
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To: SeekAndFind

Didn’t Argentina seize all the money in private pension funds?


5 posted on 05/10/2011 9:58:23 AM PDT by ConjunctionJunction
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To: SeekAndFind

Do Irish pensioners pay income tax on the pension?

I already pay on my private pension at regular US federal tax rates.

It’s a helluva lot more than 0.6 percent obviously.


6 posted on 05/10/2011 9:58:32 AM PDT by nascarnation
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To: SeekAndFind

BOHICA!!!!


7 posted on 05/10/2011 9:59:22 AM PDT by GQuagmire ('Don't Piss The Lady Off')
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To: nascarnation

No - you pay income tax on withdrawels.

“0.6% to the capital value of assets under management in pension funds established in the State.”

This plan is to confiscate 0.6% of you fund balance, for each of the next four years.

Imagine if you have $100k in an IRA, and the government just confiscates $2,400 out of the fund balance.

Spreading the wealth, I think they call it.


8 posted on 05/10/2011 10:05:06 AM PDT by patton (I am sure that I have done dumber things in my life, but at the moment, I am unable to recall them.)
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To: SeekAndFind

Looks like it’s already starting to happen here:

Illinois Senate president wants to look at taxing retirement income

http://newsblogs.chicagotribune.com/clout_st/2011/03/illinois-senate-president-wants-to-look-at-taxing-retirement-income.html

And here’s what other European countries are doing:

European nations begin seizing private pensions

Hungary, Poland, and three other nations take over citizens’ pension money to make up government budget shortfalls

http://www.csmonitor.com/Business/The-Adam-Smith-Institute-Blog/2011/0102/European-nations-begin-seizing-private-pensions


9 posted on 05/10/2011 10:05:16 AM PDT by ConjunctionJunction
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To: Incorrigible; Colosis; Black Line; Cucullain; SomeguyfromIreland; Youngblood; Fergal; Cian; ...

Could it happen here? You betcha.

Ireland ping!


10 posted on 05/10/2011 10:07:21 AM PDT by Tax-chick (Obama's "Gutsy Decision": Who's gonna tell the fool that he ain't cool?)
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To: SeekAndFind

Sorry I am not well versed in finance or for that matter, any money matter.

Is this saying they are proposing no difference between the Before Tax and the After Tax contributions for your pension?


11 posted on 05/10/2011 10:09:34 AM PDT by Sir Napsalot (Pravda + Useful Idiots = CCCP; JournOList + Useful Idiots = DopeyChangey!)
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To: SeekAndFind

And it will only last 4 years,if you believe that i got a bridge for sale..


12 posted on 05/10/2011 10:09:36 AM PDT by GSP.FAN (Some days, it's not even worth chewing through the restraints.)
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To: SeekAndFind
My fear is waking up one morning and the deed is done. The cowards in D.C. will NOT project this scheme.

I wonder how quickly America will be locked down so the cowards in D.C. can move freely after their massive theft.

13 posted on 05/10/2011 10:17:07 AM PDT by Michael Barnes
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To: ConjunctionJunction

The problem with it happening here is that we will have some notice and a whole lot of money would leave the country in a very short period of time.


14 posted on 05/10/2011 10:20:35 AM PDT by Eva
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To: Eva

Really? They try and pass un-popular legislation all the time in the middle of the night while America sleeps..


15 posted on 05/10/2011 10:23:09 AM PDT by Michael Barnes
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To: SeekAndFind

The US Gov’t carries out its stealth taxes differently.

We have the FED buy Gov’t debt/print money. Money is printed, Gov’t spends it on “jobs programs” or whatever scheme they have in mind, the money stock is diluted, you pay more for food, fuel, etc... due to inflation, your savings are expropriated through negative real interest rates, and your real salary declines.

The end result is as the same as Irish though.


16 posted on 05/10/2011 10:27:54 AM PDT by PGR88 (I'm so open-minded my brains fell out)
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To: Michael Barnes

The GOP has control of Congress and there are enough T-Party people there that would not let this go through without a public vote.

No member of Congress who voted for it, would ever be re-elected.


17 posted on 05/10/2011 10:28:47 AM PDT by Eva
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To: SeekAndFind
I remember that Laura Tyson the Chair of President Clinton's Council of Economic Advisers joined Jessie Jackson's effort to take 15-percent of all private retirement funds.

The money was to be used to fund "inner city" projects.

Folks, that's how 1960s Marxist-Alinsky street/campus revolutionary rabble and their ideological issue feeeeeeeeel about these things. Arguably they are now "the Establishment." Certainly in the universities and the MSM they are. They are the Rat Party (formerly the traditional, patriotic Democratic Party).

18 posted on 05/10/2011 10:33:36 AM PDT by WilliamofCarmichael (If modern America's Man on Horseback is out there, Get on the damn horse already!)
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To: Eva

Under ordinary circumstances, I would agree with you, hands down. What we have witnessed as of the last two years is a federal government that barely acts within the Constitution as it is.


19 posted on 05/10/2011 10:36:19 AM PDT by Michael Barnes
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To: PGR88
The US Gov’t carries out its stealth taxes differently.

At some point people may wake up and realize that what the Fed is doing is nothing short of Taxation Without Representation.

20 posted on 05/10/2011 10:36:20 AM PDT by ClearCase_guy (The USSR spent itself into bankruptcy and collapsed -- and aren't we on the same path now?)
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Even this baby owes thousands on the national debt


Give what you can
Or donate monthly, and a sponsoring FReeper will contribute $10

Lazamataz is hanging by a pixel!

21 posted on 05/10/2011 10:36:50 AM PDT by TheOldLady
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To: Michael Barnes

You mean that Obama could do an end around on Congress?


22 posted on 05/10/2011 10:37:58 AM PDT by Eva
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To: Michael Barnes

He’s already done it. It’s coming through the Obamacare bill and SS. Social Security will be means tested, but Obama wants to make it look as though the Republicans are advocating it.

The tax on the 401Ks will come in the form of reduced SS payment. The bigger the 401K, the higher the tax, the lower the SS payment.


23 posted on 05/10/2011 10:41:40 AM PDT by Eva
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To: Eva

Honestly Eva, I don’t know what exactly “they” are capable of anymore. The track record shows “by any means necessary” and we apparently have a SCOTUS that can’t be bothered with Constitutional matters anymore; least not hot button matters.


24 posted on 05/10/2011 10:41:47 AM PDT by Michael Barnes
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To: Eva

“The GOP has control of Congress and there are enough T-Party people there that would not let this go through without a public vote.”

The number of people with a significant amount of money in these plans is probably not enough to overcome the liberal media’s championing of the cause.


25 posted on 05/10/2011 10:44:19 AM PDT by webstersII
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To: SeekAndFind

Someone’s got to pay off the Banks somehow.

Bloody way to run a country that could be extremely productive into the ground,same thing that happened under British rule is happening now.Most likely it will lead to the same results.

Then the lunatics running this country will go crying that they had to pay for making a mess of things,what a bunch of ignorant trash.


26 posted on 05/10/2011 10:46:20 AM PDT by Del Rapier
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To: SeekAndFind

bttt


27 posted on 05/10/2011 11:04:47 AM PDT by petercooper (2012 - Purge the RINO's.)
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To: SeekAndFind

What do we get for putting our money in a (pre-tax) IRA or 401K? Do we get a tax break? Not really, we get taxed on the full amount, it is just delayed. So what good is it? It is rules city, limits and penalties if we withdraw early, withdraw late, etc., etc.. And now it is in danger of being taxed or confiscated. For what? The big, great, advantage of delaying taxes from when it is earned to when it is spent. It ain’t worth it.


28 posted on 05/10/2011 11:08:00 AM PDT by sportutegrl
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To: webstersII

I don’t know, it seems to me that almost everyone who works in the private sector has a 401K.

Maybe we should suggest that the tax be extended to union pensions at the same rate.


29 posted on 05/10/2011 11:08:09 AM PDT by Eva
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To: sportutegrl

Of course the assumption is that the tax rates in the future will be comparable to today’s tax rates, but what if they are much higher in the future?


30 posted on 05/10/2011 11:09:09 AM PDT by dfwgator
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To: Eva
The problem with it happening here is that we will have some notice and a whole lot of money would leave the country in a very short period of time.

No actually. You won't have ANY notice. You'll wake up, and poof they will be GONE.

If you don't HOLD it, you don't OWN it.

31 posted on 05/10/2011 11:09:19 AM PDT by Centurion2000 (On a long enough timeline the inflation rate for all fiat currencies approaches infinity.)
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To: SeekAndFind

Folks, this are two reasons why governments love pension progrms. The first reason is the ostensible concern that people are too stupid to save for their old age. The second is that pension programs create vast pools of wealth that can be easily tapped into because they must account to government.


32 posted on 05/10/2011 11:12:00 AM PDT by Skepolitic
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To: Eva

You do know that distributions from IRA and 401k accounts ALREADY increase the fraction of SS payments included in taxable income. Once upon a time, all SS payment were tax-exempt because FICA taxes were originally subject to income tax. That changed during the Reagan Administration.

Additional means testing of SS benefits is inevitable regardless of whether Republicans or Democrats are in charge. The government’s welfare programs, especially Medicare, Medicaid, and Social Security, are simply unsustainable. They are programmed to blow up, and there is nothing that can prevent it. Goldwater warned of this day back in the 1960s. It’s not a matter of “if”, but “when”.


33 posted on 05/10/2011 11:24:26 AM PDT by Skepolitic
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To: dfwgator

Exactly. We don’t know what the tax rates in the future will be, but if the debt bomb is any clue, they will probably be much higher.


34 posted on 05/10/2011 11:27:06 AM PDT by sportutegrl
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To: SeekAndFind
The new tax on private pensions will be 0.6%, and last for four years.

As soon as the road is paid for we'll stop collecting tolls.

35 posted on 05/10/2011 12:03:19 PM PDT by Poison Pill
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To: Poison Pill

RE: The new tax on private pensions will be 0.6%, and last for four years.


HA HA HA “last for four years” my foot.

Remember what Ronald Reagan warned after years of governing and observing :

“The nearest thing to eternal life we will ever see on this earth is a government program.”


36 posted on 05/10/2011 12:31:57 PM PDT by SeekAndFind (u)
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To: PGR88

That’s why inflation is goobermint’ favorite tax.


37 posted on 05/10/2011 2:12:36 PM PDT by WOBBLY BOB ( "I don't want the majority if we don't stand for something"- Jim Demint)
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To: Eva

“I don’t know, it seems to me that almost everyone who works in the private sector has a 401K.”

Yes, but what you have to look at is how many people have over, say, $20,000. I read a statistic that said that number was fairly small. The gov’t will say that they are going to take that paltry sum and offer a better benefit.

I think lots of people are dumb enough to believe it.


38 posted on 05/10/2011 6:37:23 PM PDT by webstersII
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To: Eva

Unless they make it retroactive, which the Feds have done in the past?


39 posted on 05/10/2011 10:01:06 PM PDT by rawhide
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To: Eva

So it is best to spend it all now, instead of saving up for retirement?


40 posted on 05/10/2011 10:02:52 PM PDT by rawhide
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To: Tax-chick

The Irish, to be blunt, are so stupid that they (like most Europeans) think that private wealth is inherently evil (ie, stolen from “the people”) and that the accumulation of wealth “hurts the economy” and that this move to confiscate will “create jobs”.

Sadly, having passed largely from a peasant economy to a bubble economy, the Irish know nothing about capitalism. Again, though, they are basically run of the mill Eurosocialists. No different than the French.


41 posted on 05/11/2011 7:47:59 AM PDT by ConservativeDude
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To: webstersII

I think lots of people are dumb enough to believe it.”

Sadly, you are quite right. The lure of socialism is strong for the ignorant masses.


42 posted on 05/11/2011 7:49:46 AM PDT by ConservativeDude
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To: rawhide

I can’t say that it’s best not to save, it’s just going to be tougher for everyone unless the Republicans can rein in Obama. It’s all about the redistribution of wealth and killing off the US economy, so that we can never reach the heights where we once were.

We’ll be ok, but our kids are going to have it tough. To get an idea of what exactly the left is trying to do, do a google search on Caterpillar/ WSJ. Think about where Caterpillar is doing well. It’s not in the US.


43 posted on 05/11/2011 8:00:53 AM PDT by Eva
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