Skip to comments.Analysis says Reidís budget plan contains gimmicks that could result in tax increases
Posted on 07/30/2011 7:20:45 AM PDT by bobsunshine
Senate Majority Leader Harry Reid has said that his debt ceiling bill, in a bow to Republicans, includes no tax increases. But does it really?
An analysis from the Republican Senate Budget Committee staff shows that Reids bill includes gimmicks that, if passed, would account for approximately $3.8 trillion in revenue or tax increases.
The maneuvering is complicated; but when explained properly, it becomes clear.
Reids proposal includes a provision that deems budget resolutions for fiscal years 2012 and 2013, but Senate Democrats have not yet produced a 2012 budget proposal, much less one for 2013.
Within those anticipated budget resolutions lie the tax increases, according to the analysis, and here is where it gets tricky.
When the Congressional Budget Office scores a proposal, it uses either current policy or current law as its baseline. Reids bill is based on current law, which assumes certain tax breaks will expire according to pre-determined scheduled. That is a big deal.
The 20012003 Bush tax cuts are set to expire at the end of 2012. And some business tax breaks, death tax cuts, and the patch for the Alternative Minimum Tax expire at the end of 2011. Reids proposal assumes that Congress will not act to renew or extend those expiring tax breaks.
(Excerpt) Read more at dailycaller.com ...
If a democrat’s lips are moving they are lying...start with that principle and you will never go wrong.
My guess is they intend to use the long term debt increase, through the 2012 fiscal year as a form of budget i.e. if the debt can be increased by this amount, that is what the budget should accomodate.
Weed, er Reid, is nothing but a lying piece of crap and his immediate underling, Skeemer er Shumer, is identical and equally smelly.
I would amend this to read DECEIT and TREACHERY.
Let's be "fair" about it. Make EVERYBODY pay their "fair share" including those that pay no income tax at all.
If it were to happen (and I don't think it ever will) our economy would go nuts. Businesses could actually do business instead of worrying about which violation of the tax code would snare them.
Heard one of the components of cost containment, over the next 10 years, was a quantification of how many of millions of dollars result from the reduction of welfare payments, Section 8 Housing, Single Mother Payments, night basketball and other Tax Credits, that would have to be paid but for to DemoCrap sanctioned abortions./s
What else did anyone expect? Lies, dishonesty, obfuscation is the coin of the Democrat philosophy
All of this for $7 billion in actual cuts.
There has GOT to be a special ring of the Inferno for these politicians (as opposed to your garden variety politician). They steal, they lie and they have betrayed their country.
Has Wubya converted the Hurricane portion of the weather control machine to induce a mind meld.
Ancillary evicence points to this activity. Few hurricanes and visciously hot weather assault on us.
Al Gorge! Where are you?
Vote no or lose. Period. Time to engage the thieves and win this war of criminal extortion...
Who needs to analyze the “plan” (that nobody has seen) to know that it contains gimmicks for tax increases? Scorpions don’t change - they need to be stepped on until you feel and hear them crunch...
But, it is balanced. They will spend more money, and take more money. See? Balanced! That was easy!
Barney Frank is on Cavuto (this am FOX Business block, taped yesterday) trying to explain if there is a Federal statue to require investment services to hold only AAA investments, a real ‘who’s on first’ moment as Cavuto cannot get him to simplify his point
Cavuto still fears everyone will drop their securities if they are not AAA
Another Cavuto guest, Wis Gov Scott Walker says #1 issue is whether they get the debt under control
At this point it really is that simple—vote no, end of story. Get out there and show the Republican attempts to accomodate the decaying Reid ans Pelosi and the boy president. Make them appear as they are—tax and spend libs, whatever they`re called now, in a time when we simply don`t have anymore to give.
Shove it up their asses!
Barney Frank is an evil man
Note the reference to the ‘baseline’...this refers to the ‘baseline budgeting’ scam run by the federal government and is the primary source of the upward curve of federal spending. The few ‘cuts’ we ever get are nothing more than reductions in the future growth of spending. Imagine your personal budget is 50,000 for the current year. Under federal budgeting your projected budget for the same services next year would be 53,500 (an assumed 7% annual growth). Run this run this out over the same ten year period the CBO uses and you wind up automatically spending about 92,000 in the final year for the same services and products you buy now. Of course Congress will add additional increases to account for inflation and flavor of the month projects to their already assumed baselne. This also enables the Left to demonize those who propose spending cuts even though such cuts are always cuts in growth of spending; never actual cuts from a previous year. Unless the electorate soon stops this crooked game that is at the foundation of our spending problems the whole thing will collapse under its own weight.
“The maneuvering is complicated; but when explained properly, it becomes clear. “
And someone from the conservative side needs to be holding pressers every other day after reid and the poser in chief hold theirs to make those points of deception ABSOLUTELY clear in no uncertain terms. The democrats and obama want only a blank check and nothing less.
If only the rest of them realize that Reid is dedicated to not only shoving America into the toilet,l but flushing it down the drain! Vote NO on Reid! He is doing what the President wants him to do! I can’t understand how Reid got re elected. As I’ve said before, as long as Government counts the votes with their tricky little computers, our votes do not matter. I am sure contained in his back of tricks is negating the deduction for interest on one’s home, or business expenses (such as corporate jets!)which would make things very tough on home owners, and increase the unemployment number exponentially.
I am prepared to face higher tax bills, which will stop virtually all of my discretionary spending and probably also cut into essentials. Life will change, Maybe that is OK if it proves once and for all, certain economic realities
It will be a grim satisfaction to watch these progressive fools totally ruin the economy.
Maybe Boehner should have faced down obama and invited him to to abolish the Bush tax cuts. Now. Just do it. Separate addendum, to be signed if the President chooses to do it.
The “Obama Fair Tax Amendment”
I am so sick of the democrats campaigning against the “Bush Tax cuts for the rich”
I challenge the left wing of the democrat party to just stay in control of the US economy. Do it your way. Drop the “Bush Tax rates” and go back to the tax tables for 2000.
Please progressives, Raise taxes. Just do it.
Do it NOW, while unemployment is over 9% and the economy is “growing” at less than 1% a quarter.
RAISE TAXES. If that's the progressive solution, then let's just try it, shall we? GOP, stand back. Let obama take full credit for the outcome. There is not a more deserving man in the uSA, for what will be the result of higher taxes in a recession/depression
Reid is an out right liar and should be called on it.
>>Cavuto still fears everyone will drop their securities if they are not AAA.<<
A lot of brokerages have rules that they cannot invest in anything lower than AAA.
Was there ever any doubt?
COULD contain gimmicks that would raise taxes???
Ya DON’T say...
A Democrat? Doing ANYTHING possible to raise taxes? Why, that’s practically unheard of! ;-P
Obamacare contains scheduled tax increases and scheduled new spending. The 'Bush Tax Cuts' are scheduled to expire in 2012. Social Security & Medicare spending increase dynamically with Baby Boomers reaching their 60s.
Avoiding new taxes and spending in the 2012 budget will accomplish nothing. The new taxes and spending are already in the laws.
Not increasing the debt limit is the same as a 'Balanced Budget'. If the government can't borrow, it must live on current revenue flow. So, stall!! Don't pass an increase in the debt limit.
Harry POS Reid ALERT! “Everything about socialism is sham and affectation.” 23.11 Ch23; Evil; Economic Harmonies; Frederic Bastiat 1801-1850
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