U.S. House May Include Surtax on Wealthy (4% above $200K)in Health-Care Package

Bloomberg | July 7, 2009 | Ryan J. Donmoyer

[reaganaut1]

No excerpt allowed from Bloomberg.com, story here .

[Le Chien Rouge]

I prefer honest thieves to liberals. They do not pretend to act for a noble cause while enriching and empowering themselves at your expense.

Agreed.

[GraceG]

They will be buried in my backyard and they won’t know where I buried it all, mwahahahaa.....

[New Girl]

Really, what do you consider rich? Do you think if you're making $200,00 and living in DC or NY you are rich? I got news for you, $200,000 in any big city makes you middle class. This tax takes no cost of living into consideration.

Also, if you really want the rich to pay more, why aren't the truly rich paying higher rates? Why should I pay the same rate as an entertainer who makes $30 million?

[CSM]

“I can safely say it applies to at least 1/3 of the MD’s out there, particularly those close to retirement age.”

It is truly frightening. I will continue to work my own independence, but I do have some fear for the future.

Take care.

[New Girl]

“Making $200k/year makes one “rich??” HA!!” Note the terminology. Wealthy. High income and wealth are completely separate descriptors. People with $X in net assets are wealthy. People who earn income over $Y are high income. I know wealthy people with no income, high income people with no wealth, high income people who have wealth, and people who fall into neither category. I would venture a guess that statistically, most high income people are not wealthy. I’ve said for years the goal of all of this is to ensure that high income people cannot become wealthy. Most of the politicians either have theirs already, or will once they become lobbyists, authors or paid speakers. I had a democratic operative tell me once, “the only people who should get rich are ones who have a ‘big event’ in their lives like a lottery, sold business, or fantastic invention”.

So true. The people who are really hurt by this kind of tax are those of us who are wage slaves living in areas where it costs a fortune to live. On the other hand, we have fixed expenses like our mortgage so each time a tax is forced on us, I will slash our budget by an equal amount. That means that many small businesses will no longer receive my business. Hope that works out for the economy.

[JrsyJack]

So, based on all the other taxes they want for this group, that puts it at 54% tax on those making that amount of money now, right?

It may actually be higher that that. They are also talking about taxing the value of your employer provided healthcare benefits, in short they are also taking from your actual wages a tax on amounts that you do not receive in cash.

Assume you gross $100K and pay Fed Tax at a marginal rate of 21%, that's $21K a year in taxes. Now suppose the $20K or so in employer provided benefits are also taxed at 21%, that's an additional $4.2K a year in taxes for a total of roughly $25K. Your marginal tax rate is now 25% or 19% higher than it was.

[JrsyJack]

I actually have lefties tell me that ‘my money’ is actually OUR money(as in society’s money) and that it is a MORAL obligation that society help out those who cannot help themselves.

I would suggest telling your lefty friends to write a check to their favorite charity and to STFU! Helping those who cannot help themselves is also accomplished by providing the opportunity for self responsibility and success. I do not owe my hard earned salary to some high school drop-out, drug addicted, single mother.

[3catsanadog]

But I thought that $250,000 was the borderline for wealthy. Now it’s down to $200,000? If this keeps up, the fashionistas will be saying “$50,000 is the new $250,000!”

[stuartcr]

A feeling of wealth, is pretty relative to your personal situation.

Maybe the truly rich can afford to do whatever is necessary, to not pay higher taxes?

[GOPJ]

Obama’s team will be able to find a Roth...

[3catsanadog]

Good line - I’d save this for the September Mega Tea Party!

[April Lexington]

Better to get your dollars off shore and convert them into something that will increase in value relative to the dollar. Right? Do you actually think they'll let you repossess your offshore holdings?

No, no, no... you don't EVER repatriate your foreign holdings. Pay taxes on them? Yes. Pay the taxes. But gold and other commodities are just stuff and the IRS doesn't tax your stuff yet. So, no. Hold off shore and convert to local cash when needed. Again, I repeat... pay all of the taxes owed. Don't give the government any reason to track you down. Take your post tax dollars and convert them into something that is legal to own and then store that stuff off shore (which is legal to do). Nothing sneaky about it. Render unto Caesar and keep the rest out of his confiscatory grasp.

[bill1952]

WHY in the hell would you EVER WANT to? Why would I WANT to work harder?

As they once said in the old Soviet Union:

"We pretend to work and they pretend to pay us."

[light-bulb]

John Galt I am not, but I am a capitalist, free market individual and I love to make money. I also enjoy creating, and developing new ideas; so maybe some similarities. However when the Gov. says give me more than 50% of what you make there is a fundamental problem. One of us needs to go at this point. Frankly, perhaps I was too apathetic in the past but now... well I can honestly say I’m ready to partner up with some good people and build a compound and live nearly off the grid.

I understand your frustration completely Zedd, and I believe the gloves are about to come off, but we’ll have to wait and see what unfolds throughout the world this next year. Certainly, the phrase “May you live in interesting times” applies directly to us.

[light-bulb]

Indeed comrade... indeed.

Just do enough to fly under the radar... do just enough to “make” it... it’s very sad when average is what’s being rewarded.