Posted on 7/21/2011, 3:46:44 PM by Perdogg
There are a lot of known unknowns about the new “Gang of Six” budget proposal. But conservatives should hold back from trashing it. Why? There’s a large, pro-growth tax-reform piece in the plan that would lower tax rates across-the-board. This is a stunning reversal of the Obama Democrats’ soak-the-rich, class-warfare campaign.
The best part of the Gang of Six plan is a reduction in the top personal tax rate from 35 percent to a range of 23 to 29 percent. For businesses, the rate would drop in the same manner. And the corporate tax would be territorial rather than global, thereby avoiding the double tax on foreign earnings of U.S. companies. Finally, the plan would abolish the $1.7 trillion alternative minimum tax. That’s huge. It’s another pro-growth tax reform.
(Excerpt) Read more at nationalreview.com ...
We have to pass the bill so we can find out what’s IN the bill. Trust them.
But what happens to me? I'm hearing it revokes the mortgage interest deduction and that it impacts charitable giving deductions. Unless my tax rate is cut dramatically, this means my taxes will go UP!
What type of sick case can be made to reduce charitable giving deductions?
sausage making at its finest..
If ya can’t stomach it, don’t watch.
The Gang of Six plan promised to have pro-growth tax cuts, yet it propose additional 1 T (some say 3 T) tax hikes. Details of which are supposedly to be hammered out later, and the plan was supported by a bunch of people I don’t trust (period). And we can guess not many gubmint entities will be ‘cut’, except for those that incontinence our daily life the most, and the military, so everybody will grumble.
Larry Kudlow should know better. It is not as if we haven’t seen this before.
“What I haven’t seen is a breakdown for the middle class on how they would be impacted by this deal. It’s great they want to simply the tax code. It’s great they want to cut business taxes.
But what happens to me? I’m hearing it revokes the mortgage interest deduction and that it impacts charitable giving deductions. Unless my tax rate is cut dramatically, this means my taxes will go UP!”
This is the key to the whole deal right here. If they do away with mortgage and charity deductions, most people’s taxes will go UP. I don’t see how they can sell a plan that “lowers taxes on the rich and raises taxes on the middle class.”
If that’s what it truly does, then I don’t see too many Dems supporting it either, and they will need a lot of them in the House, cause most conservatives there will vote against it.
I frankly think this plan is another smokescreen to move people to the McConnell plan and make it seem “not as bad” as the other plans.
Do we really need all of the garbage Larry is explaining in a simple bill? Just slash the budget.
Dropping the mortgage deduction would prompt an explosion of low-cost housing (and destruction of all other) as a significant fraction of mortgage payers would just sell pronto and buy lesser homes for cash. I’d guess the market for >$150,000 homes would just evaporate long-term.
We better duck as the gang of 6 is throwing a sucker punch at the nose of all U.S. citizens. No big deal will stand and will be whittled down the day after made.
No deal, short or long, will work, I’d rather see the melt down with none. At least that would get the attention of our sleeping masses.
>>>Do we really need all of the garbage Larry is explaining in a simple bill? Just slash the budget.
As Larry Kudlow’s colleague Kevin Williamson noted:
But the important drivers of our deficit are entitlements, mainly centered on health care, the cost of which is growing at about three to four times the rate of GDP growth. We aren’t going to grow our way out of that problem — not at 2 percent, not at 5 percent. We’ll simply keep spending, pile up more debt, and have a debate like this again in a couple of years, if we’re lucky — or in a couple of weeks if we aren’t.
Nothing short of comprehensive reform of Medicare, Medicaid, and Social Security is going to stabilize our public finances. The Gang of Six deal contains only very vague language about “efficiency” in health-care spending, and it actually makes Social Security reform more difficult by introducing procedural barriers. It’s a terrible deal, and Republicans would be fools to take it.
http://www.economist.com/node/18988614?story_id=18988614
“But there is a sweetener regarding Social Security (state pensions): any savings made from that programme would go towards shoring up its parlous finances, rather than paying down the deficit.”
IOW savings from SS cuts will be put in the ‘lockbox’ to be borrowed for more spending. That’s flat-out cruel. Sick.
nothing but a large tax increase using elimination of deductions similar to the largest tax increase in history given to us by Reagan!!!!
“What type of sick case can be made to reduce charitable giving deductions?”
Noting but a plan to put a lot more people on welfare and insuring that thay vote for socialists forever!
Would you expect anything positive for the middle class taxpayers to come from these 6 POS? Enjoy he few last days of our so-called freedom in this nation.
Noting but a plan to put a lot more people on welfare and insuring that thay vote for socialists forever!
WINNER! WINNER!...CHICKEN DINNER!
Cut spending and lower taxes!!!
Why is it so hard for these pundits to understand this! Any bill with anything other than these two requests should scrapped! It’s that simple!
Of all the plans that have been proposed, which is best?
The supposed $1 trillion in tax cuts over 10 years in the Gang of 6 plan is relative to a baseline where it is assumed that all the Bush tax cuts expire at the end of 2012. Even democrats say they are in favor of extending 75% of the Bush tax cuts. If you judge the Gang of 6 plan relative to a baseline where the Bush tax cuts are extended for the next 10 years, it is a $3 trillion tax increase.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.