Category Archives: Taxes

Ryan thinks he is John Galt – defender of the rich, enemy of the poor, not a denizen of the swamp?

Ayn Rand’s novel, Atlas Shrugged, begins with a simple question: Who is John Galt?

The answer comes in the last third of that 1957 book, where Galt emerges as the champion of capitalism and defender of Rand’s Objectivism philosophy, which has opposed:

  • Child and Adult Care Food Program
  • Federal Housing Assistance
  • Food Stamps
  • Head Start
  • Low-Income Home Energy Assistance Program
  • Medicare & Medicaid
  • Nationalized Health Care
  • School Lunch and Breakfast Programs
  • Social Security
  • Special Supplemental Nutrition Program
  • State Children’s Health Insurance Program
  • Temporary Assistance for Needy Families
  • The Pension Benefit Guaranty Corporation
  • Title XX Social Services Block Grant Program
  • Trade Adjustment Assistance
  • Workers’ Compensation

Galt was not real, but he was a hero to the children of many wealthy families. These sheltered capitalists-in-training saw Ayn Rand as a hero, because she espoused that caring for nobody but yourself was not selfish, but a virtue. Continue reading →

Center for American Progress and CATO both want to invest our Social Security funds in stock market

When the right and left political wings agree, you can bet middle-class Americans are in trouble.

And if you are talking about Social Security, a new bipartisan plan spells major cuts in benefits, as the establishment is set to privatize our public retirement system after the mid-term elections next year.

John Podesta – Trilateral member

About $2.8 trillion (2,800,000,000) has been borrowed since the 1980s from your Social Security contributions to pay for bureaucratic wars on poverty. to fight real wars on ungrateful Arabs, to sweetheart deals to campaign contributors, and to create a war machine larger than all other countries combined.

But the political class has decided it should not pay back this money, but will instead cut your Social Security benefits enough so they you only get benefits from FICA taxes paid in the current year, and receive none of the money borrowed from the Trust Fund, which will be dissolved. Continue reading →

Lies about “repatriation” from the media and elites. Most of the targeted cash is already in U.S. banks.

Stagnant wages. Windfalls for the politically connected. A new tax plan primarily for the rich.

Just 13 years have passed since the 2004 tax repatriation holiday, which created nearly no new jobs for American workers, but was instead used almost entirely by multinationals for stock dividends and buybacks. Many corporate execs and shareholders became instantly rich from this tax holiday, while workers’ wages were stagnant.

The GOP’s new plan is more of the same for one simple reason:

That $2.6 trillion, which every politician and media pundit loves to cite as a boon to America,  cannot come back to the United states, because the vast majority of the money is already here.

This cash is invested in U.S. Treasury notes, U.S. agency securities, U.S. mortgage backed securities, or U.S. dollar-denominated corporate notes and bonds. And no corporate income tax has been levied on these trillions of dollars. Continue reading →

Some seniors will pay a 296% tax increase under “Deep State” deal with media and politicians

Remember the promise of a tax cut primarily for the middle class?

For many Americans that will be a lie, and retired seniors will be hit the hardest, despite the attempted sleight of hand numbers game that “gives” you about double the standard deduction, but doesn’t mention the loss of personal exemptions.

Even worse, the so-called reform means that a couple that used to itemize deductions above $12,700 (under 65) and $15,200 (over 65) will now have to wait until the itemization exceeds $24,000.

The table below shows the current income tax formula for a senior couple with the average Social Security benefit, plus a part-time job, and an RMD. (At age 70 1/2 the government forces you to take out part of your IRA and pay income tax on it every year. If you have stocks or bonds, they must be sold to satisfy the IRS, even if they lost value.)

This average senior couple will pay $1,506 income tax under current law without itemization.

Some might wonder about that tax on Social Security Continue reading →

$4,000 Wage hike “Fake News” from the White House – whatever happened to Trump promise of “no taxes for a couple earning less than $50,000”


UPDATE to April 2017 post, Russian Dossier with complete text: DNC and Clinton campaign paid for Fusion GPS  report used by FBI to investigate President.


The following was emailed to me on Saturday from the White House.

TRUMP PENCE WEEKLY NEWSLETTER 10.21.17
TAX CUTS FOR REAL AMERICANS

President Trump is working harder than ever to bring tax reform to middle class Americans, including the biggest tax cut in American history. This week, the President took his case to conservative leaders, seeking their support in pushing Congress to pass a tax reform bill, he said, “We need…help…to get our tax cuts through the house, through the Senate, and to my desk for signature.” Now is the time for all Republicans in Congress and maybe even patriotic Democrats to come together and support major tax reform that will boost wages and deliver families a $4,000 annual pay raise. We must get Congress on board, in order to deliver tax relief to hard-working Americans. Call and remind your Representative and Senators to support the President’s Middle Class Miracle today.

Although I am retired and there is no boss to give me a pay raise, I imagined that, at least, my children and grandchildren would benefit, and perhaps send me a fancier birthday card or buy me a funny hat with all the extra cash in their checking accounts.

And after learning that I am a “Real American”, according to this government email, I wondered: “could this $4,000 pay raise be real?” I turned to YouTube, where your computer screen seems to come alive with the voice of Mr. Trump and Bill Nye, among others, and found the President making this same promise: Continue reading →

Fake campaign promise by Trump to lower taxes has reduced his Presidency to swimming in the swamp

“If you’re single and earn less than $25,000 per year, or married and jointly, and jointly earn less than $50,000 – so very important – if you’re single and make less than $25,000 or married and jointly earn less than $50,000, you’ll not pay any income tax. Nothing.” – Donald Trump

September 29, 2015

@2:00 – Less than $25,000 or jointly less than $50,000, pay no taxes


February 3, 2017

In January President Trump took office and almost immediately lowered the benefits of his “middle class” tax plan. Suddenly, the $25,000 and $50,000 standard deductions promised on the campaign were slashed 40% to just $30,000 and $15,000. Continue reading →

GOP plan to end “Death Tax” means the billionaires will be overjoyed, while the rest of us pay the bills

Tuesday, 4/4/17: examining entire fake “Russian Dossier” on Donald Trump!

Estate tax percentages have varied in recent history, ranging from 55% in 2000 under George Bush #1 to 35% under Barack Obama and now 40% under Donald Trump. The GOP wants it to be zero.

300px-Estate_Tax_Returns_as_a_Percentage_of_Adult_Deaths,_1982_-_2010Currently, couples with less than about $11,000,000 pay no estate tax. On amounts above that, the government takes 40% for taxes. The history of the estate tax revolves around the desire for fair taxation of the richest Americans to pay for public programs.

Eliminating the estate tax will aid any couple who die with more than $11 million (current deduction), and the GOP argues that this would affect many small businesses, which would have to sell land or equipment to pay the tax.

I have an idea that should please the GOP and still maintain some sanity in our progressive tax system. This is in addition to the 123 Plan, which easily adds $54 billion in revenues to the federal budget this year.

Only apply the estate tax to those whose estates are $1 Billion or more, but raise the rate to Bush #1 rate of 55%.

That would generate $1,514,425,000,000, or $1.5 Trillion that the rest of us won’t have to pay in income and other taxes. This revenue is calculated by taking the total current Forbes wealth of all American billionaires and assuming they will die someday and have to pay the estate tax.

If there is no estate tax, they will avoid $1.5 trillion in taxes.

Who are these billionaires. Check the list Continue reading →

Trump financials detail his vast business holdings; reducing value of studying individual tax returns

While the study of tax returns may have meaning for individuals, it has far little information than the assets and liabilities of a business. I learned this in the process of buying and selling newspaper companies in the 80s and 90s.

donald-trumps-penthouse-apartment-trump-tower-new-york-profileDonald Trump’s holdings are vast, and they are so diversified that any analysis of how each of hundreds of corporations makes a profit, would take yards of paper and millions of entries.

But Trump’s required election bid financial disclosure form shows how his empire works and could provide many hours of conjecture. Continue reading →

Primary debates hide questions on Social Security! If we knew their actual plans, nearly all would lose

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Republican candidates for President have avoided using the Primary debates to explain their plans for Social Security. Exceptions include Chris Christie, who saw his ratings collapse after publicly urging that the retirement age be hiked, and Donald Trump, who said he would not cut benefits.

Ben Carson has not settled yet on a stance, except to remind us that life expectancy has increased. As a doctor, he must realize that today, fewer babies die at birth and feeble seniors are kept alive, but not active, for decades.

On the Democrat side Hillary Clinton and Bernie Sanders want hikes in benefits for lowest earners and some kind of increase in the payroll wage tax cap.

First, the GOP.

  • John Kasich, Ted Cruz, George Bush and Marco Rubio all want to raise the retirement Continue reading →

Heritage hates Obamacare – plans “Impoverishcare”

Healthcare.gov has my email address, because I once searched for plan information on the site, and now the artificial intelligence – or just perhaps an algorithm – has decided to pester me to sign up or pay a penalty. Having fooled the system (because I can’t get Obamacare since I passed my 65th birthday), I checked some prices to see the cost of  plans for my neighbors, assuming a family of two parents and two teenage children.

Cruz-at-Heritage-Foundation

Rafael Edward “Ted” Cruz

It’s not a pretty picture. Without premium subsidies, all of the so-called Obamacare Bronze plans cost about $900 a month, or $10,800 a year. All of them have a deductible of about $12,000, which adds up to a total cost of $22,800 – before you receive one penny of health insurance. It’s all on you – just put pennies in the jar each January and set aside 2,280,000 as your personal Copper plan. Actually, someone should call the coppers for allowing such a ripoff junk health plan.

The missing ingredient in this analysis is that the government (middle class taxpayers) provides a subsidy to our average $50k-a-year household of four, amounting to $800 or so per month. That money goes directly to the insurance company. You pay the difference in premiums and you also pay all that $12,000 deductible. It seems insanely expensive – between contributions from taxpayers and subscribers – and some might say a windfall for insurance companies, a deal that was negotiated by Chicago’s current mayor under assault, who is also a former investment banker.

The Democrats may have bowed to the healthcare industry, prostrated their principles, humiliated party members, destroyed the President’s legacy and may even made Valerie Jarrett unhappy, but things might get even far worse.

Enter the GOP and its brainiacs at the Heritage Foundation. They have a plan that makes Obamacare look like heaven with 72 virgins (persons, of course) and unlimited six packs of Continue reading →

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