Let's look at a few things that will happen when the Bush tax cuts expire:
1. Child credit will drop from $700 per child to $500.
2. Income tax rates will increase about 4% in each bracket.
3. The standard deduction for joint filers will shrink from 200% to 167% (and will now include the 15% bracket) which will basically create a marriage penalty.
4. Estate tax exempt rate will drop from 3.5 million single or 7 million joint to 1 million single and 2 million joint at a taxable rate of 55 - 60%. Unless, of course, you inherit an estate in 2010 which in that case you would owe 0% any any amount.
5. The 10% tax bracket will go away raising the tax burden on the other brackets by about 5% .
6. The 0% tax rate on capital gains for those in the 10 - 15% tax bracket would go away. ( see #3 and #5 )
Where is the incentive to invest anymore? Why does the government feel they deserve over half of a family's inheritance? What risk and capital did they ever make to deserve half? Where is the incentive to work if the government is going to take half? If a person has over 1 or 2 million in assets, what would be the incentive of working to make or invest more knowing they would just be working to give it all back to the government?
What would one suppose would happen when the "wealthy" decide they would rather stop working than work to pay taxes? Oh yeah. There will be less money to pay for all of those new welfare programs. Then what?
What do you think would have happened if the DOW dropped over 2200 points within 2 months of Bush taking office? For some reason, Obama gets a free pass having to explain.
Kill the goose who lays the golden egg.........
I just don't get it. Some presidents are dumber than rocks.
I just don't get it. Some presidents are dumber than rocks.
UPDATE: Market saw a nice 250 decline or 3.4% thanks to Obama's no plan plan. What did I tell you?
3 comments:
This is bigger than just Obama. They (the powers that be) are trying to cripple the middle and upper-middle class and make us all slaves to the state. It's all about power. Are you ready for a revolution?
DOW under 5000 S&P under 400 by end of year.
You got it right Scott. I feel the same way. Each day that goes by makes it more and more obvious that his speeches, actions and words of "catastrophe" and "dire" are just a way to create fear and force his socialist, anti-captitalist agenda.
What's funny is I have a couple of very liberal friends who are starting to "get it" now. Really anyone with half a brain about Economics 101 could figure it out. Too bad it took their losing half of their retirement.....
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