Tag Archives: Fraud

GOP tax bill: the devil is in the details to derailing this terrible bill

The House and Senate conference committee will be meeting this week to hash out the differences between the House and Senate GOP tax bills to come up with a conformed bill that still must be passed by both chambers to become law.

There is a scenario or two in which this terrible tax bill falls apart. Jim Newell writes at Slate, How the Tax Deal Could Fall Apart:

The biggest development this week was that negotiators, for the first time in the process, seriously looked at reinstating some version of the state and local income tax deduction. There appear to be two reasons for this. The first would be the sizable, and mercurial, California GOP delegation in the House. Eleven out of 14 of these members voted for the original House bill—an odd move, since one of the bill’s ambitions is to redistribute Californian wealth elsewhere. Rather than flex their leverage in the original fight, though, they put their faith in Majority Leader Kevin McCarthy to ensure it’s fixed in conference. The second reason—and the one that explains why Californians might prevail—is that they appear to have an even greater ally in this fight than McCarthy: President Trump. The Washington Post reported this week that Trump’s rich friends in New York have been bitching to him about the SALT elimination. That goes a long way.

Even a modest retention would be costly. Eliminating the deductibility of state and local income taxes is a major revenue-raiser in both the House and Senate bills. Other pay-fors that were included in both the House and Senate bills might not last in the joint negotiations as well. There is a flat-out error in the Senate bill regarding the corporate alternative minimum tax, and the Senate’s last-minute decision to keep the individual AMT is meeting resistance as well. The House bill, which more aggressively pursued deductions for graduate students and those with major medical expenses, is also expected to be tamed.

What all this means is that conference negotiators are under pressure to find some hundreds of billions of dollars in new revenue to keep the bill’s net cost within $1.5 trillion over the next decade.

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The GOP tax bill is generational theft that steals from our future

Republicans only care about the federal deficit and national debt when Democrats are in charge of Congress and the White House.

When Republicans are in charge, “Reagan proved that deficits don’t matter,” as Dick Cheney infamously once said.

Remember when Republicans used to say that the national debt was “generational theft” from future generations of taxpayers? Funny how we are not hearing this from Republicans now.

But here is a recent example from Neal Urwitz at the conservative Newsmax, regarding the current GOP tax bill that will add another 1.5 trillion dollars plus to the national debt in order to give tax cuts to corporations and Plutocrats. It’s Not a Tax Cut — It’s Generational Theft:

Hey Baby Boomers — if you could stop stealing from my generation, we’d really appreciate it.

To be clear, I’m referring to President Trump’s tax-cut proposal. His proposal, if enacted, would increase the federal government deficit by trillions of dollars. Sure, the administration claims it’ll be revenue neutral, but there’s no way that’s true.

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So it’s simple math: taxing less + spending the same amount = massive deficit.

Sure, some people argue that the increased economic growth from tax cuts will make up the resulting deficit — this theory is known as the Laffer Curve — but even Republicans don’t really believe that anymore. The theory has simply been tried and failed too many times for anyone to reasonably think it’ll work this time.

To state the obvious, if we accumulate massive debt as a nation, someone has to pay the piper. And that is going to be all the generations after the Baby Boomers …

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The upshot is my generation will have to pay much higher taxes and will have less money for the things we’ll need in the future — like sophisticated defense, functioning education, homeland security, or fixing our crumbling infrastructure. Oh, and we’ll have to do it with anemic economic growth.

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House GOP tax scam exposed

The House Ways and Means Committee on Thursday approved the House Republicans’ bill to rewrite the tax code on a party-line vote. GOP tax bill clears hurdle, heads to House floor:

The measure — which reduces the number of individual tax rates, slashes the corporate tax rate and eliminates many deductions and credits — was approved on a party-line vote of 24-16.

The only changes made to the bill during the markup were from amendments offered by Ways and Means Committee Chairman Kevin Brady (R-Texas).

Thursday afternoon, Brady made a number of changes to the bill which included restoring the adoption tax credit, additional tax relief for pass-through businesses and higher tax rates on repatriated foreign earnings.

Republicans and Democrats argued during the markup over whether the bill would help the middle class. GOP lawmakers pointed to estimates from the Joint Committee on Taxation that showed that on average every income group would get a tax cut in 2019.

“It was established over and over again that the Joint Committee on Taxation says taxpayers at every quintile will pay less taxes under this plan,” said Rep. Tom Rice (R-S.C.).

But Democrats cited Joint Committee on Taxation estimates that showed some middle-class taxpayers would still see their taxes go up, particularly in later years.

“This bill will raise taxes on the middle class. It will raise taxes on the middle class. It will raise taxes on the middle class,” said Rep. Joseph Crowley (D-N.Y.).

So who is right? As one should surmise, it’s not the GOP bait-and-switch tax scammers. Paul Waldman of the Washington Post reports, The GOP tax plan will raise taxes on lots of people. A new analysis shows how many.

Republicans have always been good at spin, but right now they’re facing one of the most extraordinary PR challenges they’ve ever confronted: Can they sell a bill that raises taxes on tens of millions of Americans as a glorious tax cut for everyone?

It would be an extraordinary trick if they managed to pull it off, but distracting from the facts will be no easy task.

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Paul Ryan’s bait-and-switch sales campaign for the GOP tax bill

Last week the GOP’s alleged boy genius and Ayn Rand fan boy, Paul Ryan, “the zombie-eyed granny starver from the state of Wisconsin,” rolled out the GOP’s tax bill with this sales campaign: that a typical family of four will save $1,182 under the GOP tax bill.

“I don’t envy the partisans tasked with messaging against giving middle income families (family of four making $59K) $1,182 back,” AshLee Strong, Ryan’s press secretary wrote on Twitter, adding the hashtag #1182more …

… said the shameless GOPropagandist. Well defenders of truth, justice and the American way have no fear of soulless GOPropagandists, lady.

Dylan Matthews at Vox.com explains how Ryan’s example is a bait-and-switch campaign that will actually raise taxes on middle-class families. Paul Ryan’s poster family for middle-class tax cuts would ultimately get a tax hike:

The problem with selling the bill this way is that the claim is only partially true.

It is true that the average household in 2016, which the Census Bureau estimates makes made $59,039, would get a tax cut worth about $1,100 in the first year. (A more technical quibble with the claim is that many households aren’t families, and the average household size is 2.53, not 4.)

But after the first year, that claim looks much shakier. As NYU tax law professor and former Obama adviser David Kamin explains in a Medium post, the plan would actually result in a sizable tax increase for such a household over time:

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Evil GOP bastards vote to gut Dodd-Frank banking regulations

Remember those terrifying days in September 2008 after the housing bubble had collapsed, the world’s financial system teetered on collapse, and the economy was in a free-fall?

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Yeah, Tea-Publicans in Congress hope you suffer from short-term memory loss and that you have forgotten all about those dark days.

The evil GOP bastards want to return to what they view as those halcyon days when the banksters of Wall Street ran wild in unregulated casino capitalism — speculation, fraud and theft — that nearly destroyed the world’s financial system. Not one bankster of Wall Street was ever convicted for the greatest financial crime in history, but the GOP is OK with that … the banksters are the “masters of the universe” whom the lickspittle servants of the GOP serve in Congress.

While You Were Paying Attention To Comey, House Republicans Voted For Everything Big Banks Want:

While much of the political world was watching the fallout from former FBI Director James Comey’s Senate testimony Thursday, House Republicans were jamming through a bill that would largely gut the financial regulations in Dodd-Frank, the landmark banking legislation passed in 2010 after the worst financial crisis since the Great Depression.

But instead of quietly sneaking the legislation through, Republicans were loudly touting the bill ― which passed, 233-186, with all Democrats and one Republican (Walter Jones of North Carolina) voting no ― as a major victory.

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Arizona’s school voucher program is a scam for the wealthy

Arizona’s school voucher program, known as the Empowerment Scholarship Account program, is a scam for the wealthy according to this new analysis.

The Arizona Republic reports, Arizona taxpayer-funded vouchers benefiting students in more-affluent areas:

As Arizona’s school-voucher program has expanded rapidly in the past year, students using taxpayer aid to transfer from public to private schools are abandoning higher-performing districts in more-affluent areas, according to an Arizona Republic analysis.

This year, more than 75 percent of the money pulled out of public schools for the Empowerment Scholarship Account program came from districts with an “A” or “B” rating, the analysis showed. By contrast, only 4 percent of the money came from school districts rated “D” or lower.

The findings undercut a key contention of the lawmakers and advocacy groups pressing to expand the state’s ESA program: that financially disadvantaged families from struggling schools reap the benefit of expanded school choice.

Critics, meanwhile, argue the program is largely being used by more-affluent families to subsidize their private-school tuition bills. The ESA program allows parents to take 90 percent of the money that would have gone to their school district and put it toward private school, home schooling and other educational programs.

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