Bush on Taxes

I've heard that theory before. The rest of it being that the lower the tax rate, the less incentive to go all out looking for deductions or stretching the rules, etc.

I've not seen any study that backs up the theory, and the wealthy people I know don't seem to lessen their attempts at avoiding taxes when tax rates go down. So, I don't know how accurate the theory really is. I have my doubts.

I can think of all sorts of good reasons for lower taxes. The idea that rich people will be less likely to avoid taxes if the rates are lower is not really one of them (if such was the goal, I would think that eliminating some deductions and loopholes would be a part of the strategy).

 

Well it's also a scare tactic on Bush's part not related to John Kerry's economic tax plan. Kerry and Edwards stated very clearly in that they would not raise tactics on small businesses.

But once again you see Bush trying to play the situation as if that's what Kerry wants to do.

 

Well, it would be an increased tax on small businesses that are sole proprietorships or partnerships that have income beyond the threshhold in whatever plan Kerry wants to enact.

You can't raise individual income taxes and not affect some businesses that don't have a corporate structure.

 

It was my understanding that it would only be taxing the individual income and not the business.

 

Sole proprietorships and partnerships (and Subchapter S corporations) are flow-through. They don't file taxes separately as a business and then as an individual. The individual owner(s) include the business revenues/expenses/whatnot in their individual income tax returns. If the business ends the year with $250,000 in net income, the individual is taxed on that $250K on his return.

 

Sorry I wasn't using my thinking cap. I've had to file those taxes before, and I wasn't even thinking of that. Thanks for putting me straight.

 

Having done some research in this field, his statement is only partially true. SOME very wealthy people figure out ways to get out of paying some of their taxes, however, while the amount of money they save is significant, they are still paying a lot of taxes.

for example, I know of one wealthy fellow who figured out a way to legally pay $100,000 less taxes than he would have regularly. However, he is still paying close to a half million in taxes. Then again, its not like it really affects his life anyway, as he'll never live a day of poverty in his life.

 

The question then would be whether that same guy would not go to the effort to lower his tax burden if tax rates were lower, which is what the President, at least in my reading, seems to be saying.

 

Bush on Sovereignty

 

Rimrocker;

This part of your post caught my attention.

It really scares me that people still think this way. That somehow protesting a political candidate are considered Un-American.

This comment is saying that in America is so great because you can protest political candidates so you better realize that you're protesting is un-American.

 

I don't know where you get the un-American angle on this. Remember, she is smiling when she ruses upon this. I think she just thinks they don't get it. Rather she says they are Lucky Americans.

 

I'd like to introduce you to my neighbor. I'm from Raleigh, North Carolina, and for several years I've lived around the corner from Vice Presidential Candidate John Edwards. My neighbor John has been in the news a good deal lately, but it's hard to tell about the man himself from the coverage. Maybe I can help you get to know him better.

Even several years ago, before he was elevated to the national stage, my neighbor John didn't socialize much with other neighbors. He didn't gather with other neighbors at the Fourth of July and he didn't come out to the sledding hills to watch the kids play after a snow. My neighbor John preferred to jog through the neighborhood by himself. There's no sidewalk on Alleghany Drive, John's street in Raleigh, and if you drove past him as he was jogging on the road and didn't slow down enough for his taste he'd flip you the bird. Even after he became a U.S. Senator, he'd still come home to Raleigh every once in a while, would still jog through the neighborhood, and would still flip the occasional bird to passing cars. He last showed me his middle finger about four years ago. Since then, my neighbor John is rarely in town. When he is home, though, we in the neighborhood all know it.


My neighbor John invited reporters from TV, radio, and print news organizations to come to his house in January 2003 for the announcement of his Presidential bid. He didn't want any news vans parked on his property -- in fact, he made sure all the cameras and reporters waited in the street at the bottom of his driveway. That way everyone could get good footage of him strolling down the driveway to make his announcement, young children in tow. The news vans drove into the yards of John's neighbors and parked there. I heard two families ended up re-sodding their damaged yards, and John never apologized to anyone, much less offered any compensation. The family across the street from my neighbor John has since put up posts at their property line to try to keep that sort of thing from happening again. The appearance was good for my neighbor John. Nobody else seems to matter to him.

Since then, when my neighbor comes home (as he did July 10, to be interviewed with John Kerry for "60 Minutes"), Raleigh police officers block off the street. Those of us who live near him end up coming and going to and from our homes on a circuitous route, on a bad, unsurfaced road. Forsyth Street has been closed to through traffic, except when my neighbor is in town, because the road has been ripped up for installation of new gas and sewer lines. My neighbor's street is a public, city-maintained street, and it is the best way to get to homes just north of his. If my neighbor is around, though, apparently none of the rest of us can use the street at all. It's good for my neighbor John. Nobody else seems to matter to him.

My neighbor John has been a very successful trial lawyer, but his practice of law sometimes seems more like extortion. A friend of mine is a doctor in Raleigh. He recently spoke with another doctor, an anesthesiologist, who was named in a suit filed by my neighbor John. Apparently a surgeon at a local hospital had made a mistake, and my neighbor John represented the injured patient. Not only did my neighbor John sue the doctor who made the mistake, but also sued the hospital and a string of others, including the anesthesiologist.

There was no problem with the anesthesia -- the nesthesiologist had done absolutely nothing wrong. His attorney said so in a meeting with my neighbor John. John's neighborly response was that he couldn't care less if the doctor had done nothing wrong. That wasn't the point. The point was that clients come to my neighbor John because of his record of success and his reputation for thoroughness. Every defendant in a suit he files pays, regardless of whether they are actually guilty or not.

My neighbor John demanded a settlement of $250,000, and said his firm was willing to spend $2 million to get it. The doctor's insurance company promptly paid the $250,000. The rate of growth in North Carolina's medical malpractice insurance rates is among the highest in the nation. The total cost of health care rises with those rates. My neighbor John's slimy extortion is part of the reason. Forget about right or wrong, guilt or innocence. My neighbor John did what was best for himself. Nobody else seemed to matter.


My neighbor John may be a trial lawyer, but in front of juries he also claims to be something of a psychic. You see, my neighbor John specializes in cases involving the death or serious injury of children. He claims to receive messages from dead or brain-damaged children, and the messages are much clearer and more specific than those received by the famous "psychic" who nearly shares my neighbor's name. When a child has been killed or is otherwise unable to speak for him or herself, my neighbor John says he has the ability to "channel" that child. He tells juries he feels the child inside him, and that he has messages from that child, which he relays to jury members. He tells juries about the car-accident death of his own son, Wade, and speculates that he may have received the ability to "feel" the souls of dead or injured children because of the close relationship he still feels with his son. It sounds hokey and more than a little creepy, but it seems to play well with juries, and results in very high jury awards.

These awards have made my neighbor extremely wealthy. He's so wealthy that he created a corporation of which he is the only member, and pays himself most of his earnings as corporate dividends, not as salary or wages. Medicare taxes are not levied on dividend income, so my neighbor has avoided paying $600,000 into the Medicare system since 1995 by setting up this tax shelter. But he says others aren't paying their fair share of Medicare taxes. It's good for my neighbor John, and nobody else seems to matter.

My neighbor made a lot of promises on his way to the Senate. He promised strong support for our military, but then voted against body armor, combat pay, and better health care for our troops in Afghanistan and Iraq. He promised to support traditional North Carolina values, but then voted to the left of Ted Kennedy on partial-birth abortion, taxes, propertyrights, and a host of other issues. We in North Carolina feel betrayed. My neighbor John figuratively gave his constituents the middle finger while he ingratiated himself to Tom Daschle and the rest of the Democratic Party leadership.


My neighbor announced many months ago that he would not seek re-election, because he knows he's unpopular in North Carolina and would lose by a huge margin. According to a poll released this week, when the Kerry/Edwards ticket was announced, support for Kerry in North Carolina went down, not
up. We North Carolinians know John Edwards. We've been betrayed by him, and we do not support him. But as he broke his promises to us, he gained favor with the Democratic Party leadership. Now he's a political star. I guess turning his back on the people he claims to represent has worked out well for my neighbor, John Edwards. Nobody else seems to matter.

 

Did you write this Giddy?

 

giddyup's neighbor is going to be the next Vice-President of the U.S.

 

Do we want *all* Americans to be healthy, educated and financially stable? Or just those with money?

Answers tend to align with viewpoints on Bush's tax "cuts."

 

No, it was written by the friend of a friend of mine. I have the name but chose not to "publish" it.

 

Clutch frowns upon not providing links.

 

There is no link.