The Rich Will Get What They Want Anyway
If you’ve been following the election, then you know that John Kerry has pledged not only to preserve present middle-class tax cuts, but to augment them with targeted cuts, like tax breaks for people trying to send their kids to college. For wealthy people–himself included–on the other hand, he has promised to roll back the tax cuts for the rich, to pay for incidentals like Education and Health Care.
George Bush, on the other hand, has made no secret of his intent to protect, prolong and increase his tax cuts for the rich–and has done so by throwing meaningless bones to the middle class, and by fooling people of modest means that his tax cuts are somehow aimed at them. And many are happy with their tax cuts, despite having them wholly cancelled out by under-the-radar costs such as high energy prices, large cuts in government services, lower salaries and wages, and local and state tax hikes to pay for lower federal assistance.
Bush continued that streak by making two incredibly outrageous statements yesterday. First was his statement that Kerry’s tax rollbacks for the rich would hit small business owners because, and I quote, “the rich in America happen to be the small business owners.” Come again? Small business owners comprise the “rich” population in the U.S.? Give me a break. And Bush’s awareness of that lie can be easily tested by asking him to limit his tax cuts to people earning over $200,000 to only the owners of small businesses. See how fast he dumps that possibility.
But then Bush went further. He said that raising taxes on wealthy people has failed in the past because, and again I quote, “the really rich people figure out how to dodge taxes anyway.” So his official position is to give tax cuts to the rich because they’ll find a way to get the money illegally anyway?
I am reminded of an old political cartoon I saw in a book many years ago. The cartoon was published about a century ago, and featured two overweight men, dressed in coats and top hats–the obligatory rich-guy getup in comics–both laughing hysterically at a piece of paper one of them is holding, on which is printed three words: “tax the rich.” It apparently was as true back then as it is today, and this spirit lives on in the Bush administration.
The truth is, under the Bush administration, the IRS has been morphed into a “give the rich anything they want” agency. This policy of letting wealthy people get off without paying has even gone beyond helping them establish foreign-based offices so they can escape paying taxes in the U.S., they also help out people who can not or do not take that particular out.
22-year senior IRS auditor Remy Welling is now risking a jail sentence to make the people aware of this tacit assistance to the rich. She has blown the whistle on this practice, citing the specific case of Silicon Valley corporation Micrel, which the IRS secretly helped to avoid paying $51 million in taxes it was legally bound to pay–and then additionally helped the top executives get an additional $20 million by keeping information secret from its shareholders. Welling found this out when she was given the case and told that the IRS settled the deal before an audit of the company even began. And these guys are not “small business owners.”
Under the Bush administration, face-to-face tax audits on corporations have been slashed in half. $311 billion in owed tax revenue went uncollected last year, nearly two-thirds of the current budget deficit.
This is not just giving tax breaks to the rich, this is the Bush IRS practically handing cash to rich people at the expense of middle-class taxpayers. That’s how much he “supports” the working American.
Luis, the transcript of W’s speech at Northern Virginia Community College
Annandale, Virginia on Aug 9th is on the White House website (http://www.whitehouse.gov/news/releases/2004/08/20040809-3.html).
It amazes me that they actually put his ramblings where anyone can see it. Much of the speech doesn’t make much sense. He seems to have a definition for “rich” and another on for “very rich.” The “rich” don’t fare anywhere near as well as the “very rich” and he doesn’t seem to be unhappy about it. I also thought it was interesting how he ignored the fact that most small businesses fail within the first year or two. Maybe he thinks that if everyone is busy fretting over how to pay for the house and the business they are trying to pay for then they won’t notice just how lousy the Administration really is.
You can quickly find some of the more memorable quotes if you do a find on the words tax or rich. Reading more is interesting. It gives the impression that most of it is off the top of his head, he’s not following a prepared script for the most part. There was a sentence I wished he had finished. “We shouldn’t be taking more than 35 percent of anybody’s money, anyway, federal taxes out to be — (applause.) “
I don’t know where he was going with that, I recently read that GW didn’t want to lower Federal taxes since, he said, lowering the Fed income tax would interfere with the solvency of Social Security. No one called him on it, of course.
Another quote I have to share; ” A lot of the government policies are, you know, as I like to put it: we’ll give you the orders and you pay the bills.” And he seems to be the king of the order givers.
Hello
I noticed the comments on your website regarding my New York Times Article of August 10, 2004. I could not be more pleased to have started this internal discussion on your webisite. Thank-you so much for noticing. It was a difficult year for me. Many other agents have faced similar sstruggles in their audits. Many of us believe it can be traced back to the Restructuring Act of 1998, when the Republican Senator Roth and Newt Gingrich’s Congress rushed through the Restructuring Act of 1998 and what was called “ThTen Deadly Sins” – a kind of Reverse Whistleblower Act that only the wealthy could avail itself of and could only be applied against low level employees – rather than upper level management or executives. Thus, it came to be that we were unable to assess taxes against what David Cay Johnston described in his best selling book “Perfectly Legal?” as “the donor class” – really the super wealthy taxpayers. At any rate, I was hoping to at least amend the Ten Deadly Sins and perhaps establish a whishtleblower law for regular employees. We are not covered by Sabarnes-Oxley – the whistleblower law for corporate employees or any other serious whistleblower law – leaving us prey to these secret deals. Thank-you.
Sorry for the typos.
Remy Welling