The purpose of the Obama tax increases is to reward Obama’s cronies

**Posted by Phineas



Consider this: contained within the recent “fiscal cliff” legislation are tax increases to make those evil wealthy people (You know, those job creators who make over $400,000 per year) pay their fair share, to the tune of $620 billion over ten years, so about $62 billion in 2013.

But the Washington Examiner’s Tim Carney became curious about tax break extensions for business and energy concerns the White House insisted be included. So, he ran the numbers and… guess what?

…it undermines Obama’s professed desire to close the deficit.

Think about this: just the business and energy tax extenders reduce federal revenue by $67.7 billion in 2013. The tax hikes on the rich Obama won — higher rates on those over $400,000 and reduced deductions on those over $250,000 — raise $620 billion over a decade. As far as I know, we can safely guess that this would be less than $62 billion in 2013.

Unless I’m missing something, the special-interest tax breaks Obama demanded look to be bigger than the money he raised by taxing the rich. If he had just let all these special tax breaks expire — like wind tax credits, algae subsidies, and railroad track maintenance — it would have raised more revenue than his tax hikes on rich individuals and small businesses.

In other words, Obama doesn’t give a damn about shrinking the deficit in the least; instead, the whole charade serves largely to subsidize tax breaks as rewards for (I’m willing to bet) big donors. It’s redistribution from the taxpayers to favored interest groups. And it stinks.

Remember that as ever more is take out of your check each payday and you hear yet more promises from Obama and the Democrats about how they’re fighting for you. Then compare their words to their deeds.

“By their fruits you will know them.”

via Avik Roy

(Crossposted at Public Secrets)

NC furniture company, hailed in 2011 by Obama as a job creator, closing doors (UPDATED)

Another one bites the dust:

Lincolnton Furniture Company closed abruptly Thursday just one year after it was hailed by President Barack Obama as an example of the recovering U.S. economy.

Furniture-making operations stopped indefinitely and only a few people will remain employed moving forward, company financial officer Ben Causey said.

“I don’t know where it’s going to go exactly; we’re still evaluating our situation,” Causey said. “We just didn’t have any choice at this point.”

The company was not receiving the orders it needed to sustain its operations, Causey said.


Owner Bruce Cochrane, a fifth generation furniture-manufacturer, formed the company in 2011 with a $5 million investment and the hope he could make a profit off people who wanted to buy furniture made in America.

It was a move that caught the attention of North Carolina officials and those in the White House. Last year, Cochrane sat with the first lady during Obama’s 2012 State of the Union Address. He also joined the president and other business leaders in a discussion about how to create more jobs at home.

Unfortunately, Lincolnton Furniture Company has been hit by the Obama kiss of death. And this is not the first NC company this has happened to, either.

I wish the Cochranes well in their future endeavors. Furniture making is a longtime industry here in NC, and I love visiting the various “furniture rows”, admiring the beautiful craftsmanship, and smelling the wood. Hopefully the Cochranes will give it another go in the future – if they’re smart, they’ll wait until our clueless wonder in the WH has finished his last term. By then, hopefully we’ll have a more business-friendly President whose knowledge about how to get an an economy growing is based on something other than the op/ed pages of the NY Times.

Update – 4:05 PM: Here are excerpts from Obama’s speech at the WH last January commending Lincolnton Furniture and other small businesses:

I don’t want the next generation of manufacturing jobs taking root in countries like China or Germany. I want them taking root in places like Michigan and Ohio and Virginia and North Carolina. And that’s a race that America can win. That’s the race businesses like these will help us win.


“But you don’t have be a big manufacturer to insource jobs. Bruce Cochrane’s family had manufactured furniture in North Carolina for five generations. But in 1966 — 1996, rather, as jobs began shifting to Asia, the family sold their business and Bruce spent time in China and Vietnam as a consultant for American furniture makers who had shifted their production. While he was there, though, he noticed something he didn’t expect: Their customers actually wanted to buy things made in America. So he came home and started a new company, Lincolnton Furniture, which operates out of the old family factories that had been shut down. He’s even re-hired many of the former workers from his family business.

Video below:

Sigh …

#IamTheMiddleClass: Paying higher taxes, halting 401K, health insurance premiums skyrocketing

Pres on vacationWhile our celebrity President has gone back on sunny vacation after spending the bare minimum time in DC to demagogue the opposition party regarding the fiscal cliff “crisis”, I thought it would be a good time here in the new year to note that the “savior” who vowed to “protect the middle class”  has done a damned lousy job of it.

Like all of you reading this, the 2% FICA increase hit my paycheck this week, and all totaled for the year I’ll be paying roughly $1200 more to Uncle Sam. Pair that with having to halt 401k contributions in the last year, and also seeing health insurance premiums rise to the point I had to choose a less expensive plan with a higher deductible.  This wasn’t the “rescue” the President promised, was it?

The fact of the matter is that all of this was entirely predictable from the get go – when Obama was a candidate for President the first time around. Taxes weren’t just going to go up on “the rich”, they were going to go up on us all because WE CAN’T SUSTAIN GOVT AS IT STANDS WITHOUT HIGHER TAXES, FINES, FEES, ETC BECAUSE THEY SPEND TOO FREAKING MUCH AND CONGRESSIONAL DEMOCRATS WON’T CUT A DIME UNLESS IT RELATES TO DEFENSE SPENDING.  Then it’s open season.

Even some liberals are finally starting to get it, as notes here. Toldjah So, morons!  You can’t expect for government to “provide” for the things you “need” without them being paid for BY ALL OF US. NOTHING THE GOVT “GIVES” YOU IS FREE.  NOTHING.

So to the willfully ignorant jack asses who think health care is now “free”, and that anything else you “need” from the government is “free” – and who now are seeing less in their paychecks every week (as a result, in part, of what YOU advocate), has to pay higher health insurance premiums, has to scale back on 401k, etc: HAVE YOU LEARNED? You can’t have your cake and eat it, too.  Who best decides how to spend your hard-earned money – you? Or Uncle Sam? 


Related: Daily Mail – Workers making $30,000 will take a bigger hit on their pay than those earning $500,000 under new fiscal deal