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

Posted by: Phineas on January 4, 2013 at 6:13 pm

**Posted by Phineas

Payoff

Payoff

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)

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8 Responses to “The purpose of the Obama tax increases is to reward Obama’s cronies”

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  1. Great White Rat says:

    In other words, Obama doesn’t give a damn about shrinking the deficit in the least;

    No, really????

    What you’re missing is the central premise here: he, like all leftists, cares about one thing and one thing only: power. To get that power, he thinks he needs to subsidize his cronies, but it’s also necessary to reduce the population to a mass of sniveling sheep totally dependent on the government for everything. And that requires tons of handouts and a huge entitlement-inspired debt. You think the Obamaphones grow on trees? Hey, transforming America into a mind-numbed collection of zombies who think The State is responsible for providing everything they want costs a bundle!

  2. Carlos says:

    You used different words than I would have, GWR, but you said the same thing I was prepared to rant about. I even had the quote already queued and ready to go!

  3. Robin says:

    You nailed it. One of the things I constantly repeat to my teenage daughter as she navigates the world: Dont listen to their words. Watch what they do. It both amazes and horrifies me to watch so many deceived. I pray for them to open their eyes.

  4. Drew the Infidel says:

    This is the way it has always been with this administration with worthless pursuits like Solyndra which was (notice the past tense) a crony operation. And the “saving” of GM, tossing the lion’s share to the unions? GM is no longer an auto manufacturer but a health care organization which cannot sell vehicles fast enough to pay for it.
    “What is crooked cannot be made straight, and what is lacking cannot be numbered.”–Eccl. 1-15

  5. Neo says:

    It’s come to this

    Her musings were suddenly interrupted when her date asked a decidedly unromantic question: “What’s your credit score?”
    “It was as if the music stopped,” Ms. LaShawn, 31, said, recalling how the date this year went so wrong so quickly after she tried to answer his question honestly. “It was really awkward because he kept telling me that I was the perfect girl for him, but that a low credit score was his deal-breaker.”

    If the US government was trying to date, it would be destined to be a spinster.

  6. Carlos says:

    @Neo: Yeah, and about forty states, most bigger cities, nearly the entire state of Kalifornia and all its bigger towns, …

    If the rating services were being honest about governments (top to bottom) they’d either have to move out of the country or be persecuted into bankruptcy by this administration (and all its enablers, like Congress, voters, etc.)

    Question: I wonder what the tipping point of Obhammed’s illegal “Executive Fiat” campaign will be before the public wakes up and realizes what a fascist society we have allowed ourselves to become?

  7. Drew the Infidel says:

    The low credit score being a deal breaker is an obvious sign of there being an ulterior motive involved. Besides, a low credit score is one’s best protection against identity theft; no one will want to be you.