Posted by
bigredcon on Monday, October 02, 2006 1:09:04 PM
The Captain notes
here
that in MN, Patty Wetterling (D) "...accuses Michelle Bachmann of
wanting to raise taxes through an increase in the sales tax:"
Michele Bachmann says she's for lowering taxes, and yet she supports
replacing the income tax with a national sales tax," says Wetterling.
Under a national sales tax, all taxable goods and services - including
daily basics like milk, bread, groceries, clothing, new tires and
prescription drugs - could cost 23% more.
Lower and middle-class Minnesotans would pay more taxes under this
plan, up to $4,077 more per year," says Wetterling. "I find it
incredible that Michele Bachmann wants to place a heavier burden on the
people who can least afford to pay more for basic goods and services.
Captain Ed comments:
Yeah, well, that tells only half of the story. The 23% sales tax Bachmann suggested was a replacement for the federal income tax,
not an additional tax. Bachmann hasn't even endorsed the Fair Tax Plan,
which would replace the income tax and is designed to be
revenue-neutral -- which means that taxpayers will pay no more and no
less than they already do.
Similar
shenanigans are going on here in Nebraska. Ben Nelson (D-Ne) has been
running a few spots regarding Pete Rickett's supposed tax proposals…
Ben asserts that Pete would like to enact a "national sales tax" of up
to 30% on homes, cars, MILK, GROCERIES, etc. The adds do not mention
it as a replacement for the federal income tax as well.
The Nelson ads are
here and
here.
The Ricketts response ad is
here.
There appears to be some dishonesty here on two levels. First, Pete Ricketts
tax plan calls for:
The President's tax cuts ensure that everyone who pays income taxes receives tax relief, and establishes a
new 10% marginal tax rate for those at the lowest end of the income scale. This makes their taxes
significantly lower than what they paid before. I support making President Bush’s tax cuts permanent.
Lower Marginal Tax Rates
High
marginal tax rates act as a disincentive for hard-working individuals
to achieve the American Dream. Our tax structure must not prevent
moderate to low-income individuals or families from joining the middle
class. Additionally, our tax structure must not punish success or
discourage risk taking by entrepreneurs and small business owners.
End the Marriage Penalty
The
family is the most basic societal unit and we should not penalize
marriage and family life. The Bush tax cuts reduced this penalty so
that two-income couples would not be penalized on their taxes simply
because they chose to get married. Before this tax change, couples had
an economic incentive not to marry, which is destabilizing for society.
This penalty on marriage needs to be eliminated to help promote healthy
marriages and families.
Lower Capital Gains and Dividends Taxes
Low
rates on capital gains taxes encourage saving and investment, habits
that are good for the long-term stability of families and the American
economy as a whole. Additionally, over 51 percent of Americans own
stock either outright or in retirement plans like a 401(k). Reducing
the dividend tax will encourage companies to return profits to
investors. Giving investors a return on their investment allows them to
choose whether to reinvest or spend their profits.
At
some point during their life, capital gains taxes will impact almost
everyone who sells a home, from older Americans seeking to move into a
smaller home when their children are grown to workers who sell their
house because they have taken a new job in a different city. Lower
taxes on dividend income and capital gains from sales of investment
assets would help stimulate the economy.
Reduce the Death Tax
Income
subjected to federal taxes when it was earned should not be penalized
again when an individual dies. The Bush tax cuts eliminated the death
tax for estates worth less than $1.5 million dollars and gradually
increases the death tax exemption until 2010 when it is eliminated.
This tax reduction expires December 31, 2010, and we need to eliminate
it permanently.
Eliminating
the death tax is particularly important to small business owners,
farmers, and ranchers. In fact, in Valentine last year during my first
campaign appearance, the first voter I spoke to was a rancher who told
me his number one federal concern was ending the death tax.
Additionally, one benefit of eliminating the death tax is that it
increases the likelihood of younger Nebraskans remaining in the state
and working in the family business.
Nelson
has intentionally misrepresented RIcketts' tax proposals (all very
Club-for-Growth!!). Additionally, Nelson misrepresents the
FairTax
in the same way Wetterling did in MN. Even if Ricketts did support the
FairTax, the Nelson ad is clearly misleading as to what the FairTax
would consist of.
I'm not sure what is worse, misrepresenting your opponents tax proposals or misrepresenting the misrepresentation!!!