Sunday, September 28, 2008

Why giving a tax cut to 95% is not possible under Obama's plan- an insightful analysis


Under Obama's plan, he claims 95% of the people will get a tax cut.

It has become a mantra, repeated so often, many people believe it.
As the saying goes, if it sounds TOO good to be true, it probably is!
Now I am not a tax guy or accountant, so I could be wrong. From what i have read, I think less than 60% of Americans pays any Federal Income tax.
So how is it possible to give a tax cut to 95%? Please explain?
To give a tax cut, it implies & infers you are paying taxes already, correct?

If this number is correct, then Obama's claim needs to be challenged every time he utters the phrase

His tax plan is a despicable shell game, the end result of which will HURT, not help the prror.
Foollow my reasoning:
Sure, on the surface he'll cut their individual "direct" taxes by shifting a huge increase to "the rich" whot make 250K or more, but many of these own businesses, both small and large.

Guess what will these busineses owners do?
They will HAVe to either pass those increases right back to the consumers in the form of price increase, because those tax increases will be an operational cost.
So it will cost more to but things, groceries, you name it, from the stores!

Who get hurt the most? The poor!

Obama's plan will make the poor poorer.

That's not all. Another part of his tax plan is to increase the payroll taxes on businesses, which means that their operational costs for labor will be prohibitive and they'll have to reduce labor expenditures to bear the burden.
Tranaslated- that means less new jobs, and layoffs!
Again this will hurt the working people!

After Obama's "tax plan" is implemented, small businesses will not be able to survive without a "bailout-style" government other words, it will stifle and kill small businesses!

Small businesses account for over 70 percent of new jobs in the economy, and that is going dry up soon in a vicious cycle to punish the majority of people who depenfds on their paychecks to survive, to pay their mortgage!

So being you are so nAIVE to clap your hands,"Yeah, let's tax the rich!", THINK through the ripple effect, it will come back to haunt you some day, believe it or not

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