What Next? A Tax On Cute Puppies?
I am sure that Obama is patting himself for not "pulling a Clinton" in the wake of Obamacare's crash and burn. That's bad news for America.
His 2010 budget proposes a $1.6 TRILLION deficit, coming off of a $1.4 TRILLION deficit in 2009. The editors of National Review put this in perspective when they noted:
Between 1789 and 2008, the U.S. government borrowed a total of $5.8 trillion. But in just the first three years of the Obama administration, the government is set to borrow $4.4 trillion more.
You would think that a budget with a $1.6 trillion deficit would be a real people pleaser, right? You are pretty much dumping bags of money on people right?
That is not quite right. The Obama budget has some villains. In this case, the "tax loopholes" enjoyed by those greedy charities and villainous homeowners.
Yes, the time has come for all those "Jesus freaks" and "non-profiteers" to get off the federal dole! Need I explain why homeowner's have been targeted? They caused this whole economic mess! Sure, this penalizes the ones who are actually paying their mortgages, but what's the difference?
Of course, the Obama administration has framed that as a tax on "the rich." What's rich is how his budget explains this penalty on charities and homeowners:
"Currently, if a middle-class family donates a dollar to its favorite charity or spends a dollar on mortgage interest, it gets a 15-cent tax deduction, but a millionaire who does the same enjoys a deduction that is more than twice as generous," the budget reads.
Wait, I thought we had defined families making more than $250,000 a year as "rich," now we are talking about millionaires? Nevermind, of course, that the "millionaire" pays twice as much in taxes, so naturally would have a great tax benefit for giving dollars to charity. Wait, it gets better:
"By reducing this disparity and returning the high-income deduction to the same rates [28%] that were in place at the end of the Reagan Administration, we will raise $291 billion over the next decade."
Oh, well if this is what Reagan did, it must be OK. You know, Reagan was a low tax guy. Wait a second! (sound of googling "history top marginal tax rates") The top marginal tax rate in 1988 was 28 percent! Of course, the maximum charitable DEDUCTION was the same amount! No paid more than 28% of their income in taxes! Who does this guy think we are?
$1.6 TRILLION deficit. New limits on charitable giving. New incentives against homeownership.I could be wrong, but I think Obama is giving the American people his famous one-fingered face scratch (go here and here) for rejecting his health care proposals.