In the Wake of Katrina ... Tax Cuts

[michaeledward]

The United States Senate has scheduled a vote on S.988 for this upcoming week. The United States House of Representatives has already passed H.R.8.

Does anyone dispute that at this point in time, a Strong Federal Government is needed to assist with the damage wrought by Hurricane Katrina?

S.988 - is a bill to make permanent the repeal of the estate tax.

The Estate Tax affects less than one half of one percent of people... that is only one out of two hundred need to be concerned about this tax.

No Family Farm has ever been put out of business because of the Estate Tax.

Those suffering in Louisiana, Mississippi and Alabama certainly are not going to benefit from the passage of S.988.

Why is the Senate taking up this measure now?

Why give more tax breaks to the richest 0.5% of american's when the country needs to spend billions of dollars to assist the bayou?

 

[Makalakumu]

Why is the Senate taking up this measure now?

People are currently preoccupied.

Why give more tax breaks to the richest 0.5% of american's when the country needs to spend billions of dollars to assist the bayou?

The only people who were left behind down there were poor, old, or sick. Might as well shift the tax burden on them...

If I hear "moral clarity" come out of their mouths again, I'm going to puke.

 

[Xequat]

Why give more tax breaks to the richest 0.5% of american's when the country needs to spend billions of dollars to assist the bayou?

Just curious, because I am at work and only really have time to lurk here, where does it say that the 0.5% that care about this tax are the richest 0.5%? And do you mean 0.5% per year or ever? Because 0.5 percent per year is a huge number of people.

 

[michaeledward]

Just curious, because I am at work and only really have time to lurk here, where does it say that the 0.5% that care about this tax are the richest 0.5%? And do you mean 0.5% per year or ever? Because 0.5 percent per year is a huge number of people.

There are many more than 0.5% of people who 'care' about the repeal of the Estate Tax, because the talk radio folks have named this a 'Death Tax'.

Only 0.5 percent of the population of the America ever pays any Estate Tax.

Estates for a single person of 2.5 million dollars or less are exempted from this tax. Estates for married couple of 5 million dollars or less are exempted from this tax. And, there are many ways that those with estates that large can shelter much of their estate from this tax.

The benefit of this tax, is to prevent large accumulations of capital from being consolidated in the hands of the very few. By placing some limitations on the generational transfer of wealth, America moves toward the idea of 'equal opportunity for all'.

 

[Cryozombie]

Why is the Senate taking up this measure now?

Why give more tax breaks to the richest 0.5% of american's when the country needs to spend billions of dollars to assist the bayou?

Because the uninformed portion of the population will hear this, think it is a tax break for the estates of all the poor people who died in the hurricane and cheer it in with a big "Huzzah!" when the truth is that Its being done to make the senators look good to those people, by doing it now, AND helps them and their fat-cat freinds while doing almost nothing to better the nation.

 

[Makalakumu]

Why give more tax breaks to the richest 0.5% of american's when the country needs to spend billions of dollars to assist the bayou?

Hey, wait a minute! I got it! If we cut their estate tax, they'll have more to give to the poor people affected by this hurricane! That's how it works, isn't it?

 

[Xequat]

Hey, wait a minute! I got it! If we cut their estate tax, they'll have more to give to the poor people affected by this hurricane! That's how it works, isn't it?

Not exactly, but it's more that they'll have to spend on items which will be taxed and provide growth and jobs. Yes, it's the same tired argument that always comes up when tax cuts are a subject - it's not fair that rich people's money gets taxed more that everyone else's. And the same tired argument from the other side that it's not fair that someone else has more money.

I've said it before...tax cuts are good. Even this one.

 

[michaeledward]

I have no problem with someone having more money, assuming they earned that money themselves. Inheriting money is not earning money. But what the hell ... let's let all the money accumulate in the hands of the Gates and Waltons. Soon, all of us will be scrambling for a cot in the superdome.

 

[Xequat]

Yeah, I see your point, and I agree to an extent...it's not really a fairness thing, it's kind of the-more-middle-class-the-better thing. But as far as I know, there really isn't a finite amount of money, so just because Gates has billions, that doesn't mean that there are only, say 10 billion dollars in the US and he has 10 billion, that nobody else has any (can any economists verify this theory, or is some great debate?). I don't think that's really a sentence, but I'm doing ten things at once. I think money can reproduce, plus rich people have to spend their money somehow, which creates jobs and taxes to be had for others.

 

[arnisador]

I have no problem with a modest estate tax to redistribute the wealth. But yeah, the timing looks bad, doesn't it?

 

[michaeledward]

I have no problem with a modest estate tax to redistribute the wealth. But yeah, the timing looks bad, doesn't it?

Yeah, but you know, with the government running surpluses and all ...

And, I don't even know if it is about 're-distributing' wealth ... preventing estates from inter-generational transfer does not need to lead to a program for those with less opportunity ... hell, earmark it for the Strategic Defence Initiative ... (if you can't earmark it for paying down the National Debt). The Estate Tax is about preventing a permanent startification of our society (which, of course, exists already but we can at least attempt to restrict it).

 

[KenpoEMT]

There are many more than 0.5% of people who 'care' about the repeal of the Estate Tax, because the talk radio folks have named this a 'Death Tax'.

Only 0.5 percent of the population of the America ever pays any Estate Tax.
The benefit of this tax, is to prevent large accumulations of capital from being consolidated in the hands of the very few. By placing some limitations on the generational transfer of wealth, America moves toward the idea of 'equal opportunity for all'.

I had a relative pass away recently, and that put forced me to do some research on the death tax. The end result was that my position on this tax flipped 180degrees.
Everyone in my family was certain that this tax would gouge what she had built over her lifetime until I showed them exactly what I found.

It is my honest opinion that most of those who oppose the estate tax do not have a clue what it really is. The remaining few simply oppose it out of ideological pride.

 

[Xequat]

I'm not really sure what you mean by idoelogical pride, but I oppose it for consistency and because I don't believe in double taxation. The income has already been taxed on the person leaving the inheritance and I just don't think it should be taxed again just for changing hands. If so, then I guess we should start declaring holiday and birthday gifts on our yearly taxes, even though the sales tax has already been paid on it at the store.

 

[KenpoEMT]

...If so, then I guess we should start declaring holiday and birthday gifts on our yearly taxes, even though the sales tax has already been paid on it at the store.

You mean we are not already supposed to??? :lol: