The Bush-Era Tax Cuts Should be Extended to All Americans--Including the Wealthy

I have a message for the Democrats in Congress--STOP THE CLASS WARFARE!  This silly debate on whether or not the tax cuts should be extended to the wealthy is asinine!  I've listened to different commentators the last few days give their opinion on the subject matter.  Geraldo Rivera, who hosts his own show on Saturday evenings on the Fox News Channel, stated there should be a compromise that the tax cuts should be extended to those whose annual income is less than a million dollars a year on Fox & Friends early yesterday morning.  What gives the government the right to determine how much the wealthy should pay?  Just because a person's wealthy doesn't mean half their income should be confiscated by the federal government for example. There used to be a time in our country's history when Congress didn't even collect taxes for the operation of the federal government.  It wasn't until the 16th Amendment was passed on February 3, 1913, that Congress collected taxes for the operation of the federal government.  The activities of the federal government used to be supported by tariffs and excise taxes.  Since our government believes in this concept of "free trade", we don't rely on tariffs to pay for the activities of the federal government like we did yesteryear.  Instead, the government is looking for all kinds of avenues to squeeze more taxes out of the average American.  The latest report on the economy came out the other day and it's been reported that the unemployment rate hovers around 9.8%.  Many Americans are relying on unemployment benefits, inflation is rising in food and commodities such as fuel, for example.  Congress is doing nothing but grandstanding on the issue over which class group should the tax cuts be entended to.  This is no time to be discussing raises taxes on anybody. 

One of the favorite arguments of Democratic leaders such as outgoing House Speaker Nancy Pelosi is that the tax cuts are too costly.  With the national debt running in the trillions, we can't afford to continue these tax cuts.  That's foolish logic.  Raising taxes isn't what's going to bring in the needed revenue to reduce the crushing deficit.  There are two things that need to be accomplished in order to reduce the deficit.  (1) The government needs to slash wasteful government spending in a dramatic fashion.  There are all kinds of waste that can be eliminated that Congress REFUSES to eliminate.  Earmarks are just the tip of the iceberg.  Some of the executive cabinets need to be eliminated such as the Department of Commerce, the Department of Transportation, and the Department of Homeland Security, to name a few.  There are others that probably need to be eliminated as well.  We also need to stop sending aid to foreign countries.  We can't bail out every country.  We can't take care all their needs.  There are organizations that our tax dollars go to that need to be eliminated such as NPR, the National Endowment of the Arts, to name a few.  There are some perks that many in Congress received that I believe need to be eliminated.  Congress shouldn't be increasing their salaries at this particular time.  There are numerous areas of waste that need to be eliminated that they refuse to eliminate.  I also believe there are areas of waste in the Defense Department that need to be eliminated.  I'm a firm believer that we should maintain a strong military.   However, we don't use many of the weapons we design.  We're not using them to win the wars in Iraq and Afghanistan.  Why are we still in Iraq and Afghanistan?  We should exit both countries if our elected elite isn't serious about winning those wars.  Both those wars are very costly and the costs of those wars are being added to the deficit.  What's the purpose of the Pentagon asking for money for the purpose of designing new weapons?  Is it to build up the "military-industrial complex" which former President Eisenhower warned us about in his farewell address in 1961?  Are we spending money to create new weapons to give to Saudi Arabia?  If so, then the Pentagon needs to stop appropriating money for weapons that they won't use for our own military. 

The second thing that needs to be done in order to eliminate the federal deficit is to renege on some of the free trade agreements we made years ago such as NAFTA in 1994 and CAFTA in 2005.  I've been hearing on the news that President Obama is trying to negotiate a free trade agreement with South Korea.  Will that benefit America's industries?  As a result of the passage of NAFTA in 1994, millions of manufacturing jobs have been exported overseas.  As a result, America lacks a strong manufacturing base.  If America had a strong manufacturing base, then it will create an outlet for more American jobs.  The more Americans are employed, more taxable revenue will go to the federal government. 

Those that are ignorant about economics believes that the rich should pay a higher percentage simply because they're wealthy.  I believe the rich should pay their fair share, but I believe it's fair for all taxpayers to pay their fair share.  I believe we should eliminate the progressive taxation policy.  There should either be a flat tax where everybody pays the same percentage of taxes whether rich or poor or a national sales tax should be levied in place of the federal income tax and federal taxes will be collected through purchased merchandise.  Tax hikes on the rich will do nothing but discourage businesses from investing their money to create new jobs.  Many wealthy Americans own businesses.  High taxes and unreasonable regulations are what's hurting the small and medium-sized businesses in America.  The government needs to reduce the tax rate on businesses.  Businesses need all the incentives that can be given so they can create more jobs.  The economy only grows through the private sector--not by government.  Stifling the private sector will hinder job growth. 

This past week during the lame-duck session in Congress, the House passed a bill which would only extend the tax cuts for the middle class and not the wealthy.  The Senate voted down that measure today.  It's very ridiculous how our Congress plays foolish games when it comes to tax cuts.  The government has this Marxist mentality that all the money that America earns is their money.  Just because a person is wealthy doesn't mean a huge chunk of his income should be confiscated by the federal government.  The wealthy will use every loophole they can to avoid having to pay higher taxes.  As a result, the tax burden will fall on the middle and the lower middle class, like it always does.  If the government raises corporate taxes, those that own the business will pass the costs of that tax to the consumer.  As a result, the middle class is the one that bears the brunt of tax hikes to the wealthy.  If Congress doesn't agree collectively to extend the Bush tax cuts, then the American people will receive a rude awakening in a month.