President Obama
(from left to right, Senate Majority Harry Reid, House Minority Leader Nancy Pelosi, and Senate Minority Leader Dick Durbin)
Billionaire Investor Warren Buffett
During the entire course of the Obama administration President Obama, Democrats, and even billionaire investor Warren Buffett have hurled criticisms at the wealthy for not paying their fair share of taxes. Obama has said that it affects our national deficit when the wealthy and even corporations use loopholes for paying their fair share of taxes. Last week President Obama criticized American corporations for using a legal loophole which allows companies to dodge U.S. taxes by moving their headquarters overseas. He stated that is unpatriotic. President Obama called on Congress to "fix" these tax inversions. He said companies are simply renouncing their citizenship to avoid paying "their fair share of taxes." Obama claims that companies that use loopholes to re-locate to other countries so they can avoid paying their fair share of taxes adds to the deficit. He said it makes it difficult for America to invest in things that will keep it strong. I've got news for the President: That's a lie. It's the reckless overspending from the federal government that's adding to the deficit.
I was reading on FoxNews.com early this week that the Special Inspector General for Afghanistan Reconstruction, John Sopko, stated that a rampant amount of taxpayer dollars was wasted for the reconstruction efforts in Afghanistan. It's taxpayer dollars such as wasting billions of dollars in the reconstruction efforts in Afghanistan that has greatly added to the deficit. Not only that but all the money that was wasted in the reconstruction efforts in Iraq and all the money that's being spent for these ongoing wars in the Middle East that should've ended years ago. There's money to be made when wars are being raged. There's no question about it, there's been billions of dollars spent in these wars since October 7, 2001, when the war in Afghanistan was waged. The hypocrisy of the President and the Democrats in both houses of Congress stinks up to high heavens. I'm sick of hearing them bashing and taxing the wealthy to death who earn their money honestly. It's those who are wealthy that create our small businesses. They are job creators. When the government tries to drain the wealthy of their income, job creation will stop, higher prices will result when the government places higher taxes upon business owners, and many corporations will locate their business offshore so they can survive financially without having to pay extra taxes. Some think the problem is the corporate tax rate. As much as I disagree with corporations paying special taxes, the biggest problem that many businesses have to face are all the array of stringent regulations such as Obamacare, EPA regulations, and the list continues, which makes it difficult for businesses to operate. Many businesses today are constantly having to think of ways to continually reduce their costs, such as laying off workers, raising their premiums on health insurance, and the list continues.
The problem with our nation's deficit isn't the lack of taxes being paid to the government. The truth is America is grossly overtaxed. Every time one turns around, there's another tax increase coming your way. Every since the beginning of this year, new taxes increases were levied as a result of the passage of Obamacare in March 2010. We don't need new taxes levied upon us. I believe the present U.S. tax code needs to be scrapped. I believe a flat tax which taxes everyone who works a job the same percentage is what should be implemented in America. It's not right to drain the American people of their wealth. Until the passage of the 16th amendment in 1913 the federal government didn't tax a person's income, with the exception of the American civil war in the 1860's, which was for a brief time. America used to fund the government's activities through tariffs, a tax on foreign goods coming into America.
As I've said earlier, the problem is government overspending, which has been grossly taking places since the 1980's under the Reagan administration. The national debt reached $1 trillion for the first time around 1984. Since that time the deficit has climbed the trillions, with the president debt standing above $17 trillion. The government wastes money like it's water. That's why the deficit is in the trillions. It's not because the wealthy aren't paying their fair nor is it because corporations are locating offshore to avoid paying taxes. To tell you honestly, if all the assets and wealthy of the wealthy were taken and applied to the national debt, it would hardly make a dent. The debt is so vast, the interest rates are so high, that there isn't enough money from all the households in America to wipe out our nation's debt. To tell you the truth, the government will confiscate your tax dollars and continue wasting them on foolishness. I don't feel sorry for the government. The President and both houses of Congress are corrupt beyond imagination. It's tragic. I'm not sure we can turn things because the debt is totally out of control and Congress keeps spending like there's no tomorrow. The only hope that America has is God. Outside of the Lord, America has no chance in making it. I personally believe America is presently under the judgment of God. God help us!
Rep. Steve King (R-IA)
Former President Bill Clinton
John Sopko, Special Inspector General for Afghanistan Reconstruction