Wednesday, October 15, 2008

One big reason Obama Scares me

There are many reasons to vote against Barrack Obama for President. You can go down the whole judgement path with his associations with questionable characters, but if you want to stick to the issues here is a big one.

While in Toledo recently, a plumber raised the issue with Obama that under Obama's economic plan, the plumber's taxes would go up. Listen to the clip below which features Obama's answer. Listen carefully. Listen twice if you need to, I'll wait.

Okay, are the hairs on the back of your neck standing up? This has to be one of the scariest answers to a tax question I have ever heard from a Presidential candidate. For those who don't understand the answer, let me spell it out as clearly as I can. This is pure Socialism. Obama is talking about redistribution of wealth here. He believes that he knows better than you do how to use your money.

If you have a friend or relative that thinks Obama has a good economic plan try explaining it to them this way.

Let's imagine that Obama has proposed a new tax plan that he is running through congress. Let's also say he is calling it The citizen helps plan for America. In this plan, the government will decide who owes money and who needs help. Instead of you paying your taxes to the government (remember, even if you got a refund, you still probably paid some amount), your neighbor sends you a bill that says you have to pay them directly. It could be $2000.00 a year, or $500.00 a quarter, but either way, you are legally bound to pay your neighbor the money because the government decided that you make too much and your neighbor doesn't make enough. If you don't cut your neighbor a check and they complain, you will be held accountable by the government. Maybe you won't be able to register your car, or you get a fine, or something similar.

Do you think this idea would fly with the American people? No way, you're crazy, people would never agree to this idea would they?

The only difference between my example above and Obama's plan is the middle man. Yes, under his plan, you pay the government, they hold the money for awhile, and then they decide who to cut the checks to.

So, you think I'm exaggerating? You think his plan doesn't do this? Obama keeps saying that 95% of Americans won't pay any additional taxes. He also claims that most of the middle class will get a tax cut. Wait, lets look at his tax plan a little closer here.

First: The first thing Obama plans to do is repeal the Bush tax cuts. That will immediately raise everyone's taxes. Even though the Liberals like to claim that the Bush tax cuts were only cuts to the rich, the fact is the middle class got a very nice tax cut as well. My own tax burden went down over $2000.00 with the cuts and I am anything but rich.

Next: Obama doesn't have any actual tax cuts in his plan. He calls them refundable tax credits. Now, this is important because it means that anyone can claim these credits, even if they don't owe any taxes at all. Stick with me on this one because this is where the wealth transfer happens. If someone doesn't pay any taxes because their income level is too low, but they are still able to claim these credits, it means they are getting money from the government. Money that you and everyone else that does pay taxes is going to those who don't! Isn't this exactly the same thing as the example I used above?

Also: Let's not forget, Obama has also promised to raise capital gains taxes which will affect anyone who has a 401k, 403b, or any other savings plan that has money in the stock market. He has promised to raise corporate income taxes on any business that makes over $250,000.00 a year. He claims this won't affect small businesses, but one study showed that over 97% of all small businesses in America make over this amount a year.

He also wants to tax what he calls windfall profits on businesses. Okay, first of all, what constitutes a windfall profit, and who gets to decide? Secondly, if a company is worried about getting hit with this tax, will they strive to reach those profits, or will they slow production when they get close to this magic mythical number? Finally, Liberals don't seem to understand that companies don't pay taxes. Huh? That doesn't make sense? Think about it this way; if a company's price on anything goes up, do they just pay the increase or do they raise the price they charge to customers? Does the price of milk, eggs, clothing, or anything else go up? Why? Because the producer of those products had an increase somewhere while making the product. This includes taxes the business has to pay!

Okay, with all of Obama's tax increases coupled with repealing the Bush tax cuts, and no actual tax cuts. Obama will push this economy into a recession that may take years to reverse.

That scares me! It should scare you too!

No comments: