Tax Cut Compromise Will Help Fund NASCAR Tracks and Rum
December 15, 2010
(ChattahBox Op/Ed) – It’s bad enough that President Obama became an accomplice to the blackmailing of the American people with the now infamous tax compromise of 2010, but recently published data from the non partisan Joint Commission on Taxation smacks of the kind of hypocrisy that tease at the idea of revolution. The hypocrisy is shared by both political Parties, but I hold the Republicans in contempt of the Constitution for continuing to lie to all of us in the name of fiscal responsibility and what they keep telling us is a clear mandate from the voters.
Earmarks…remember them? Republicans signed a letter that was sent to the President and paraded around to the media extolling their insistence that not one earmark would be allowed until the tax deal was done and the budget deal was completed. They lied yet again. Here is a partial list of what the tax compromise Bill titled HR 4853 includes:
- Income Tax Extensions through 2012: $545 Billion
-Bush Tax Cuts, extend through: $408 Billion
-Alternative Minimum Tax protection: $137 Billion
- New Payroll Tax Cut for 2011: $111 Billion
- Business, Investment and Other Tax Extensions: $77.2 Billion
– Depreciation and other business incentives, through 2012: $22 Billion
– Research and experimentation tax credit, through 2011: $13.3 Billion
– State and local sales tax deduction, through 2011: $5.5 Billion
– Ethanol tax credit extension, through 2011: $4.8 Billion
– Restaurant and retail tax credit for capital improvement, through 2011: $3.6 Billion
– Biodiesel and renewable diesel tax credit, through 2011: $2 Billion
– Tuition tax deduction, through 2011: $1.2 Billion
– Railroad track maintenance tax credit, through 2011: $330 Million
– Rum excise tax change, to increase the tax floor on rum from Puerto Rico and Virgin Islands:
– Washington DC investment tax credit, through 2011: $138 Million
– NASCAR and other race tracks, credit for capital improvement. Through 2011: $36 Million
– Mine rescue team training credit, extend through 2011: $5 Million
- Estate Tax Change/Cut for 2011: $68 Billion
- Unemployment Extension for 2011: $57 Billion
Obviously you don’t need a degree in Economics to see that there are items here that have nothing to do with our understanding of what this compromise was about. The added items are called in the political world sweeteners for obvious reasons. They are added to appease some lawmakers and to encourage them to vote for something they weren’t totally happy with. It’s another way of saying Earmarks!
The cost of this tax compromise, and all the sweeteners, will tally almost $900 billion dollars and its all debt. None of it is paid for in any way. And for those of you have screamed that we have spent billions of dollars funding wars in the Middle East while our own have suffered, relax because this Bill will surpass the costs of spending for the wars in Iraq and Afghanistan COMBINED.
For all the good that is in this Bill, it must be comforting to NASCAR fans to know that the race tracks you rush to will be paid for by tax dollars. What a relief that is. I know I will sleep better knowing that item is covered.
I realize this Bill has lots of good things in it. I realize it will keep billions of dollars in taxpayer pockets, and I don’t have a problem with the, per se, but continuing to ignore the reality of the debt this Bill creates and what a gift it is for the wealthiest Americans is still and always will be wrong.
$476 billion of this debt is a direct gift to the wealthiest Americans.
I’m watching and taking notes. Something will happen today on this Bill. The Senate will surely pass it today. The House is still threatening to derail it, but I have serious doubts that it will be anything more than loud conversation that will go mostly ignored. Be that what it is, get ready to swallow it and move on.
My anger stems from only one simple issue and one simple solution. President Obama should have played hard ball on this and just refused to extend the Bush tax cuts and insisted on the rest, save the Earmarks. He would have won. It would have been a colossal political battle and it would have been messy and nasty, and it would have unified a nation in need of something to feel good about, but he would have won.
Tony Trupiano is a former national syndicated progressive radio talk show host, author, and a former candidate for Congress. He is also a nationally recognized media trainer. He can be reached at firstname.lastname@example.org