When anyone starts lecturing you that the US has the highest tax rate in the industrialized world, just turn around, walk away, and pretend you never heard of them. This person is either ignorant about this country's taxation system, or is deliberately trying to deceive or mislead you.
According to a report released by the Internal Revenue Service, America's tax collection agency, the top 400 individual tax returns filed in 2009 reported an average gross income of $358 million each. The average amount of tax paid by these individuals came to under 17%, less than half the maximum Federal rate of 35%, which kicks in on annual income over $372,950 (click here for the 2009 tax tables).
This explains why Warren Buffet pays a much lower tax rate than his secretary. It really is true that in America, only the poor people pay taxes. [quoting The Tax Rate Fallacy on Zero Hedge]
And Michael J. O'Neil weighs in on the real equations at work vis-a-vis tax cuts for the rich, job creation, profit and the choices businesses make:
We are asked to believe that these businesses will no longer have the money to hire new employees if they don't get to keep these 2.2 cents on the dollar. Really?...[H]ow does any tax on profits inhibit the hiring of additional employees? In fact, quite the opposite is true. Incrementally higher taxes on profits actually are a slight incentive to hire additional employees. It costs a company in the 40 percent tax bracket about 60 cents to pay $1 in additional wages.
But I wouldn't make too much of this modest incentive. In thirty years of running a business, taxes on profits have never played any role whatsoever in decisions to hire new employees. Not ever. Why? We hire new people when our workload requires it. And for no other reason. And I find it hard to imagine any rational business making hiring decisions on any other basis.
Sally Kohn has some ideas on extending Bush tax cuts on tippy-top earners and a nifty Founding Father quote, along with advice on Dem pols to collectively grow a pair:
The strongest argument against extending tax breaks for the rich is the most obvious -- these tax breaks have been in effect the entire recession and have not spawned jobs and growth. What delusional insanity makes anyone think giving more money to the rich with magically help the economy now?
...John Adams, one of our Founding Fathers, wrote, "Government is instituted for the common good; for the protection, safety, prosperity, and happiness of the people; and not for profit, honor, or private interest of any one man, family, or class of men." The tyranny from which the Founders sought to protect our nation was not the tyranny of government but the tyranny of wealthy elites. Remember, the King of England was a king. America was founded on hard work and community, not royalty. So why are our political leaders bowing to the financial kings and queens of our day with reckless and wasteful tax breaks?
At least crazy Iowa "conservative" Steve King has a finger on the pulse of what's wrong with the country:
In an interview with Right Side News, King was asked if he supported a recent conspiracy-laced speech by conservative media mogul Cliff Kincaid, in which he argued that the next Republican Congress should bring back the House Internal Security Committee in order to combat "the ugly spread of Marxism in America." King responded, "I would. I think that is a good process and I would support it."
The House Internal Security Committee was the followup to the highly controversial HUAC, a congressional body meant to serve as a counterpart to the Senate Internal Security Subcommittee in which McCarthy was heavily involved. The HUAC was notoriously involved in a Hollywood investigation of actors, directors and writers that were allegedly communist sympathizers.
Amy Dean proposes a useful broad strategy for progressives moving forward:
If progressives are going to rebound in 2012, we need to move beyond this and begin laying the groundwork for resurgence at the base. That means presenting an agenda, one that is compelling to working and middle class Americans. Progressives positioning themselves as being against Republican proposals will not be enough. We must be able to present a convincing program detailing what we are for.
Eric Margolis points out WikiLeaks' importance as well as potential weaknesses, outsized blustering reactions to the recent diplomatic cables, and some of the most notable information to be gleaned from them:
The US media and Congress have been blasting WikiLeaks for "treason" or "terrorism," and demanding it be silenced -- while gleefully using parts of the leaks to promote war against Iran. US media and Congress seem to have forgotten about free speech. Or the right of Americans to know what their government is really up to around the globe.
Some of America's dimmer Republican politicians called for charges of "terrorism" against WikiLeak founder Julian Assange. Terrorism has become America's catch-all charge for annoying or rebellious activity, much as the Soviets used to charge people with being "enemies of the state."
The uproar over WikiLeaks may also well spur efforts by the hard right to impose censorship on the internet.
...Meanwhile, WikiLeaks is at least doing part of what America's elected leaders and supposed free media should have been doing: telling citizens what's really going on.
Closing with some eye-opening commentary from retiring North Dakota Dem Senator Byron Dorgan on a topic the media keeps, well, ignoring (in favor of, say, Kate + 8 joining Sarah Palin in "her" Alaska) - fraud involving private military contracts for even the most insignificant stinking things. Hello? Deficit hawks? Is this thing on?:
Halliburton was to purchase towels for the troops, hand towels. You know, they were purchasing hand towels to be awarded to the troops. So he ordered some white hand towels for the troops, and his boss said: Well, you can't order those white hand towels. You have to order the hand towels that have the logo of our company, ``Kellogg, Brown & Root,'' on the hand towel.
Mr. Bunting said: Yes, but that would quadruple the cost.
His boss said: That doesn't matter. This is a cost-plus contract. Order the towels. Put our company name on them.
I mean, this is such a small but important symbol of the behavior that went on for most of the decade that fleeced the American taxpayers
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