Wednesday, December 7, 2011

Tax & Spend & Lies

Surprise! Jerry Brown (Democrat) wants to raise taxes. His proposal raises both the sales tax by 0.5% and state income taxes by 2% for individuals making $250k. The current rate is already 9.55% and since the progressive ramp is so steep in California, I end up paying the 9% rate for most of my income. It's unclear whether the 2% adder is marginal or applies to the entire AGI for each taxpayer.

Here's a question to those OWS protesters. I pay a bit over 30% (marginal rate is higher) for federal taxes over the past few years. So if you add together federal taxes, state taxes, sales taxes, social security taxes, and Medicare taxes, it's ~56% of my income. Is that enough for you wannabe socialists? Should the government take 90%? What about the ~50% that don't pay any taxes? Is that fair?

Also, I hate the way Jerry Brown justifies the tax. We all know that California is in deep sh*t since the liberals in charge can't control spending... gotta keep taxing the minority to buy votes from the majority.

Brown says both tax hikes, scheduled to end within five years, would generate an extra $7 billion for the state to prevent deeper cuts to schools, universities and public safety.

That would free up some state money California could use to shore up social services and support for public universities.

Lame. Money is fungible. There is nothing else but political rhetoric which ties these tax dollars to education. If funding schools and universities is important, then cut something else. The state of California spent nearly $160 billion last year (2010); I'm sure politicians can find more savings if they have the courage.

1 comment:

Anonymous said...

us 99% are fine with you 1%-ters paying your "fair" share.

my tune may change in 2012 if/when i can finally start booking some income. but for today: "better you;
FOR me."

your anonymous poster.

on another note, Beijing has decided to tax foreigners for pensions that they may not be able to collect. maybe the foreigners can start an Occupy Beijing. won't last long though. the CCP uses tanks instead of pepper-spray to clear out demonstrators.