President Barak Obama has reached the pinnacle of leadership. He has essentially risked reelection to a second term by committing to a balanced, fair allocation of responsibility for the deficit and national debt. That mega corporations enjoy loopholes that significantly reduce their tax burdens, (to zero, in some cases), while collecting government subsidies as well, is pure exploitation of middle class workers who can’t afford the tax lawyers and lobbyists advising these companies.
Fund managers have structured their income to be taxed at the capital gains rate of 15%, while middle class workers pay a higher rate. This is nothing but a slick coup by the same tax attorneys and lobbyists who proclaim that we must provide incentives to those who make their living managing money. Why? If they are required to pay a blue collar worker’s typical tax rate, do we fear they will quit money management and compete for plumbing jobs? Probably not.
Tax attorneys, lobbyists, mega corporation CEOs and fund managers, enjoy gathering to plan strategy during three or four day ‘business retreats’ at sun drenched, ocean side golf resorts. Later, they write off the rounds of golf, poolside luncheons, extravagant dinners and hotel suites, as business expenses.
The tax revenues lost to golf outing write offs, become part of the deficit which John Boehner wants to recover by increasing the burden middle class Americans. At the same time Mr. Boehner maintains his handsome golf tan through the incredible generosity of lobbyists’ expense accounts.
President Obama has decided to play two card ‘guts’. It would be inspiring to see Democratic members of the House and Senate, choose to remain in the game with him.