The Free Press: Speaking Truth to Power Thu Mar 11 2010
Columns
Molly Ivins

Is "Republican tax break for the rich" simply redundant?
July 23, 2000

AUSTIN, Texas -- "He should be ashamed." So said Gov. George W. Bush after Vice President Al Gore pointed out that there are 1.4 million uninsured children in Texas.

Somebody should be ashamed. And now on to the topic du jour. It's like, duh. Just when you thought there wasn't a dime's worth of difference between the two parties, the Republicans go and prove you're wrong.

The R's have been on a tax-cutting spree, intoxicated by the prospect of huge surpluses. In tax stories, you always need to read the second paragraph, or the ninth, or wherever they've hidden the Catch-22. The trouble with TV news is that they never have time to get to the second paragraph.

Here's the second paragraph: In a truly startling class warfare assault, the R's have rigged every one of their recent tax adjustments to favor the rich. You might think that's no skin off your nose, but the less that rich people pay, the more of the tax burden has to be borne by you. Duh.

As long as we're doing class warfare, let me point out that if you are in the overwhelming majority of Americans, you have not benefited from the Clinton boom, if at all, anything like the extent to which the rich have.

This is very simple: Progressivity in the tax code allows most people to pay less because the very rich pay more. In case you hadn't noticed, rich people are doing very well indeed, acquiring ever more of the total wealth -- the richest 1 percent have more than the bottom 94 percent put together. And that was before the new tax breaks.

The very first thing that the R's chose to do with the budget surplus was vote to abolish the estate tax -- a shameless payoff to rich campaign contributors. The Democrats offered to exempt farmers and small businesses. (Farmers were paying only 1 percent of the tax to begin with.) The R's wouldn't let them. This is a tax that already gets all its revenues from the wealthiest 1.4 percent, and two-thirds of that from the wealthiest 0.2 percent.

Further, the bulk of the largest wealth accumulations have never been touched by the income tax; they are unrealized capital gains. If the person who made the money would have had to pay cap gains on it, why shouldn't his heirs, who never worked a day for it?

People are being so snookered on this one. Sen. Russ Feingold offered an amendment limiting the estate tax to accumulations of more than $100 million, and the R's wouldn't even take that. These are people who think that giving a poor woman with a bunch of kids $8,000 a year in welfare will sap her will to work and destroy her moral fiber. So what does inheriting $100 million do to your moral fiber?

Next the R's decided to fix the "marriage tax." Good idea -- ridiculous that two married people should have to pay more than they would if they were both single.

The D's offered an amendment saying that married people could file just like single people. Nope -- R's wouldn't take it. They "fixed" things so the bulk of the tax relief went to the richest couples.

They did NOT fix the odd little exemption that gives some married couples an extra tax break (so you divorced and single people just shut up and pay). Furthermore, they did not fix the worst part of the marriage tax -- the part that affects the working poor.

This "fix" is so skewed that 3 percent of the new tax break goes to people with incomes between $0 and $20,000, while 68 percent of it goes to people with incomes between $75,000 and $200,000, according to the Congressional Budget Office.

According to Treasury Secretary Larry Summers, of the tax measures passed by the R's this year, 60 percent of them would go the richest 10 percent of the people. The top 1 percent of taxpayers would receive a tax cut 84 times as large as the average American family -- $15,000 vs. less than $200.

Not yet exhausted from helping their campaign contributors, the R's next went to work on the pension system. They raised the limits on the amount that workers can contribute to their IRAs, 401(k)s and other tax-deferred retirement plans.

This is good. We want to encourage saving. But your low- and moderate-income workers are the ones who have the hardest time saving for the future. Very few workers contribute even the maximum now allowed, so this is yet another boon to the well-to-do.

The Center on Budget and Policy Priorities says that about 77 percent of the total tax savings in the Republican-passed plan will go to the top 20 percent of taxpayers. But of course, that was in the 24th paragraph of the news reports.

How long do you think it's going to be before most Americans get a break from this Congress?

Molly Ivins is a columnist for the Fort Worth Star-Telegram. To find out more about Molly Ivins and read features by other Creators Syndicate writers and cartoonists, visit the Creators Syndicate web page at www.creators.com. COPYRIGHT 2000 CREATORS SYNDICATE, INC.


Email this article to a friend




1240 Bryden Road Columbus, Ohio 43209 Ph/Fx 614.253.2571 Email truth@freepress.org
  

Click here to visit Harvey Wasserman's Solartopia.org.

Don't forget to check out articles from 2008 and 2009

Molly Ivins

"Credit where it's due: Clinton managed to accomplish a few things, despite others and himself"
  December 31, 2000

"The year 200 and American democracy"
  December 28, 2000

"Last minute Christmas gifts for us"
  December 24, 2000

"Christmas book list"
  December 21, 2000

"A village without its idiot"
  December 19, 2000

"Forgive but don't forget "
  December 17, 2000

"Some interesting stuff about the stock market "
  December 15, 2000

"Now is the time for all good men and women to come to the aid of their country"
  December 3, 2000

"The Bad Behavior Fiesta Bowl continues"
  November 28, 2000

"Beware the clumped chad"
  November 23, 2000

"Honest to Pete, this is historic "
  November 22, 2000

"Eat my chad "
  November 21, 2000

"Fearless champion of the underdog"
  November 20, 2000

"See it from the other side"
  November 19, 2000

"It’s not a recount -- it was actually a re-tally "
  November 12, 2000

"But daddy, you said I could be president!"
  November 5, 2000

"The poor kids are screwed again "
  November 2, 2000

"I (don't) feel your pain"
  October 31, 2000

"In dreams begins responsibility"
  October 29, 2000

"Why I'm voting for Ralph"
  October 26, 2000

"How dare they call him stupid"
  October 24, 2000

"Will the real Al Gore please stand up"
  October 22, 2000

"Liar, liar"
  October 19, 2000

"Military spending makes Molly MAD"
  October 17, 2000

"No one can stand either one of them "
  October 12, 2000

"The sport of naming judges"
  October 5, 2000

"The criminalization of politics"
  October 3, 2000

"Stretching the truth"
  October 1, 2000

"The textbook campaign"
  September 17, 2000

"Just don't get sick"
  September 14, 2000

"FBI - Fibbers Bureau of Investigation"
  September 12, 2000

"Are the upright primates too dumb to survive?"
  September 10, 2000

"End social promotion -- defeat Bush?"
  September 7, 2000

"A mostly forgotten labor tale of 19th century "
  September 1, 2000

"Before Texas spends more on prisons, let's think"
  August 31, 2000

"Oral arguments"
  August 29, 2000

"Story of a survivor"
  August 24, 2000

"Humanizing Al Gore "
  August 22, 2000

"Democratic steak and Republican pink clouds"
  August 20, 2000

"Is that a missile or a mylar balloon?"
  August 15, 2000

"Taking a surreality check in the great state"
  August 13, 2000

"How 'bout the good ol' days of regulation without the "de"?"
  August 10, 2000

"The man they call “Bush’s brain”"
  August 7, 2000

"A few suggestions for the Republican operatives"
  August 6, 2000

"White People Can't Clap On Beat "
  August 3, 2000

"Aren't we all tired of attack politics?"
  July 30, 2000

"Who deserves credit for Texas?"
  July 27, 2000

"Is "Republican tax break for the rich" simply redundant?"
  July 23, 2000

"Proud of Texas Committee"
  July 20, 2000

"Would that be thin and crispy or thick and chewy?"
  July 18, 2000

"And how are things down there in Texas?"
  July 16, 2000

"Nader, Nader, he's our man"
  July 13, 2000

"The dog that did NOT bark in the night is the key to the case "
  July 11, 2000

"See how clean our factory is, see the good lighting, see the happy workers "
  July 9, 2000

"God gave you a brain and meant you to use it"
  June 27, 2000

"The answer is blowin' in the wind"
  June 24, 2000

"A mock-ery of a death penalty trial"
  June 21, 2000

"Virtues and values"
  June 20, 2000

"Estate tax relief for the (poor little old) rich folks"
  June 15, 2000

"We the corporation of the United States. . . "
  June 13, 2000

"The magic numbers are 5-2-7"
  June 11, 2000

"Too much information"
  June 8, 2000

"Texas, warts and all"
  June 6, 2000

"Texans do not have full access to the courts"
  June 2, 2000

"Denial is not just a river"
  May 31, 2000

"Why is Bush so starry-eyed?"
  May 28, 2000

"Social (In)Security"
  May 23, 2000

"Abuse at Carswell Prison is for real"
  May 21, 2000

"For a good time (and political favors), call . . ."
  May 18, 2000

"Easy access to guns causes children's deaths"
  May 16, 2000

"Ethanol and NPR - enough to gag a maggot"
  May 11, 2000

"Aggressive entrepreneurs” or white collar criminals?"
  May 9, 2000

"Trade with China debate"
  May 4, 2000

"Tacky T-shirts and Texas politics"
  May 2, 2000

"Prison riots wait for no presidential candidate"
  April 30, 2000

"Yes, Virginia, there was a warrant"
  April 25, 2000

"The Easter season"
  April 23, 2000

"Raising Cain"
  April 20, 2000

"Sorry about the Buddhist temple thing"
  April 13, 2000

"Capitalism is O.K. - as long as you're not poor"
  April 11, 2000

"The Elian crisis - it's the coffee"
  April 9, 2000

"Politics and money "
  April 7, 2000

"Paradise lost to Prop. 13"
  April 4, 2000

"The FARC farce"
  March 28, 2000

"Big cheese endorses George Dubya"
  March 21, 2000

"Save gas, ride with a friend"
  March 16, 2000

"Tribute to a country banker with a heart"
  March 14, 2000

"...And if the government is failing, don"
  March 12, 2000

"The party's over"
  March 9, 2000

"Republicans for clean air?"
  March 5, 2000

"Granny D and campaign finance reform"
  March 2, 2000

"George W. needs an HMO to fix his growing nose"
  February 29, 2000

"The real war is not the fighting words of the primary campaign"
  February 24, 2000

"Bush "Pioneers" creative campaign fund-raising "
  February 8, 2000

"Alan Greenspan of Sunnybrook Farm"
  February 6, 2000

"Are you paying your fair share in political campaign contributions?"
  February 3, 2000

"A primary on today's politics "
  February 1, 2000

"Iowa was lots of fun, but there’s more to come"
  January 27, 2000

"Sticking to Bush’s message of the day"
  January 25, 2000

"System of justice shutdown"
  January 13, 2000

"Y2K Bug and other paranoia"
  January 11, 2000

"The Democratic presidential contest"
  January 6, 2000

"Happpy new millennium"
  January 4, 2000

"Eternal vigilance is the price of ... "
  January 2, 2000

"The oratory sweepstakes "
  January 2, 2000




Read Articles by Year:
2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000




All content © 1970-2010
The Columbus Free Press
Disclaimer