|Politics and the CBO|
|Thursday, 24 June 2010 06:23|
The "independence" of the CBO has been a foundational claim of the Pelosi/Obama/Reid triumvirate as they continue to pitch ever-increasing expenditures and desired bills. The CBO is above taint, it is independent, it can be trusted. But can we really trust it? Isn't it just a tool of Congress? After all, the CBO can only do what Congress directs. And we see that in it's latest "report", the CBO claims that the Middle Class--Not the Rich or the Poor--Pay Majority of Federal Taxes. Wow, shocking, no?
Actually, yes. Because, you see, this is a lie. The CBO was directed to "reach this finding" by Congress forcing the CBO to accept wildly unsupportable limits. The "middle class" is $34K to $141K? WOW - that's a heck of a spread, is it not? Who knew you could make nearly $3000 per week and be middle class? What should be real limits?
If you break US household income into thirds (low, middle, high) the breaks would be around $35K and $70K.Stretching to $141K was done for purely political reasons, so that the Democrats could say that the middle class are paying the taxes, and that is why we need to tax the rich. Of course, most of that range the CBO quotes would be "the rich"...
So what are the real facts? Well the top 25% of all income earners pay 87% of all income taxes. Since income tax accounts for $1 trillion of of the Federal receipts, and SS accounts for $940 billion, they pay the lion's share of income taxes and about 55% of all social security taxes.Meaning, that the top 25% pay somewhere around 71% of total income and SS/FICA taxes, which accounted for 84% of total Federal receipts.
Meaning, the top 25% are directly paying 60% of all Federal receipts.
The other 75% of all taxpayers, 100% of all corporations, all the duties and tariffs, account for the other 40%.
I guess the CBO is lying, unless you stretch the boundaries of "middle class" so far so that it stretches to cover most of the top 25% of all income earners, thus redefining the middle class. Because how else can Congress try to get a majority of taxpayers to support the "rich aren't paying their fair share" mantra to and thus form a foundation for increasing taxes? Doesn't sound quite right to say that we need to raise taxes on the rich since they are only paying 60% of the entire load.
And it doesn't sell to say we're going to increase taxes on the middle class to cover our profligate spending.
So yes, the CBO is seriously misleading the public with this latest "report", and it's being done - obviously - for purely political reasons, to justify the ongoing class warfare fomented by the left. But then, the CBO can only do what Congress directs, and who would expect Pelosi and Reid to come up with any other conclusion?
|Last Updated on Thursday, 24 June 2010 06:38|