The IUSB Vision Weblog

The way to crush the middle class is to grind them between the millstones of taxation and inflation. – Vladimir Lenin

Archive for April 18th, 2010

Lt. Col. Allen West: When I win this election I am going to walk up to Nancy Pelosi and say ‘Give Me That Damn Gavel!’

Posted by iusbvision on April 18, 2010

Posted in 2012, Chuck Norton | 1 Comment »

DNC Talking Point that 95% of Americans Got a “Tax Cut” is Bogus

Posted by iusbvision on April 18, 2010

The latest talking point from the left is that 95% of Americans got a tax cut. No they didn’t; what they got was a temporary reduction in the tax withholding tables but the rate didn’t change, so come tax time you have to make up for it with a check to the IRS or a smaller return. Don’t believe me? Check HERE and then look right at the IRS web site HERE. I love this part:

If you wind up owing tax because too little was taken out of your paychecks during 2009, you may qualify for special relief on a penalty that sometimes applies.

This “Obama tax credit” is actually a tax increase for some. Why? Because more people will end up not having enough withholding taken out and will have to pay the penalty.

Charles Krauthammer responds to the latest deceptive DNC talking point:

Obama claims that he is the great tax cutter, but the Republican Staff of the House Ways & Means Committee reminded us of the record so far:

Click to Enlarge

Of course there are also the hidden taxes which we pay in the form of higher prices:

Here come the new taxes with ObamaCare – UPDATED!

CBO: Democrats Health Care Bill Will Raise Family Insurance Premiums by $2100 Per Year. IUSB Vision analysis proved correct again!

IBD: 20 Ways ObamaCare Will Take Away Our Freedoms

Norton’s First Law in Action: How Philip Morris benefits from new tobacco regulation & taxes.

Cap & Trade broadbased energy tax is next on the agenda.

Previous Congress’ tax cuts to expire next year raising tax rates.

“Ask not for whom the tax bell tolls, it tolls for thee.”

Of course there is also the matter of the economic consequences of the government eating up credit – Just how out of control is government spending? 

New York Times/CBS Poll shows that Tea Party participants are wealthier and more educated than the general public: 

Tea Party supporters are wealthier and more well-educated than the general public, and are no more or less afraid of falling into a lower socioeconomic class, according to the latest New York Times/CBS News poll. 

Posted in 2012, Chuck Norton, Economics 101, Energy & Taxes, Obama and Congress Post Inaugration | Leave a Comment »

Breitbart Video: I offer $100,000 reward for proof that the elite media’s story actually happened. They lied about us when we had a sea of new media recording the event.

Posted by iusbvision on April 18, 2010

Awesome.

New Media Mogul Andrew Breitbart offers a $100,000 reward for proof that the elite media’s story actually happened. Says they lied about us when we had a sea of new media recording the event.

Breitbart also explains how he converted from leftist to thinker and lists some of the violence the elite media and the Democrats have incited.

Posted in 2012, Campus Freedom, Indoctrination & Censorship, Chuck Norton, Journalism Is Dead, Leftist Hate in Action, Obama and Congress Post Inaugration, Violence | Leave a Comment »

Investor Class Going Galt: Giving up U.S. Citizenship and Voting With Their Feet.

Posted by iusbvision on April 18, 2010

Read this carefully…

Wall Street Journal:

The number of American citizens and green-card holders severing their ties with the U.S. soared in the latter part of 2009, amid looming U.S. tax increases and a more aggressive posture by the Internal Revenue Service toward Americans living overseas.

According to public records, just over 500 people world-wide renounced U.S. citizenship or permanent residency in the fourth quarter of 2009, the most recent period for which data are available. That is more people than have cut ties with the U.S. during all of 2007, and more than double the total expatriations in 2008.

An Ohio-born entrepreneur, now based in Switzerland, told Dow Jones he is considering turning in his U.S. passport. Mounting U.S. tax and reporting requirements are making potential business partners hesitate to do business with him, he said.

“I still do dearly love the U.S., and renouncing my citizenship is not something I take lightly. But more and more it is seeming like being part of a dysfunctional family,” said the businessman, who asked that his name not be used for fear of retribution.

“The tax itself is only a small part of the issue,” the Swiss-based entrepreneur said. “It’s the overall regulatory environment.”

A minority of the recent expatriates are U.S. natives who have started a new life overseas. Most are people with family ties outside the U.S.: foreign professionals who acquired a green card while working in the U.S., or people who have received higher education in the U.S.

“Fifteen or 20 years ago there was a big rush to make sure your kids became U.S. citizens, for access to U.S. schools for example,” said Timothy Burns, a tax lawyer at Withers law firm in Hong Kong. “Now we’re seeing just the opposite.”

Last month, the Treasury Department announced more rigorous requirements for Americans living abroad to report information on foreign bank accounts. The reporting requirement has been in place for years, but only in the most recent couple of years has the IRS gotten tough about enforcing penalties.

The information return must be filed by any U.S. citizen or resident whose balance in all foreign accounts combined exceeds $10,000 at any time during the year. Stiff penalties, up to 50% of the annual account balance, punish failure to file.

Others are giving up their U.S. nationality to avoid tax increases in the U.S., as the government struggles under huge budget deficits. The top marginal tax rate is set to rise to 39.6% from 35% at the end of this year. A proposal to tax fund manager pay at ordinary income rates, instead of the 15% capital gains rate, is gaining currency in Congress.

“Everybody sees the tax rates are going up. At a certain point, it gets beyond people’s pain threshold,” said Anthony Tong, a tax partner at accounting firm PricewaterhouseCoopers in Hong Kong.

Unlike most jurisdictions, the U.S. taxes the income of citizens and green-card holders no matter where in the world it is earned.

 

Dan Mitchell from the CATO Institute comments:

Perhaps the key sentence in this excerpt is the final one about the United States having a very misguided policy of what is known as “worldwide taxation.” This is the policy of taxing income earned in other nations, even though that income already is subject to all applicable taxes imposed by the governments of those other nations. This policy is a huge competitive disadvantage for American companies trying to compete in world markets (and Obama, not surprisingly, wants to make it more burdensome), but the impact on individual taxpayers is a key factor in the decision by so many U.S. taxpayers to escape the clutches of the IRS. Indeed, it may also be one of the reasons why some highly-talented foreigners – the kind of people who helped make Silicon Valley an engine of prosperity for the entire nation – no longer want American residency.

Posted in 2012, Chuck Norton, Economics 101, Energy & Taxes | 1 Comment »

FDR and the New Deal: Question of the day – Who has incentive to produce at a 90% tax rate?

Posted by iusbvision on April 18, 2010

Wall Street Journal:

Did FDR End the Depression?

The economy took off after the postwar Congress cut taxes

‘He got us out of the Great Depression.” That’s probably the most frequent comment made about President Franklin Roosevelt, who died 65 years ago today. Every Democratic president from Truman to Obama has believed it, and each has used FDR’s New Deal as a model for expanding the government.

It’s a myth. FDR did not get us out of the Great Depression—not during the 1930s, and only in a limited sense during World War II.

Let’s start with the New Deal. Its various alphabet-soup agencies—the WPA, AAA, NRA and even the TVA (Tennessee Valley Authority)—failed to create sustainable jobs. In May 1939, U.S. unemployment still exceeded 20%. European countries, according to a League of Nations survey, averaged only about 12% in 1938. The New Deal, by forcing taxes up and discouraging entrepreneurs from investing, probably did more harm than good.

folsom1

What about World War II? We need to understand that the near-full employment during the conflict was temporary. Ten million to 12 million soldiers overseas and another 10 million to 15 million people making tanks, bullets and war materiel do not a lasting recovery make. The country essentially traded temporary jobs for a skyrocketing national debt. Many of those jobs had little or no value after the war.No one knew this more than FDR himself. His key advisers were frantic at the possibility of the Great Depression’s return when the war ended and the soldiers came home. The president believed a New Deal revival was the answer—and on Oct. 28, 1944, about six months before his death, he spelled out his vision for a postwar America. It included government-subsidized housing, federal involvement in health care, more TVA projects, and the “right to a useful and remunerative job” provided by the federal government if necessary.

Roosevelt died before the war ended and before he could implement his New Deal revival. His successor, Harry Truman, in a 16,000 word message on Sept. 6, 1945, urged Congress to enact FDR’s ideas as the best way to achieve full employment after the war.

Congress—both chambers with Democratic majorities—responded by just saying “no.” No to the whole New Deal revival: no federal program for health care, no full-employment act, only limited federal housing, and no increase in minimum wage or Social Security benefits.

Instead, Congress reduced taxes. Income tax rates were cut across the board. FDR’s top marginal rate, 94% on all income over $200,000, was cut to 86.45%. The lowest rate was cut to 19% from 23%, and with a change in the amount of income exempt from taxation an estimated 12 million Americans were eliminated from the tax rolls entirely.

Corporate tax rates were trimmed and FDR’s “excess profits” tax was repealed, which meant that top marginal corporate tax rates effectively went to 38% from 90% after 1945.

[Hmm a windfall profits tax… sound familiar??? – Editor]

Georgia Sen. Walter George, chairman of the Senate Finance Committee, defended the Revenue Act of 1945 with arguments that today we would call “supply-side economics.” If the tax bill “has the effect which it is hoped it will have,” George said, “it will so stimulate the expansion of business as to bring in a greater total revenue.”

He was prophetic. By the late 1940s, a revived economy was generating more annual federal revenue than the U.S. had received during the war years, when tax rates were higher. Price controls from the war were also eliminated by the end of 1946. The U.S. began running budget surpluses.

Congress substituted the tonic of freedom for FDR’s New Deal revival and the American economy recovered well. Unemployment, which had been in double digits throughout the 1930s, was only 3.9% in 1946 and, except for a couple of short recessions, remained in that range for the next decade.

The Great Depression was over, no thanks to FDR. Yet the myth of his New Deal lives on. With the current effort by President Obama to emulate some of FDR’s programs to get us out of the recent deep recession, this myth should be laid to rest.

Mr. Folsom, a professor of history at Hillsdale College, is the author of “New Deal or Raw Deal?” (Simon & Schuster, 2008). Mrs. Folsom is director of Hillsdale College’s annual Free Market Forum.

Posted in 2012, Chuck Norton, Economics 101, Energy & Taxes, Obama and Congress Post Inaugration | 2 Comments »

VIDEO: Reporter Runs in Fear from Violent Tea Party Mob!@!

Posted by iusbvision on April 18, 2010

Exaggeration?? Watch this…

This is a prime example of how biased and out of touch the elite media is. Of all the issues of the day, on tax day, at an event with 7,000 people, ABC’s Mark Mathews cares about manufacturing a “scandal” about printer ink in Iran and calling these people names. I go to Wal-Mart to get my ink, maybe someone should tell Mark Mathews so he can come and interview me for why I am doing business with Chinese Communists!

Posted in 2012, Chuck Norton, Journalism Is Dead, Leftist Hate in Action | 1 Comment »

Andrew Klavan Talking Crap II: This Time It’s Crap

Posted by iusbvision on April 18, 2010

Posted in 2012, Chuck Norton, Economics 101, Health Law, Obama and Congress Post Inaugration | Leave a Comment »

How to fix Social Security & Medicare with Glenn Beck, Chris Edwards of the CATO Institute and Stephen Dubner, author of “Superfreakonomics”

Posted by iusbvision on April 18, 2010

Posted in Chuck Norton, Economics 101 | Leave a Comment »

Obama: We Can’t Associate Radical Islam with Terrorism – Obama: Those Who Oppose ObamaCare are Connected with Tim McVeigh

Posted by iusbvision on April 18, 2010

And that is one hypocritical, self-serving narrative that flies in the face of reality wouldn’t you say?

AllahPundit over at Hotair made his quote of the day this very point as it came from The Great One. Read carefully:

“I have a question: How come we’re supposed to draw (on the basis of no evidence), a connection between conservatism and terrorism, conservative ideology and terrorism? Where is that connection? Yet we are told we must reject, despite tons of evidence, the connection between Islamist ideology and terrorism. So we can’t call Islamist fundamentalists ‘terrorists.’ We can’t even use the word. But we can have ex-presidents and current presidents running around trying to associate conservatives with nonexistent terrorism at peaceful tea parties. Somebody needs to explain this to me…

“We cannot associate radical Islam with terrorism but the president can go out and Obama can go out and try to associate the tea party — genuine, peace-loving, middle-American citizens of this country — with future acts of terrorism? The tea parties, you know why they’re hated? I’ll tell you why they’re hated. If you’re a member of a tea party, if you participated in one yesterday, why you’re hated, why you’re feared: This regime and the Clintons, everybody else knows that all you want to do is defend what’s left of this country and try to rebuild it.”

Limbaugh also points out:

McVeigh was motivated and upset by the Waco invasion of the Branch Davidian compound. Attorney General Reno ordered tanks to be used against American citizens. McVeigh was not inspired by rhetoric. He was angered by action taken by the Clinton administration.

It is true, the Clinton Administration used tanks against children. The evidence suggests that the government went in guns blazing with a day time “knock” warrant that was supposed to be served by knocking on the door. The Branch Davidian’s argued and the evidence showed that when the government attacked, the people inside called the police and begged for help. Eventually, as the defense successfully argued, those inside felt that they had no choice but to defend themselves with deadly force because they reasonably believed that they were being attacked with intent to kill. The jury acquitted the Branch Davidians of murder and conspiracy to commit murder charges for those reasons [Editor’s Note – stop and think for a moment how over the top and outrageous the ATF’s behavior during that raid must have been to get a jury to agree to that].

Now I am by no means siding with the Davidian church or the ATF or McVeigh, but it is important to be clear that the record is what it is. The facts are what the facts are. Hundreds of people died as a result of all of this totally avoidable foolishness and a serious and frank introspective is needed to help prevent such tragedy from happening in the future. Democrats have decided to exploit the dead by misusing this history as a political tool to smear political opponents.

The immortal words of Hillary:

Posted in 2012, Chuck Norton, Culture War | 1 Comment »