“Find the fraud!” Carried on every major network, covered in panel discussions that called for obstruction charges. Panned by “The View” (for those that watch that show). This was apparently Trump on the phone with the election official in Georgia, days before the run-off election for the senate. Reported by the Washington Post, based on tape recordings of the phone call. They did their job – they possibly changed the outcome of the Georgia senate election, and reinforced all the anti-Trump, and by proxy, anti-GOP sentiment out there.
Well, folks… Yesterday the Washington Post, owned by Jeff Bezos – $200 Billion net worth Amazon guy and huge Biden supporter – printed a quiet, yet lengthy correction of that reporting. Carried by zero – saying that again – ZERO of the Big 5 networks, any of their panelists, or “The View”, or (almost) any other network. The quotes were all lied about. Trump didn’t say “find the fraud”, nor did he say whomever did would be a National Hero. None of it. The ACTUAL recordings were getting ready to be released, so WaPo corrected their reporting beforehand. They lied. Many of us were played. Again. But WaPo did their job – they quite possibly influenced the Georgia election run-off for Senate just days before the polls opened. And the media ate it up, which means, so did many of us who watch and believe them… again.
But why stop there? Now, with that senate dem-controlled, they are getting ready to release the Biden tax plan. But it’s Obama-era tactics, all over again: Obama was all about raising capital gains taxes, estate taxes, etc. We had the largest exodus of manufacturing and employment in over 3 decades under Obama. And now Biden wants to bring that policy all back. So, let’s review a few highlights:
- Increasing the corporate rate from 21% to 28%. The lower rate made us extremely competitive on the world stage, and again attracted hundreds (yes – hundreds) of employers back into the US as their main focus of manufacturing and operations. Did you know: The global weighted average corporate tax rate was just under 47% in 1980? Then Reagan came in and lowered things. Then Clinton raised them in 1993. Then Trump lowered them significantly more: In 2020 that average rate is just over 25%, and the US was 21%. Economies have flourished under lower rates, and most corporate tax rates globally are between 20%-25%. Joe wants to take us out of that range … again. Remember: Lower taxes have increased revenues to the feds and dropped unemployment. They have not caused huge deficits – again, don’t get played by these “commentators” and television personalities that are not telling the truth. Deficits are caused by spending out of control. Period. With the exception of 1970-1971, and 2009-2010 (mortgage crisis), IRS tax revenues have increased EVERY year – including after the Trump cuts (and Reagan cuts). Every year. https://www.thebalance.com/current-u-s-federal-government-tax-revenue-3305762
- Taking away LLC tax pass-throughs. This allows Limited Liability Corps to pass profits and losses onto the owners on their personal returns (small businesses are by far set up as LLCs and make up the way-largest majority of businesses out there). Biden wants to yank that away and make them all pay corporate rates, not personal rates. This is a crucially bad decision, as study after study has proven that LLCs almost always invest most profits back into their business. To hire more staff. To buy another truck. To move to a bigger office. To increase employee benefits. They don’t sock that money into a mattress or a yacht.
- Increase/re-implement the Estate Tax. This tax was changed in recent years to not kick in until a much higher threshold of inheritance was received. Biden wants to drop this level way down again. A lot of you look at this and say, “great – you inherited a million bucks – pay some taxes on it.” But let’s look at what really happens: First and foremost, the government already taxed the value of that estate … when it was first earned. Put more clearly: I worked. I paid taxes. I was able to buy a house and a car. I was able to have a post-tax IRA. Then I died and left all that I earned to my kiddos. Now the government says, “no – we are going to tax that again.” And those estate taxes approach 40%… But here’s the real price that gets paid: Let’s just take a family business. Maybe a plumbing outfit. Or a farm. Or something your parents built up over the years. When they die, they pass it all onto you. But if the taxes are so high that you can’t afford to keep it – that’s bad. Countless family farms were sold off at auction because the estate taxes couldn’t be paid; they inherited land, not cash – so they had to sell it off to afford the taxes, or face having the whole farm seized by the IRS. Same with small businesses. Same with whatever non-cash assets you inherit. The GOP fixed that. And still – tax revenues grew.
But, Joe needs to find a way to pay for the $4 trillion the Fed is estimated to have to borrow this coming fiscal year; on top of the $3.8 trillion the Feds will already receive in taxes. Think about that. Carefully. Understand what that means. In FY 21 Trump – WITH the 4 covid bills and the shutdowns – has run a near $996M deficit (almost $4.8T total budget). Joe is going to run 4x that deficit in just this first year.
