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  • A Tale of Two Tax-Paying Americas

    Today, the White House called Tom Daschle’s failure to pay more than $100,000 in back taxes a “serious mistake”, but reiterated their support for their nominee to head the Department of Health and Human Services. Last week, White House Press Secretary Secretary Robert Gibbs also pointed out that Treasury Secretary Geithner made honest mistakes on his taxes, that “should have been avoided”. Those mistakes amounted to over $34,000.

    Out of little over a dozen cabinet nominations, President Obama was able to find two people who found IRS compliance optional. This is on the heels of the admission in 2008 that House Ways and Means Chairman Charlie Rangel, head of the nation’s tax writing committee, had failed to pay taxes on $75,000 of income from his beach side luxury condo.

    Americans annually spend over 7 billion hours figuring out their federal taxes. Over 60% of them hire outside help. While not all are as fortunate as Rangel, Geithner and Daschle to have expensive Washington lawyers and accountants to help them, they do find comfort in having an honest service provider calculate their honest debt.

    At what point are “honest mistakes” not acceptable to the President for jobs at this level, and if they are, what message does that send to America? While hard working Americans fear the impact of a faulty tax return, fear an audit, fill shoeboxes with receipts of clothing donations and house repairs; Cabinet nominees have a White House transition team and a team of lawyers to hide them from the wrath of the IRS.

    During that same White House press briefing on January 26, Robert Gibbs said that Timothy Geithner had “unique experience”. Today, they said similar words on behalf of Tom Daschle. The most unique thing about these two is that they live by different tax rules than the ones they want to force on the American people by raising taxes, and making the tax code more complicated year in and year out.

    They will in turn use those higher taxes to pass radical federal spending programs, including socialized health care and doubling the size of federal agencies like Education and Energy.  While we must pay attention to their legal problems, we must also not lose sight of what they plan to do with the taxes the rest of us are paying.

    The Heritage Foundation has consistently advocated for all Americans to pay less taxes because that is the true way to stimulate the economy. The poorly designed U.S. tax code places an enormous constraint on America’s international competitiveness, productivity growth, wage growth, and jobs. An alternative to the Trillion Dollar Spending Plan being debated on the Hill, the American Option Act, would benefit all Americans by:

    • Reducing business taxes from 35 percent to 25 percent
    • Make tax policy changes of 2001 and 2003 permanent
    • Dramatically reduce the Estate Tax by 15 percent
    • Keep tax rates on dividends and capital gains at 15 percent

    And that is Smart Stimulus that will put put money in the pockets of taxpayers in every state, and create jobs in every state.  Instead of fixing our tax system one Cabinet member at a time, let’s give all Americans the ability to create wealth, jobs and family security. President Obama spoke on the campaign trail of uniting two Americas. We would hope he would start by showing Americans there is only one standard for low taxes, and not create a separate one for the wealthy, elite or politically connected.

    Posted in Ongoing Priorities [slideshow_deploy]

    9 Responses to A Tale of Two Tax-Paying Americas

    1. nancy t. robinson, p says:

      I am currently reading the "Forgotten Man" and I was wondering if there is anyway people or business can start to sue the government for unfair treatment, i.e., forcing a company to comply with CO2 limitations with no scientific evidence to justify the restrictions. There has to be good lawyers able to argue the burden like they did in the Schechter Poultry Corp v. United States. It seems like Agencies are making the rules that we are forced to abide by and pay an incredible amount of taxes for. The Auto industry is bankrupted and got government handouts. Now, they have to have standard that they have to meet making the taxpayer liable, once again. There has to be something done. Thanks.. Nancy

    2. John Theobald, Marie says:

      It is sad that these liberals are asked to be entrusted with the responsibility of running our Government. They demonstrate with their own personal actions the veracity and dedication they will bring to their office. They frankly are not worthy and I for one have ZERO respect for them and their ideas because they clearly are only interested in themselves and seeing others pay their way.

      Their nomination, consideration and confirmation are an "Obamanation" and insult to those that have toiled, labored, fought and died for this Country. They are not worthy and should be so treated.

      When I read "The Heritage Foundation has consistently advocated for all Americans to pay less taxes because that is the true way to stimulate the economy", I am in one sense heartened, but in another dismayed. I know what they are saying, but it is simply NOT ENOUGH.

      The reason Americans should pay less taxes ladies and gentleman is not to stimulate the economy, but because our founding fathers had it right. Because it is the way it should be for a free people. Because public debt and taxation are absolutely blight and pestilence on this Country of ours. They subjugate us and steal our freedom and liberty and those of our children and grandchildren.

      Taxes should be a direct result of debt and debt should be a direct result of contemplative and reasonable representatives who have the best interests of individuals at heart and a complete and utter drive and determination and responsibility to destroy and avoid debt … not create it by the billions/trillions of dollars we have placed before us today.

      A FAR better model of taxation that strips much of this irresponsible behavior and tyranny lies in the Fair Tax.

      http://www.fairtax.org

      "To compel a man to furnish funds for the propagation of ideas he disbelieves and abhors is sinful and tyrannical." –Thomas Jefferson

    3. Sherry Missouri says:

      I find this whole thing VERY disturbing! The ONLY reason these two bothered to pay back what they owed was because of their nominations. Had they not been nominated, I'm sure that money would still be in their hands & their mouths shut!

      If this had been a regular citizen you can bet your bottom dollar they would have been thrown in jail, sent to court, audited and sent back to jail! And believe you me a simple statement of "it was an oversight or "honest" mistake would not cut it. It should not cut in this situation either. These two men need to be treated just like everyone else would be treated in this situation.

      This is really shameful!!!!!!!!!!

      Guess it just goes to show you how the people on the left think & do things…

    4. Pingback: When the rule makers break the rules « On the Western Banks of the Shenandoah

    5. Bryan, Ohio says:

      How ironic that the people who create our tax code find it too difficult to follow themselves. Either that or they deliberately cheated. Either way we should be concerned about them, shouldn’t we?

    6. Ozzy6900, CT says:

      It’s sad that we all take the time to abide by the law yet those that are chosen to govern or set our rules don’t bother. Do you think the Government would be so lackadaisical with us if WE didn’t file? Heck no! We’d be in for a audit so fast and we wouldn’t get out of there with a slap on the wrist, either!

    7. Karen, Georgia says:

      We pay someone every year (about $120) to do our taxes. Looks like we’re the chumps

    8. Travis Gearhart, Hebron, IN says:

      It is amazing that you and a single cable news station ( I think we know which one) are among the best journalists and seem to want to get to the bottom of things. I’m so happy that I have a place to go in order to receive information that isn’t biased to the liberal love affair with Obama. In fact, people like the great writers on here and Rush and Sean have inspired me to start my own conservative site, http://www.mattersofopinion.net and I hope you guys will check it out. I’m trying to get all of us together to unite against the coming totalitarionism that will ensue.
      Thanks again! Travis Gearhart

    9. Greg Norman Jax Flor says:

      This is very disturbing. I can not justify my support of the cabinet in this current administration and that includes Obama. Nothing is more dishartening than to know that people of this type of personal integrity are going to be in charge of important branches that govern laws for the rest of America and that they were appointed by Obama.

      I personally have not seen the president live up to anything that he spoke of on the campaign trail. This is all his personal agenda and he will try to achieve it by whatever means possible. He's already starting to show his true self with his cockyness towards the media and with comments to the house republicans.

      How sad this is for the rest of America including Obama supporters. If they could only see past his charismatic personality.

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