The Romney tax plan envisions cutting
everyone’s marginal tax rates by 20% while remaining revenue neutral by
eliminating unspecified tax expenditures (i.e. loopholes). The tax policy center has concluded that, for
the rich, there are not enough tax expenditures to be eliminated that would pay
for their tax cuts and as a consequence, tax rates would have to increase for
middle class taxpayers to remain revenue neutral. The Romney campaign has responded that six
independent studies have confirmed the validity of their numbers. But an examination of the six studies cited
show that most were blog posts or op ed articles by persons sympathetic to the
Romney campaign. Even these studies don’t
support Romney’s numbers unless magical levels of economic growth are put into
the equations,
The other guys always contend
We make claims that we cannot defend
But six separate studies
Carried out by our buddies
Show magic trumps math in the end.
1 comment:
To add to the Matthew O'Brien Atlantic article:
Every person in the middle class who is thinking of voting for Mitt Romney should be demanding that he explain this "revenue neutral" 20% tax cut (and don't forget, he is also going to raise defense spending from current level of 2.3% of GDP to 4%). According to the Joint Committee on Taxation the three largest loopholes to close are the following:
1- The exemption for employer contributions for health insurance.
2- Deduction of mortgage interest.
3- Defined contribution retirement plans (a duty on savings in 401k plans).
The loss of these deductions would screw the middle class. So before voting for him, folks should demand to have this explained, in detail, and not be talked down that "it is too complicated to get into" or that "we will work it out in a bi-partisan manner after the election" or some other filibuster.
-Nessie
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