New Tax Money From the Rich Will Run Out in 3 Days

The recent tax increase on the 2% of the wealthiest Americans will be completely used up by this Sunday.  In exchange for decreasing the incentives to work and invest of the most productive and successful Americans, we got enough money to operate the government for just over five and a half days, or until some time January 6.  It is entirely possible that Obama will not even be back from his Hawaii retreat before the new taxes, which were the first priority for his second term, have already been spent.

(Calculation:  Assumes $60 billion first year take from the new taxes on rich, and spending this year of $3.8 trillion, or about $10.4 billion a day.

5 Comments

  1. Tax Paying Sucker:

    The tax breaks buried in the bill go on forever.

  2. tex:

    This is what “bills” are for – rewards and punishments both of which depend upon contributions from those affected. It is one of the reasons Obamacare bill is so big - no new doctor owned hospitals can be built, nor can existing ones be expanded (rewarding HCA's contributions as reported). This is the business the pols are in. This is how they raise a lot of their money. Money is flowing in while they dawdle on bills creating news stories about how they are fighting one another over the bill.

  3. Daniel:

    I appreciate your concern for the rich. But, don't ignore that people making less than $110,000 per year will now pay 2% more again for the regressive payroll taxes. Of course, the rich won't be saddled with this tax after $110,000 because they make over $110,000 per year.

  4. nehemiah:

    It is all about centralizing power and political paybacks.

  5. nehemiah:

    The 2% add-back to payroll taxes affects everyone that draws a payroll. The minimum wage and high income earner are impacted equally. Since their access to the services provided under these programs is equal that seems fair.

    I personally wish they would have left the affected bracket at $200,000 since that would have really hammered those in New York, Boston, Washington DC, San Francisco and every other elitist enclave that voted for hope and change in large numbers. Most of your "Tea Party" types are below that threshold but argued against this increase based on principle.