Will it really help the small guy like me/you, I have so many stocks that they are coming out of my ears....
I haven't paid much attention to the plan, cause the elimination of the stock dividend tax annoys the hell out of me, although I can see it helping people like Bill Gates and the other sickly rich people lower their tax rates....
Posted by newark (Member # 888) on :
The plan is to eliminate the double taxation system currently in place for stock dividends. A corporation pays a tax on issuing the dividends and the stockholder pays taxes on the dividends received. There are also other provisions, such as an increase in the child tax credit and measures to help a married couple. I think, also, this plan will give aid to the states most in need. I could be wrong. People are writing more about the elimination of the double taxation system than any other element of the plan.
The Democrats are working on a counter plan at this time.
I have been reading general news on this matter. I haven't read in-depth articles on the issue. I have learned that this plan is fraught with dangers of an expanding deficit and the economy not improving in the short run. On this last point, the White House is in agreement with economists. Their plan is a long term solution.
Frankly, I find this mention of tax cuts in a time of war very troubling. War is funded by a government using funds from our taxes. So, if the stockholder class is paying less taxes, if the corporations are paying less taxes, if married couples are paying less taxes, if married couples with children are paying less taxes, who will be paying the taxes for this war?
Posted by Ritten (Member # 417) on :
single working slaves to the establishment....
I know that there is more to it than the stock issues, like the $3,000.00 unemployment fund, etc...
but it is the stock thing that has me pissed, how many people are there that are averge, middle class Joes, that get enough in stock dividends to make any of that matter.....
Posted by First of Two (Member # 16) on :
I put my $9000 retirement savings from my last job (since they wouldn't roll over into my new job) in a mutual fund. I already had some $15,000 in gifts from my parents and grandparents in another mutual fund.
Not an inconsequential amount.
In any case, Bush is going to get 75% or more of what he's proposed. That's what controlling both houses means.
And the answer is: less taxes = greater consumer spending. Since consumer spending accounts for about 70% of the GDP, revenues will increase.
Posted by Tahna Los (Member # 33) on :
*sarcasm* Let's hope people start throwing their money into stocks like throwing beer into a fridge. Without thought, too. */sarcasm*
Posted by newark (Member # 888) on :
Even if his plan is passed, the states' response to their dire situation (deficits, weak treasuries)will neutralize any potential benefits. In my state of California, there is talk of raising taxes. The federal government lowers taxes, the state government raises taxes.
Posted by The_Tom (Member # 38) on :
quote:Originally posted by First of Two: And the answer is: less taxes = greater consumer spending. Since consumer spending accounts for about 70% of the GDP, revenues will increase.
Well, you Thatcherite ideologues are at least predictable, I'll give you that.
And it makes perfect sense! All that money the public purse is handing back to the wealthy will be spent at local supermarkets -- Joe CEO will buy twice as much milk as before, and potatoes will fly off the shelves! (Invest in Idaho, my friends! You heard it here first!) The legions of poverty-stricken yacht salesmen will be set for life. Every trucker in America will be able to send his daughter to a prep school in New England, for he will ship fine cherry furniture and Franklin Mint collectible plates from warehouse to private gate every day for a month before enjoying a paid vacation in Antigua.
Trickle down, little monies. Trickle away! You can do it!
Posted by Omega (Member # 91) on :
It worked before.
Posted by Sol System (Member # 30) on :
quote: Buy more stock in roses / millionaires will always woo / Don't be shocked if roses / make a millionaire of you
Posted by Ritten (Member # 417) on :
Go Tom Go!!!!!!
Yes, I expect Congress, party not withstanding, to vote it in... I mean, they wouldn't have stocks either....
IF the idea was from a DEM pres with a DEM congress, it would pass, so I will expect the same here...
Posted by PsyLiam (Member # 73) on :
quote:Originally posted by Omega: It worked before.
It also failed before.
Posted by Omega (Member # 91) on :
I'm talking about the Reagan tax cuts. What instance are you talking about, and exactly how did it fail?
Posted by First of Two (Member # 16) on :
Please remember that while the 80's saw more focus on the number of homeless (but little or no growth in that number), it also saw the rise of the young urban professional class, who made (and spent) oodles of cash.