Thomas Weighs Consumption Tax to Rescue Bush on Social Security

Thomas Weighs Consumption Tax to Rescue Bush on Social Security

http://www.bloomberg.com/apps/news?pid=10000087&sid=av29fWZSq1sI&refer=top_world_news

Thomas Weighs Consumption Tax to Rescue Bush on Social Security
May 4 (Bloomberg) -- President George W. Bush's Social Security plan is in danger of sinking from a heavy load of contention. House Ways and Means Committee Chairman Bill Thomas wants to rescue it by loading on even more controversy.

Thomas is considering a broader legislative package that includes new savings incentives (lifting contribution limits on retirement savings -401(k)s and IRAs) and long-term health-care benefits (via tax breaks). The plan, according to people who have discussed it with Thomas in recent days, could be financed by replacing at least part of the Social Security payroll tax with some form of consumption tax. <snip>

The proposal may create an unfair tax structure for Americans age 65 and older, said David Certner, AARP director of federal affairs. The majority don't pay any income tax because their incomes aren't high enough, he said.

"They spent their whole lives paying tax on the income that they earned, and now that they're spending it, they're shifting the tax to what they spend," he said. "They're caught in a very bad way." <snip>

the same time.

Kill Social Security and the income tax; replace them with privatized retierement accounts and a regressive national sales tax. It's all very Straussian--basically a return to the unregulated financial environment of the 1890's.

additional taxes on consumption will inevitably depress consumption; we're a consumption-based economy. The fact that we don't have a national sales tax or VAT is the one substantial competitive edge we have over the EU; we're everybody's best market, so it's in everybody's interest to keep us afloat. If that goes out the window, watch out.

that will bring the economy up in a jiffy!

Do you have to score under a certain number on your IQ test to be a Bushbot?

...consumption?

Oh yeah. All the ones that don't really compete in a fair market for people's consumer dollars -- all the ones who have monopolies, or sell to the government (think: who's making money in Iraq), and the ones for whom the government creates a market for their goods (think: private schools once the government decimates and then destroys the public alternative).

I guess there's a pretty powerful lobby for making low and middle income earners carry an even bigger tax burden.

corporate world would love the change!

Smirk is desperate not to be remembered as the election-stealing, incompetent, war-losing fascist idiot that he is. He needs SOME accomplishment to show for his 8 years. This ain't going nowhere; it's just keep throwing crap at the wall and see if it sticks.

Now see who he's trying to "divide!"

First youth against granny's/grandpa's - then vice versa.
Then small business against citizens.
Middle-Class against poor, as "worthless Americans."

I'm so sick of this Great Divider... I gotta bang the head again.

:banghead::banghead::banghead: