So Obama wants to Raise the Top 2 tax Brackets

[Veretax]

With the top two tax brackets returning to 1990s levels, the Obama Campaign thinks it will raise a lot of revenue. They also have been touting that anyone making under 250K a year will get a Tax Cut. I'm not buying it. According to The Tax Policy Center Here is how the Bracket's break down in 2008. Something smells Fishy.

Let's look at a Few of these:

The top two Tax brackets in 2008 were defined as:

If you are Single,

$164,550 up to $357,700

$357,700+

If you were a Head of a Househould,

$182,400 up to $357,700

$357,700+

If you were married filing jointly,

$200,300 up to $357,700

$357,700+

If you were Married filing separately

$100,150 Up to $178,850

$178,850+

That was not including deductions of course. So I don't understand how Obama can say he's going to Cut taxes for everyone under $250K, when the Top Brackets look like this, unless he's going to redefine the brackets. I've not seen one word about him doing that. All I have seen is he wants to roll back the Bush tax cuts. Am I wrong on this? Cause it sure likes a discrepancy from where I sit.

[TMK9973]

Um....when did he say he was going to raise taxes on "The top 2 brackets"?

He said he would increase the TOP markginal tax rate, and lower it for anyone making under 250k.

Never said he was going to raise taxes on the "Top 2 brackets"

[Kilmer17]

Of course this is just the INCOME tax part of his plan.

Business, estate, etc etc taxes will go up for everyone.

[TMK9973]

Ok - I see what you are getting at. In Obama tax plan he says taking the top 2 marginal tax rates and increasing them from 33% and 35% to 36% and 39%.

However - You missed two things -

1) The same plan says that Obama will adjust the thresholds of the rates to ensure that married couple making 250k or less (single making 200k or less) would not see a increase

2) That because the other rates go down, those making higher then 250k would still benifit. Example - If I make 255k a year, well 5k of that will be at a higher rate, but 200k of that will be lower. This is why most experts say that no one making less then 350k wouldn't see a tax increase overall.

[prophet]

To get all the "benifits" that Obama has sprewed out he is either lying (shocked :doh:), or going to have to raise most people's taxes.. If you disagree can I get a free ticket to Disney World from you.

[hkHog]

Of course this is just the INCOME tax part of his plan.

Business, estate, etc etc taxes will go up for everyone.

Exactly, this is completely being ignored. In addition, most (not all) of his proposed income tax reductions for 95% of the population also apply to people who are unemployed so if your income is $0 you will get an income tax refund, or in other words a welfare check every year. In fact, when you consider that 50% of americans already pay no federal income tax that means that under Obama's plan over half of the country will be living on welfare. That is absurd!

[TMK9973]

Exactly, this is completely being ignored. In addition, most (not all) of his proposed income tax reductions for 95% of the population also apply to people who are unemployed so if your income is $0 you will get an income tax refund, or in other words a welfare check every year. In fact, when you consider that 50% of americans already pay no federal income tax that means that under Obama's plan over half of the country will be living on welfare. That is absurd!

Can you back that "Stat" up?

http://www.ajc.com/blogs/content/shared-blogs/ajc/bookman/entries/2008/10/07/the_half_of_americans_pay_no_i.html

[DeanCollins]

In fact, when you consider that 50% of americans already pay no federal income tax that means that under Obama's plan over half of the country will be living on welfare. That is absurd!

It's "trickle up economics", howduyalike it? :laugh: Makes more sense than reagan's plan as there are a lot more people walking around spending money, instead of hording it.

[TMK9973]

BTW - If you make nothing (or under 19k) you could get a tax credit of $500....

Yup - CLEARLY we will have masses quit their job and make 0 for a whole year in order to get that $500 check......

[MurrayH81]

If you think any of the main party candidates are really going to help you or anyone who looks like you, you are sadly mistaken.

They both are there to help themselves, and their preferred brand of wealthy people.

Taxes are going to be raised to pay for previous spending deficits and new programs. Waste and greed will continue.

Until partisans of both sides wake up and vote all the scoundrels out of office, it will always be that way.

I hope we still can salvage something when that time comes.

[Tulane Skins Fan]

Can I suggest that with all the problems we are going to have in the next four years, whether someone pays 39% or 36% income tax on money made over 250K is really not that important.

[SnyderShrugged]

If you think any of the main party candidates are really going to help you or anyone who looks like you, you are sadly mistaken.

They both are there to help themselves, and their preferred brand of wealthy people.

Taxes are going to be raised to pay for previous spending deficits and new programs. Waste and greed will continue.

Until partisans of both sides wake up and vote all the scoundrels out of office, it will always be that way.

I hope we still can salvage something when that time comes.

well said!!

[Redskins Diehard]

Can you back that "Stat" up?

http://www.ajc.com/blogs/content/shared-blogs/ajc/bookman/entries/2008/10/07/the_half_of_americans_pay_no_i.html

It looks like Jay says that 38% or so don't pay income tax. Unless you count FICA which they will be reimbursed when they start drawing their benefits

[SoCalSkins]

Can I suggest that with all the problems we are going to have in the next four years, whether someone pays 39% or 36% income tax on money made over 250K is really not that important.

It is to the person making over 250k.

[Tulane Skins Fan]

It is to the person making over 250k.

Really? Let's consider Joe the fake plumber. He makes 280K a year, say. 30K of that is over 250K. 3% of 30K is less than $1,000. Are you telling me that this election is about $1000 to people? Two wars, SC justices, credit freezes, 10 trillion in national debt, Iran, Russia, and Osama bin laden and other terrorists still running around, and 1000 bucks is the determinative factor. It's really sad.

(by the way, apparently the difference between socialism and free market economics is $1000 now too.)

[hkHog]

It is to the person making over 250k.

And the people they employ. The Dept. of Labor claims that in the nest two years 7 out of every 10 NEW jobs will be provided by people making over $250,000. Raise their taxes and you slow job growth.

[Tulane Skins Fan]

And the people they employ. The Dept. of Labor claims that in the nest two years 7 out of every 10 NEW jobs will be provided by people making over $250,000. Raise their taxes and you slow job growth.

Why did we lose 2 million jobs in the last 8 years then? Before the credit crisis.

And I guess you're saying that those people making 280K a year were going to pay someone 1K a year to work for them and now they can't afford it?

[hkHog]

Really? Let's consider Joe the fake plumber. He makes 280K a year, say. 30K of that is over 250K. 3% of 30K is less than $1,000. Are you telling me that this election is about $1000 to people? Two wars, SC justices, credit freezes, 10 trillion in national debt, Iran, Russia, and Osama bin laden and other terrorists still running around, and 1000 bucks is the determinative factor. It's really sad.

(by the way, apparently the difference between socialism and free market economics is $1000 now too.)

Again, you are only looking at income taxes. Obama wants to raise Social Security and capital gains on people making over $250,000 by much more than 3%.

[Tulane Skins Fan]

Again, you are only looking at income taxes. Obama wants to raise Social Security and capital gains on people making over $250,000 by much more than 3%.

5% is much more than 3%, you are right... the same rate Reagan charged.

[SoCalSkins]

Really? Let's consider Joe the fake plumber. He makes 280K a year, say. 30K of that is over 250K. 3% of 30K is less than $1,000. Are you telling me that this election is about $1000 to people? Two wars, SC justices, credit freezes, 10 trillion in national debt, Iran, Russia, and Osama bin laden and other terrorists still running around, and 1000 bucks is the determinative factor. It's really sad.

(by the way, apparently the difference between socialism and free market economics is $1000 now too.)

Why stop at 280k? What if Joe the surgeon is making 2 million a year or Joe the CEO is making 50 million a year? It is over an 8% increase over what a person pays now in the top bracket.

I voted for Obama, but not because of his tax plan.

[hkHog]

Why did we lose 2 million jobs in the last 8 years then? Before the credit crisis.

And I guess you're saying that those people making 280K a year were going to pay someone 1K a year to work for them and now they can't afford it?

Souring economy, minimum wage increase, gas prices, etc... all of those led to unemployment increases. You are proving my point, why do you want to raise taxes on the people who create new jobs when unemployment is INCREASING!? That makes no sense.

[Tulane Skins Fan]

Souring economy, minimum wage increase, gas prices, etc... all of those led to unemployment increases. You are proving my point, why do you want to raise taxes on the people who create new jobs when unemployment is INCREASING!? That makes no sense.

Actually, the biggest reason we lost jobs is because the dollar isn't worth **** anymore. Because America, the country, borrowed from China and India way too much.

Look, we can't go crazy and try to balance the budget in four years or anything. But we can be responsible. And the insinuation that a 3% tax increase on less than 5% of Americans is going to cause lost jobs or a recession is ridiculous. And voting on 1000 bucks is ridiculous too given everything else that is going to go on for the next 4-8 years.

[Midnight Judges]

Exactly, this is completely being ignored. In addition, most (not all) of his proposed income tax reductions for 95% of the population also apply to people who are unemployed so if your income is $0 you will get an income tax refund, or in other words a welfare check every year. In fact, when you consider that 50% of americans already pay no federal income tax that means that under Obama's plan over half of the country will be living on welfare. That is absurd!

Are you claiming that McCain would not give a tax refund to people who pay 0 net income tax? If you are, you would be mistaken. Besides, people who work still have payroll taxes.

But such proposals -- known in tax parlance as "refundable tax credits" -- have become increasingly common in recent years, supported by both parties. Sen. McCain himself uses them as the cornerstone of his health-care plan.

President George W. Bush's 2001 tax cuts increased an existing child tax credit, and made it refundable so households that didn't pay taxes could receive it.

http://online.wsj.com/article/SB122454768040352279.html?mod=googlenews_wsj

[USS Redskins]

It's cool - to quote the messiah, himself: "I just want to spread the wealth around."

And I am sure, no make that POSITIVE that there are liberals who are just dying to give a little more... maybe 40% or 50% - hell, make that 75% of what they earn because the Gov't does such a fan-damn-tastic job of using our money (no matter who is in power). Go ahead liberals - show your support for His Barackness' "Spread the Wealth Around Plan" and give that much more than everyone else...

[KevinthePRF]

Souring economy, minimum wage increase, gas prices, etc... all of those led to unemployment increases. You are proving my point, why do you want to raise taxes on the people who create new jobs when unemployment is INCREASING!? That makes no sense.

To pay for the ever increasing government. Why has zero to do with party affiliation, even though republicans lie to their voters to make them think they will shrink government spending.