Following In The Footsteps Of The Taxer In Chief, Barack Obama, New Democratic Party Bosses Promise Everything And Propose Paying For It On The Backs Of American Taxpayers; And It's Only Going To Get Worse
TOP TAKEAWAYS
- President Obama's tax increases, best displayed through Obamacare, were a precursor for future Democratic leaders to propose their own far-left tax proposals.
- Elizabeth Warren (D-MA) and Bernie Sanders (I-VT) both support billions and trillions in tax increases that target most Americans including millennials, businesses, working people, small investors, and others.
- These radical proposals, promoted by the progressive wing of the party, are pulling the party to the left.
OBAMACARE PERFECTLY ILLUSTRATES PRESIDENT OBAMA'S EXTREME TAX AGENDA, WHICH CAUSED AMERICAN TAXPAYERS TO SUFFER FROM TAX INCREASES "TOO NUMEROUS TO MENTION"
President Obama's Signature Piece Of Legislation "Obamacare" Will Cost Americans Approximately $1 Trillion And Will Be Paid For With "21 New Or Increased Taxes"
Since Obama Took Office, "Americans Have Paid Higher Personal And Capital Gains Taxes, Seen A Rise In Medicare Taxes, A Decrease In Deductions" And "Many Other Tax Increases Too Numerous To Mention." "Since the president took office in 2009, Americans have paid higher personal and capital gains taxes, seen a rise in Medicare taxes, a decrease in deductions and the loss of certain incentives (accelerated depreciation, research and development credits) and many other tax increases too numerous to mention that have resulted in the United States falling to No. 12 in the world among economically "free" countries, according to the (right-leaning) Heritage Foundation. For a small business owner, taxes can take away anywhere from 20-40 percent of income, particularly when you figure in the impact of state and local amounts. This situation has grown far worse over the past few years, not better." (Gene Marks, Op-Ed, "President Obama's Small Business Scorecard," The Washington Post , 11/16/15)
As Written, Obamacare Stands To Increase Taxes By About $1 Trillion Between 2013 And 2022. "Thus, within the 2013 to 2022 budget period, there seems little debate that the health-care law has about $1 trillion in taxes." (Glenn Kessler, "Does 'Obamacare' Have $1 Trillion In Tax Hikes, Aimed At The Middle Class?" The Washington Post , 3/12/13)
Obamacare Was Paid For With "21 New Or Increased Taxes." "Let's get the big number out of the way. The health care law is expected bring in more than $1 trillion in new taxes over 10 years, according to a 2013 Joint Committee on Taxation report. The revenue is coming in through 21 new or increased taxes." (Lauren Carroll, "Jeb Bush: Obama Caused 'Massive' Tax Increase On Middle Class," Politifact , 06/23/15)
Obamacare's Individual Mandate, "Basically A Fine", Was Upheld By The Supreme Court Under Congress' Power To "Lay And Collect Taxes"
Individuals Must Pay The "Individual Shared Responsibility Payment" If They Can Afford Health Insurance But Choose Not To Buy It. "If you can afford health insurance but choose not to buy it, you must pay a fee called the individual shared responsibility payment. (The fee is sometimes called the 'penalty,' 'fine,' or 'individual mandate.') You owe the fee for any month you, your spouse, or your tax dependents don't have qualifying health coverage (sometimes called 'minimum essential coverage'). See all insurance types that qualify. You pay the fee when you file your federal tax return for the year you don't have coverage." ("If You Don't Have Health Insurance: How Much You'll Pay," Healthcare.gov , Accessed 03/13/17)
The Supreme Court Upheld The Individual Mandate Because It "Falls Within Congress' Power Under The Constitution To Lay And Collect Taxes." "Five justices concluded that the mandate, which requires virtually all Americans to obtain minimum health insurance coverage or pay a penalty, falls within Congress' power under the Constitution to 'lay and collect taxes.'" (Mike Sacks, "Supreme Court Health Care Decision: Individual Mandate Survives," Huffington Post , 06/28/12)
- Individual Shared Responsibility Payments Are "Basically A Fine." "The ACA, also known as Obamacare, states that individuals must maintain insurance coverage year-round. Those who don't must have an exemption or make what the government calls an 'individual shared responsibility payment,' which is basically a fine. Penalties for not having qualifying health insurance in 2014 are relatively low, but they will steadily increase in 2015 and 2016." (Molly McCluskey, "How Will The Affordable Care Act Affect Your Taxes," US News & World Report , 01/14/15)
According To Healthcare.gov, Individuals Pay "Whichever Is Higher" Between 2.5 Percent Of Household Income Or The National Average Price Of A Bronze Plan. "The fee is calculated 2 different ways - as a percentage of your household income, and per person. You'll pay whichever is higher. Percentage of income 2.5% of household income Maximum: Total yearly premium for the national average price of a Bronze plan sold through the Marketplace Per person $695 per adult $347.50 per child under 18 Maximum: $2,085" ("If You Don't Have Health Insurance: How Much You'll Pay," Healthcare.gov , Accessed 03/13/17)
- In 2016 And 2017, The Individual Mandate Costs $695 Per Adult Or $347.50 Per Child, Up To $2,085 Per Family. "The fee is calculated 2 different ways - as a percentage of your household income, and per person. You'll pay whichever is higher. Percentage of income 2.5% of household income Maximum: Total yearly premium for the national average price of a Bronze plan sold through the Marketplace per person $695 per adult $347.50 per child under 18 Maximum: $2,085" ("If You Don't Have Health Insurance: How Much You'll Pay," Healthcare.gov , Accessed 03/13/17)
Obamacare Also Increased Taxes On Life-Saving Medical Device Such As Pacemakers To Raise Billions Of Dollars
Obamacare Also Taxed Medical Devices Which "Applies Broadly To A Range Of Products, Including Pacemakers" And Other Devices. "Included in the Affordable Care Act (ACA) and launched in 2013, the medical device tax imposes a 2.3 percent sales tax on medical device supplies. The tax applies broadly to a range of products, including pacemakers, artificial joints, surgical gloves, and dental instruments." (Gregory W. Daniel, Op-Ed, "5 Questions About The Medical Device Tax, And Its Potential For Repeal," The Brookings Institution , 11/12/14)
The Medical Device Tax "Is Projected To Collect Approximately $38 Billion Of Excise Tax Revenues Over The Next Ten Years." "The 2.3% medical device tax imposed by the Affordable Care Act (ACA; P.L. 111-148) in 2010 was one of a number of additional revenue-raising provisions to finance health reform. This tax, which took effect in January 2013, is projected to collect approximately $38 billion of excise tax revenues over the next 10 years, resulting in $29 billion of net revenues, after accounting for offsets from other taxes." (Jane G. Gravelle and Sean Lowry, "The Medical Device Excise Tax: Economic Analysis," Congressional Research Service , 04/17/15)
President Obama Also Raised Taxes on Investment Income, The Medicare Payroll Tax, And "Hefty" Taxes On Certain Employer Health Plans
In Order To Raise Over $200 Billion, Obama Levied Taxes On Capital Gains, Dividends, And The Medicare Payroll Tax. "The largest of the new taxes, which was projected to raise $123 billion over a decade, was a 2.3% surtax on investment income -- capital gains and dividends -- owed by households making at least $250,000 or individuals earning $200,000. Other big-ticket items include a 0.9% increase in the Medicare payroll tax on the same group of high earners (forecast to raise $86 billion over 10 years) and the much-derided Obamacare individual mandate -- a new $695 to $2,085 penalty owed by anyone who doesn't buy a health plan (forecast to raise $65 billion, in conjunction with similar employer penalties)." (Ian Salisbury, "What Really Happened To Your Taxes While Obama Was President," Time , 01/19/17)
The "Much-Reviled Obamacare Cadillac Tax" Set A "Hefty" Tax On Certain Employer Health Plans. "We're talking about the much-reviled Obamacare Cadillac tax, which is set to levy a hefty 40% excise tax on employer health plans that are considered generous. The tax suffered its first body blow this week, with lawmakers on both sides of the aisle agreeing to delay its implementation until 2020, instead of 2018, as part of Wednesday's budget deal." (Tami Luhby, "Why Everyone Wants To Kill Obamacare's Cadillac Tax," CNN , 12/18/15)
PROGRESSIVE CHAMPIONS ELIZABETH WARREN AND BERNIE SANDERS FOLLOWED PRESIDENT OBAMA'S LEAD BY PROPOSING INCREASED TAXES
Senator Elizabeth Warren Goes After "Millennials and Gen Xers" And "The Businesses That Employ Them" To Pay For Trillions In Government Spending
In 2012, Warren's Tax Plan Mirrored President Obama's "Almost To The Letter." "Warren's tax plan mirrors President Obama's, almost to the letter, while Brown's dovetails roughly, though not entirely, with Mitt Romney's plan, which calls for specific cuts - like a 20 percent reduction in marginal rates - that Brown has not endorsed." (Michael Levenson, "Brown, Warren Show Sharpest Differences On Taxes," The Boston Globe , 10/18/12)
- Warren Supports "Increased Taxes On Income, Dividends, Capital Gains, Estates, Investments And Other Areas." "The Harvard Law School professor has endorsed increased taxes on income, dividends, capital gains, estates, investment, and other areas, with all of the increases focused on those who make more than $250,000 a year." (Michael Levenson, "Brown, Warren Show Sharpest Differences On Taxes," The Boston Globe , 10/18/12)
- Warren Wants To Increase Taxes To Bring In "More Than $1 Trillion In Additional Revenue" For The Government. Her changes would bring the federal government more than $1 trillion in additional revenue over the next decade. (Michael Levenson, "Brown, Warren Show Sharpest Differences On Taxes," The Boston Globe , 10/18/12)
Elizabeth Warren Believes "It's Not True" That American Businesses Are Overtaxed. "The lobbyists have a pretty strong elevator pitch. It goes like this: US corporations are paying too much in taxes. The top corporate tax rate is 35%, which is much higher than the rest of the developed world, and it's forcing US corporations to flee abroad. The solution is to slash corporate rates across the board. The story of over-taxation is everywhere - told and re-told by lobbyists for giant U.S. corporations and their friends in Congress - and promoted by more than one Republican candidate for President. Here's just a sampling: Ben Carson: "our government is driving businesses to other countries" because "our corporate tax rate is the second highest in the world." 1 Donald Trump: our multinational corporations can't compete because we have the "worst [corporate tax] rate in the industrialized world." 2 Marco Rubio: the U.S. imposes a double tax on the corporate earnings of U.S. multinationals, "hold[ing] back our nation's potential to compete around the globe." 3 There's only one problem with the over-taxation story: it's not true. There's a problem with the corporate tax code, but this isn't it." (Elizabeth Warren, Remarks At The National Press Club , 11/18/15)
However, Among Major Economies, "America Has The Highest Corporate Tax Rate In The World." "America has the highest corporate tax rate in the world among major economies. Its top rate of 40% has encouraged a number of companies to "invert." In an inversion, a U.S. company buys a foreign subsidiary and moves its headquarters (on paper, at least) to that country to enjoy a lower tax rate-a practice that Fortune has called positively un-American." (Brian Dumaine, "The Five Countries With The highest Corporate Tax Rates, Fortune , 10/21/14)
Third Way's Jon Cowan And Jim Kessler Point Out That Sen. Warren Has Called For A $1.5 Trillion Tax Increase "That Hits Mostly Millennials And Gen Xers," "Working People" And "The Businesses That Employ Them." "Undeterred by this undebatable solvency crisis, Sen. Warren wants to increase benefits to all seniors, including billionaires, and to pay for them by increasing taxes on working people and their employers. Her approach requires a $750 billion tax hike over the next 10 years that hits mostly Millennials and Gen Xers, plus another $750 billion tax on the businesses that employ them." (Jon Cowan and Jim Kessler, Op-Ed, "Economic Populism Is A Dead End For Democrats," The Wall Street Journa l , 12/02/13)
Senator Bernie Sanders, A Self-Described Socialist, Wants To Give Away Free College And Healthcare, By Raising Taxes On "Most Americans" Which Will Be A "Cost To Our Economy"
Senator Sanders Wants To Make "Public Colleges And University Tuition-Free" In A Plan That Would Cost "$75 Billion A Year." "Sen. Sanders has proposed making public colleges and universities tuition-free and substantially reducing student debt, in a plan that would cost about $75 billion a year." (Bernie Sanders Campaign Website, " How Bernie Pays For His Proposals ," Accessed 04/17/17)
To Pay For This Sanders Wants To Tax "Every Stock, Bond, Or Derivative Sold In The United States." Sanders has proposed something he calls a speculation tax, a small levy on every stock, bond or derivative sold in the United States. (Jim Zarroli, "How Bernie Sanders' Wall Street Tax Would Work," National Public Radio , 02/12/16)
- Sanders' Tax Would "Raise The Cost Of Investment," Be More Expensive To "Get Capital To Businesses" And Ultimately Be A "Cost To The Economy." "'On the one hand, it will raise the cost of investment,' he said. 'It's going to be a little bit more costly to get capital to businesses and others who have got useful things they want to do with it, and that's a cost to the economy.'" (Jim Zarroli, "How Bernie Sanders' Wall Street Tax Would Work," National Public Radio , 02/12/16)
- Some "Pain" Would Be "Passed On To Small Investors, Through Higher Costs To Pension And Insurance Funds That Invest In Wall Street." "Although the tax would be imposed on big banks and other large financial institutions, at least some of the pain would end up getting passed on to small investors, through higher costs to pension and insurance funds that invest in Wall Street, Burman said." (Jim Zarroli, "How Bernie Sanders' Wall Street Tax Would Work," National Public Radio , 02/12/16)
Sanders' Medicare Proposal, Already "The Largest Tax Increase In Modern History" Has Been Shown To Be Underfinanced By Over $1 Trillion Per Year
Sen. Sanders Medicare For All Proposal Would Be "The Largest Proposed Tax Increase In Modern History" According To The Tax Policy Center . "In fact, his plan calls for the largest proposed tax increase in modern history, according to Roberton Williams, a fellow at the Tax Policy Center. 'It's huge.' Those increased taxes, though, are intended to finance a public health care system in which everyone's medical expenses for eligible procedures, treatments and appointments are paid for fully." (Jeanna Sahadi, "How Taxes Would Be So Much Higher Under President Bernie Sanders," CNN , 01/19/16)
- The "New Premium Tax" Will "Hit Most Americans" And Cause "Marginal Rates Across The Board" To Go Up. "The new premium tax that will hit most Americans: Sanders would charge a 2.2% "income-based" premium. It would be assessed on taxable income (which includes wages, investment income, etc. minus certain tax breaks). Effectively, Williams said, this means marginal rates across the board will go up -- e.g., the 10% bottom rate becomes 12.2%; 15% become 17.2%, 25% becomes 27.2%, etc." (Jeanna Sahadi, "How Taxes Would Be So Much Higher Under President Bernie Sanders," CNN , 01/19/16)
Sanders Would Also Institute A "6.25% Payroll Tax Paid For By Employers." "Sanders says he'd pay for that with a new 2.2% income-based "health care premium" tax, as well as a 6.2% payroll tax paid for by employers." (Haley Sweetland Edwards, "Here's How Much Bernie Sanders Would Raise Taxes," Time , 01/28/16)
However, "Left-Of-Center Economists" Found That Sanders' Health Care Plan Would Add "$2 Trillion To $3 Trillion A Year" In Federal Spending Whereas The Total Federal Spending Is Project To "Above $4 Trillion" In 2017. "By the reckoning of the left-of-center economists, none of whom are working for Mrs. Clinton, the proposals would add $2 trillion to $3 trillion a year on average to federal spending; by comparison, total federal spending is projected to be above $4 trillion in the next president's first year." (Jackie Calmes, "Left-Leaning Economists Question Cost Of Bernie Sanders's Plans," The New York Times , 02/15/16)
According To Dr. Kenneth Thorpe of Emory University, Sen. Sanders Plan Would Cost $2.5 Trillion Per Year, And Is Underfinanced By $1.1 Trillion Per Year. " The analysis presented below however estimates that the average annual cost of the plan would be approximately $2.5 trillion per year creating an average of over a $1 trillion per year financing shortfall." (Dr. Kenneth Thorpe, "An Analysis Of Senator Sanders Single Payer Plan," Emory University , 01/27/16)
- Sen. Sanders Plan Would Actually Have To Increase Payroll And Income Taxes To A Combined 20% Instead of His Proposal of An 8.4% Increase. " To fund the program, payroll and income taxes would have to increase from a combined 8.4 percent in the Sanders plan to 20 percent while also retaining all remaining tax increases on capital gains, increased marginal tax rates, the estate tax and eliminating tax expenditures." (Dr. Kenneth Thorpe, "An Analysis Of Senator Sanders Single Payer Plan," Emory University , 01/27/16)
THE DEMOCRATIC NATIONAL COMMITTEE'S (DNC) 2016 PLATFORM INCLUDES FAR-LEFT TAX PROPOSALS SUPPORTED BY SENATOR SANDERS AND THE PROGRESSIVE WING OF THE DEMOCRATIC PARTY
In 2016, The Progressive Wing's Radical Tax And Economic Policies Were More Readily Adopted By A Party Being Pulled "To The Left"
The Democratic Party Adopted "The Most Progressive Platform In Recent History." "Sanders' supporters should be proud of what they accomplished in the primaries. With their support, Sanders was able to push Democrats to adopt the most progressive platform in recent history." (Dahleen Glanton, Op-Ed, "DNC Betrayed Bernie Sanders And The Rest Of America," The Chicago Tribune , 07/25/16)
In July 2016, Sanders "Pulled The [Democratic] Party To The Left" On A String Of Concessions On The Democratic Party Platform. "Back in July, Sanders won a string of concessions on the Democratic Party platform, pulling the party to the left on the minimum wage, environmental regulation, marijuana legalization, and the war on drugs." (Jeff Stein, "Bernie Sanders Moved Democrats To The Left. The Platform Is Proof," Vox , 07/25/16)
Sanders' Policy Director Admitted That Sanders' Campaign Achieved "At Least 80 Percent" Of What It Came For In The Platform. "The document goes further left than Clinton's position on a number of issues, with Sanders policy director Warren Gunnells saying his campaign achieved 'at least 80 percent' of what it came for. 'I think if you read the platform right now, you will understand that the political revolution is alive and kicking,' he said." (Alex Seitz-Wald, "Democrats Advance Most Progressive Platform In Party History," NBC News , 07/10/16)
The Platform Includes A Tax On Financial Transactions. "It pledges to break up banks that are too big to fail and calls for a financial transaction tax - an anti-speculation tax - but one limited to 'excessive speculation.'" (Katrina Vanden Heuvel, Op-Ed, "The Most Progressive Democratic Platform Ever," The Washington Post , 07/12/16)
- With Sen. Sanders' Supports, Democrats Also Committed To "Tuition-Free Education At In-State Public Colleges And Universities." "Sanders's most notable impact has been in driving elements of an expanded economic bill of rights into the platform. On education, Democrats committed to tuition-free education at in-state public colleges and universities for all those making under $125,000 a year." (Katrina Vanden Heuvel, Op-Ed, "The Most Progressive Democratic Platform Ever," The Washington Post , 07/12/16)
In Order To "Reinvest In Rebuilding America," The Democratic Platform Pledged To Raise Revenue From Changes To The Corporate Tax Code. "We will then use the revenue raised from fixing the corporate tax code to reinvest in rebuilding America and ensuring economic growth that will lead to millions of good-paying jobs." (David Weigel, "Democrats Release Draft Of Platform, With Shifts To Left On Death Penalty, Abortion, Taxes," The Washington Post , 07/01/16)
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