April 25, 2009

Speaking of taxes...

Here are a few things you may have missed...

  • Corporations are costing you and I and the states we live in by dodging their taxes. Here's the state by state breakdown... an extra $8 billion per year sure would help us build some roads, wouldn't it?
  • Former Labor Secretary Robert Reich wrote this rather excellent piece about taxes and the right wing...
    6. "We have a patriotic duty to stand up against Washington taxes!" Just the opposite. We have a patriotic duty to pay taxes. As multi-billionaire Warrent Buffett put it, "If you stick me down in the middle of Bangladesh or Peru or someplace, you'll find out how much this talent is going to product in the wrong kind of soil. I will be struggling thirty years later." President Teddy Roosevelt made the case in 1906 when he argued in favor of continuing the inheritance tax. "The man of great wealth owes a particular obligation to the state because he derives special advantages from the mere existence of government."

    An acquaintance from law school, now a partner in one of Washington's biggest and wealthiest law firms, explained to me one day over lunch how he and his partners use tax rules to create offsetting taxable gains and losses, and then allocate the gains to the firm's foreign partners who don't pay taxes in the United States. That way, they keep the losses here and shelter their income abroad. I noticed he had an American flag lapel pin. "You're supporting our troops," I said, referring to his pin. "Yup," he replied, entirely missing my point.

    True patriotism isn't cheap. It's about taking on a fair share of the burden of keeping America going.

  • Speaking of taxes and the right wing, it would do a lot of good for them to realize that many of them would lose out on federal money they depend on. If they were to secede and all.
  • New Jersey is better than Texas? As it turns out, yes when it comes to per capita income...

    Matthew Yglesias notes that Tom DeLay is under the strange misapprehension that Texas is rich thanks to its low taxes and lack of regulation.

    Just one minor issue: you really shouldn’t use median income, which can be distorted to the extent that inequality differs across states. You should instead use income per capita. As it happens, the comparison is even more striking. Texas, with its glorious free market regime and deeply incentive-creating 25 percent rate of health uninsurance, has a per capita income of $37,187; nanny-state New Jersey, with its oppressive taxes and regulation of everything (what it takes to get permission to cut down a dying tree … ), has a per capita income of $49,194.

    And that, really, is what should piss you off about the Republicans in Texas. They've made us fall behind NEW JERSEY.

  • Posted by mcblogger at April 25, 2009 12:58 PM

    Trackback Pings

    TrackBack URL for this entry:
    http://www.mcblogger.com/movabletype/mt-tb.cgi/4439

    Comments

    Post a comment

    Thanks for signing in, . Now you can comment. (sign out)

    (If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)


    Remember me?