TAX ONLY THE RICH? UH-HUH

Remember the Obama scampaign? Right, how can we forget? One of the things Obama was so emphatic about was no tax increases for the middle class. Only the "rich" would see tax increases. Remember that one? Let me refer you to my post of October 21, 2008, WHAT TO EXPECT IF OBAMA IS ELECTED. Here is a quote from that post regarding paying for "free" nationalized government rationed healthcare:

"The commitments would start slow, so as not to cause immediate alarm. But as U.S. health-care spending flowed into the default government options, taxes would have to rise or services would be rationed, or both."

Well, here we are. I won't say I told you so. Deb, who writes My Take on Life, did a post today that alerted me to what's happening right now. Click HERE to read her post. It's excellent and she's exactly right. You should read her entry before continuing here. When you visit, leave her a comment. Her blog is a very good read on a variety of subjects.

What is being proposed in Washington right now is what is called "VAT". A definition of VAT, or Value Added Tax, can be found on VAT.COM. This tax is defined as, "an indirect tax on consumer expenses. VAT is charged and collected at each stage of the production process and not only on the final sale. VAT is normally borne by the consumer by the price paid for goods and services."

Did you get that? If the Obama administration pushes this through, and with a Democratic majority in Congress, there won't be any pushing to it, prices will rise on everything you buy. Everything. According to the WASHINGTON POST , the chairman of the Senate Budget Committee, KENT CONRAD, D-NPL-North Dakota said, "There is a growing awareness of the need for fundamental tax reform. I think a VAT and a high-end income tax have got to be on the table."

Proof positive in my opinion that Obama's economic policies have already deepened the economic hole America is in, and now Washington is looking for ways to pay for the Obama administration's "economic stimulus" plan.

In the middle of what Obama claimed many times over to be the worst economic crisis since the Great Depression, Washington is kicking around the idea of a VAT (which will increase the cost of goods and services) and increasing taxes on upper income families (increasing the cost of goods and services because this economic class of people own many of the businesses we patronize - a double whammy. Good plan!)

Even though the main focus is supposedly not to use a VAT to pay for the "free lunch" healthcare, it has to be factored into it. This one thing alone will cost trillions and trillions of dollars, and the cost to taxpayers will rise exponentially. It has to be paid for somehow. Other taxes being considered to try to fund the government's healthcare free ride are taxes on soft drinks and employer provide healthcare. Imagine that - even your health insurance being taxed - to pay for government health insurance.

So, what about the middle class's taxes not going up? As I said months ago, this wouldn't happen. I said last year right here that we would all end up being considered "rich", just like the Clinton years.

If these tax hikes are passed, watch for the economy to take a nosedive.

The way it works is actually quite simple:

TAX INCREASE = LESS CONSUMER SPENDING (people have less of their money to spend).

LESS CONSUMER SPENDING = BUSINESS SLOWDOWN.

BUSINESS SLOWDOWN = LOST JOBS. BUSINESS SLOWDOWN + LOST JOBS = ECONOMIC DOWNTURN.

Since Washington doesn't seem to get it, or more accurately, doesn't WANT to get it, next is a young gentleman who explains things very simply. And I mean VERY SIMPLY.





The time for action is right now. E-mail your Congressmen and Congresswomen TODAY before this thing gains momentum. Congress is where these massive tax increases can be stopped. If we threaten the jobs of those in Congress, it can be stopped before it gains support. Job insecurity seems to be the ONLY thing they REALLY understand.