The Obama campaign has tried to deny that their tax plan is really a disguise for massive wealth redistribution, with the IRS taking phenomenal amounts from those who do pay taxes and giving it as
welfare tax credits to those who don't. This includes taking more money from the owners of small businesses, which kills job growth because they have to give the money to the government rather than reinvest it in growing their businesses.
I thought we got rid of that stupid idea at the end of the 1970s.
Oh, you don't think President Obama and a Democrat-controlled Congress wouldn't do something that dumb? Well, listen to the words of The One himself:
I hope he doesn't have to call this plumber at 3AM to fix a leak…
I can't think of enough bad things to say about this plan … but I'll try. First, it brings back welfare-dependency by discouraging people from working harder, because they'll effectively be taxed higher for all the extra money they make over $40,000. Don't believe me? Take a look at this analysis from the Wall St. Journal. Why work harder and be taxed when you can get "free money" from the government? Oh, and the expenditures estimated under this plan come to over one trillion dollars. That's $1,000,000,000,000. Just how high is the Harbinger of Hope and Change going to have to set those tax rates to meet this obligation?
Obama's plan is a big honking lie because he is calling welfare payments "refunds" on tax credits: in other words, even if you pay nothing into the system, you still get the amount of the credit in the form of a check from the IRS. That isn't a tax policy: it's a scheme for a massive redistribution of wealth from the most productive members of society to the least in order to equalize results. It will inevitably lead to a massive expansion of federal power as the government ensures it has enough money to fill all those mailboxes waiting for a check.
And don't think those having their pockets picked will sit quietly. If this scheme goes through, you'll see capital flight from the US so fast it will make Speedy Gonzalez look like Slowpoke Rodriguez.
Bear this in mind on election day: not only will "President" Obama let the Bush tax cuts expire, creating in effect the largest tax increase in US history, but he will need to increase taxes further to meet the needs of this redistribution scheme. And massive tax increases are the last thing the nation needs when trying to recover from what's expected to be a severe recession by stifling business expansion and job growth. Hoover and FDR made that mistake, and thus the Crash of 1929 turned into the Great Depression.
Let's face it: Obama is not a typical American liberal, but a European-style Social Democrat who believes government knows best how to organize society, to determine winners and losers, rather than the free market. The empirical evidence of over 100 years says this is wrong, dead wrong, yet we stand on the verge of giving the keys to the vault to someone whose plans to reengineer society dwarf the New Deal and the Great Society.
Barack Obama is the furthest-Left candidate of a major party since Henry Wallace or Eugene Debs, but, unlike them, he may actually win. As his tax/welfare plan alone makes clear, that could well be a train wreck for the US economy.
(hat tip: Ed Morrissey)
LINKS: Ed, again; Fausta; Sister Toldjah; Power Line.