Category Archives: Taxes

Forbes: Obamacare Insurers Lost Billions “Financial Bloodbath”

The Congressional Budget Office CBO predicted that profits from ObamaCare’s top insurance companies would generate $8 Billion for the “Risk Corridor” – the pool of money to help insurers that lost money in the program. So how did the CBO do?

Forbes:

The new data shows that the amount insurers who made money in the individual market were required to contribute in 2015 was $89 million but the claims by losers against that money for that year amount to $5.3 billion. This is a ratio of about 60 to 1.  The figures for the small group market are even worse: profitable insurers contributed a paltry $6 million to Risk Corridors. Losers in the small group market are owed $594 million for 2015.

It is hard to overstate how bad the 2015 data is.  Here are some ways of assessing the magnitude of the financial bloodbath.

  • Although the individual market was considerably bigger in 2015 than it was in 2014, contributions to Risk Corridors were only about 1/4 as much in the individual market
  • There was one insurer in the individual market who made enough money in the exchanges that it could contribute over $10 million into Risk Corridors.  There were 105 insurers in the individual market who lost enough money in the exchanges that they are owed over $10 million.
  • There was one insurer in the small group market who made enough money in the exchanges that it could contribute over $1 million into Risk Corridors. There were 61 insurers in the small market who lost enough money in the exchanges that they are owed over $10 million.
  • There were 24 states in which not a single insurer made a contribution to Risk Corridors in the individual market.
  • There were 33 states in which not a single insurer made a contribution to Risk Corridors in the small group market.
  • There are nine insurers (Blue Cross Blue Shield of Texas”, “Blue Cross Blue Shield of Illinois”, “Blue Cross and Blue Shield of NC”, “Freelancers Health Service Corporation d/b/a Health Republic Insurance of New York”,  “BCBSM, INC.”, “Highmark Inc.”, “Health Net Life Insurance Company”, “Blue Cross Blue Shield of Oklahoma”, “Humana Employers Health Plan of Georgia, Inc.”, “Colorado Health Insurance Cooperative, Inc.”) that have each requested more than $100 million  in Risk Corridors money — more than all the contributions for 2015 put together.
  • Blue Cross Blue Shield of Texas did so poorly it has requested $596 million in Risk Corridors money.  It likely won’t see a dime of it.  (This might explain why Blue Cross/Blue Shield requested a 58% rate increase for 2016).

 

Hillary “donated” to herself and called it a tax write off…

So you start a “foundation” to take donations (bribes) from foreign countries and special interests, used that money to pay yourself $500,000 per speech, give all of 5% of what you collect to charity.

Then on your income tax, donate to your foundation which is paying you that half a million bucks a pop…..and write it off.

hillary-tax-dodge-donating-to-herself

Tax Dodging is Wrong, Legal Tax Avoidance is the American Way

Unless of course you are a company like GE who has the connections to get special exemptions for themselves in the tax code.

That exception aside, no one should pay more than the law says that they should, or as my teenage daughter might say “no duhhh”. There is nothing wrong with taking deductions that are written into the law.

As so many have heard, Donald Trump’s 1995 Tax Returns were illegally leaked and it shows that he paid very little tax that year because he was recovering from recent losses, which are deductible. Hillary Clinton and even the New York Times used those same deductions in their own taxes.

Breitbart News:

Hillary Clinton used the same exact method as Donald Trump to pay less tax, according to her own tax returns released by her presidential campaign.

Donald Trump reportedly avoided paying federal income taxes by reporting massive losses on his 1995 tax return, which the New York Times somehow obtained before Trump himself released it.

The Wall Street Journal describes the loophole that Trump used:

The tax treatment of losses, bound to become a subject of national debate, is a typically noncontroversial feature of the income-tax system. The government doesn’t pay net refunds when business owners lose money, but it lets taxpayers use those losses to smooth their tax payments as they make money. That reflects the fact that “the natural business cycle of a taxpayer may exceed 12 months,” according to a congressional report.

Typically, for federal returns, such net operating losses can be carried backward for two years to offset past income and then kept on a taxpayer’s books for 20 years, though Mr. Trump’s losses could only qualify for a 15-year carryforward under the law at the time.

The Clinton campaign has hammered Trump on his unreleased tax returns. When pundits on cable news now refer to the “Taxes” issue, they’re usually talking about Trump’s personal “taxes” issue, not the taxes paid by American voters.

But the Zerohedge blog first noticed something that could undercut Clinton’s ability to hit Trump on his “net operating losses.”

Clinton’s 2015 tax returns reveal that Hillary Clinton also reported capital gains losses in order to lessen her tax burden through a “carryover.”

Page 17 of the tax returns show “Capital Gains and Losses” for “WILLIAM J CLINTON & HILLARY RODHAM CLINTON.”

The Clintons reported a “Long-term capital loss carryover” of $699,540.

Thus, the Clintons reported a “Net long-term capital gain or (loss)” of “-699,540.”

Obama is wrong, most illegals do not pay their “fair share”

The numbers just don’t add up. Most illegals would not earn enough to have to pay the income tax anyways….

Via American Thinker:

Last night’s presidential address on decreeing that millions of illegal aliens can stay here in violation of the law contained a deep deceit, buried in words that were, on the surface, true. President Obama’s rhetoric left the impression that at last, illegal immigrants would “pay their fair share.” From the official transcript:

We expect that those who cut the line will not be unfairly rewarded. So we’re going to offer the following deal: If you’ve been in America for more than five years; if you have children who are American citizens or legal residents; if you register, pass a criminal background check, and you’re willing to pay your fair share of taxes — you’ll be able to apply to stay in this country temporarily without fear of deportation. You can come out of the shadows and get right with the law. That’s what this deal is. (snip) (emphasis added)

…millions of people who live here without paying their taxes or playing by the rules while politicians use the issue to scare people and whip up votes at election time.

The problem with this rhetoric is that very few illegal immigrants make enough money to actually pay taxes. Instead, their “fair share” will amount to a substantial gift from American citizen and legal immigrant taxpayers who have played by the rules.

Avik Roy writes:

 …the vast majority of undocumented aliens don’t make enough in income to have a net income-tax liability. As I note in Forbes, a 2006 analysis by the Century Foundation, a progressive think tank, concludes that “we can be virtually certain that illegal immigrants earned less than $24,000 per year, on average, probably much less.” That amounts to around $29,000 in 2014 dollars, well below the threshold where an American has a net income-tax liability.

Not only will they not pay income taxes, many are likely to get a check from the IRS, thanks to the Orwellian-named Earned Income Tax Credit, which send a gift from taxpayers to low income families.

Neil Munro explains in the Daily Caller:

…once illegal immigrants are enrolled in the tax system, they’re would be entitled to EITC payments

The payments may be huge, and will rise each year.

According to the Internal Revenue Service, two parents with three or more children would receive up to $6,143 in 2014 if they earn less than $46,997.

A family with two kids, and an income of $20,000, would receive $14,590 in taxpayer funds this year alone. Parents who earn less than the threshold would get $3,305 if they have one child, and $5,460 if they have two children.

The EITC program is already poorly monitored and may be subject to large amounts of fraud, according to critics.

Another study says that 47 percent of legal and illegal immigrants and their children are classified as living in poverty or in near-poverty, according to the Center for Immigration Studies, which favors reduced annual immigration.

In addition, the Social Security trust fund will lose billions. Roy explains:

…many illegals have fake Social Security numbers that their employers use to pay payroll taxes on their behalf. Century estimates that “about $6 billion in annual payroll taxes are allocated to non-existent Social Security accounts. . . .

Instead of subsidizing Social Security, these illegals will now be in a position to claim benefits, likely far in excess of what they will pay into the system.

Senator Dick Durbin to Walgreens: Stay in Illinois or else….

Senator Durbin is the second most powerful Democrat in the Senate. Illinois has the highest taxes in America so companies are leaving in droves. Time to whip out the thug card….

National Review:

Score another victory this week for the Senate’s lead political thug, Dick Durbin. The second-highest-ranking Senate Democrat and lead political henchman coerced retail giant Walgreens to stay in Illinois and not move as planned to Switzerland.

The government’s intimidation campaign against Walgreens was so heavy-handed that it would make Richard Nixon blush. Walgreens was set to move in order to reduce its tax liability and avoid the 40 percent income tax rate it pays as an Illinois-based corporation. This would have saved the company and its mostly American shareholders an estimated $4 billion over five years.

But back in July Mr. Durbin sent an astounding letter to Walgreens CEO Gregory Wasson warning the company, and demanding that it abandon its plans to relocate.

He lambasted the company’s move as a “clever tax dodge,” and threatened that “deeply patriotic” customers would not “support Walgreen’s decision to turn its back on the United States.” He added, subtly, that “nearly all of your $2.5 billion in profits earned last year were from sales to U.S. taxpaying customers.”

That was followed by other threats of political retaliation. “Much of Walgreens financial success was built on programs and infrastructure provided by the U.S. government” and “the future success of Walgreens will continue to depend on U.S. taxpayers and government-funded programs.” Just in case Mr. Wasson didn’t get the point, he reminded him that “nearly 25% of Walgreens profits were from U.S-funded Medicare and Medicaid programs.”

Unfortunately, our elected officials in Congress now feel they have the political power to carry out these threats with impunity.

Now Mr. Durbin is celebrating the Walgreens shakedown. The big losers here were the shareholders — including thousands and thousands of middle class Americans — whose retirement funds include Walgreens stock. The stock fell in the 24 hours after the announcement by more than 10 percent and so shareholders lost at least $6 billion on the announcement. That’s a lot of financial wreckage from one single senator.

In case there is any doubt that Mr. Durbin’s threats were heard, the statement by Walgreens about why it was not moving after all was revealing. The firm cited big risks of “consumer backlash and political ramifications, including the risk to our government book of business.” In other words: We got your message, Mr. Durbin.

 

20 Ways the Government Wasted Your Tax Money

And they say they are under funded…

CNS News:

Every year, Oklahoma Senator Tom Coburn and his staff compile an exhaustive volume of wasteful government spending from that year. The 2014 tome is chock full of government waste ranging from the redundant to the downright absurd.

Swedish massages for rabbits: $387,000

The National Institutes of Health paid this six figure sum to the National Center for Complimentary and Alternative Medicine in order to discern whether Swedish massages would be helpful in recovering from an illness.

“A group of rabbits received daily rub downs from a ‘mechanical device that simulates the long, flowing strokes used in Swedish massages.’”

Teaching Mountain Lions to Ride a Treadmill: $856,000

The National Science Foundation shelled out nearly a million taxpayer dollars to determine if captive mountain lions could be trained to ride a treadmill. The University of California-Santa Cruz researcher even boasted about receiving the grant saying, “People just didn’t believe you could get a mountain lion on a treadmill, and it took me three years to find a facility that was willing to try.” If anyone was wondering, it took the lions all of eight months to learn.

Studying how many times “hangry” people stab a voodoo doll: $331,000

After teaching mountain lions about treadmills, the National Science Foundation also funded a study to come up with the self evident conclusion that hungry people tend to be more angry and aggressive. They tested this theory by allowing spouses to poke pins into voodoo dolls as their “hanger” grew.

“Over the course of twenty-one consecutive evenings, 107 couples were given a chance to stick up to 51 pins into a voodoo doll representing their spouse. The pin-pushing happened in secret, away from the other partner. Participants then recorded the number of pins they poked into the dolls. Those tests revealed what may already be obvious to many couples: a spouse with low blood sugar was an angrier one, and stuck more pins in the doll.”

Studying the gambling habits of monkeys: $171,000

Another NSF grant funded the study of gambling monkeys. Under the guise of studying the “hot-hand bias” in human gamblers, the University of Rochester devised a computer game, taught monkeys to play it, and studied how they responded to winning and losing. A doctoral candidate who worked on the study seemed pleased to learn, “Luckily, monkeys love to gamble.” Taxpayers, on the other hand, will not be pleased to find out this study is set to continue through May of 2018.

Producing the children’s musical: Zombie in Love: $10,000

The National Endowment for the Arts funded the production of a musical to die for. Aimed at children four and up, the musical tells the story of Mortimer the teenage zombie and his quest to find love and happiness. The NEA officials justified this use of tax money by saying that Mortimer “exemplifies anyone who has felt like an outsider.”

Funding a “Stoner Symphony”: $15,000

The location of this performance shouldn’t shock anyone. What is sure to shock taxpayers is the amount of their money that was provided to the Colorado Symphony Orchestra to host “Classically Cannabis: The High Note Series.” Not only was the program pot-related, the people were encouraged to inhale (and chow down) while watching.

“One of the three concerts, called Summer Monsoon, advertised on its website this way, ‘Smoke up and fill your belly with Manna’s spiced pork, Sesame Seed Teriyaki Chicken, & Filipino Empanadas.’”

Subsidizing Alpaca Poop: $50,000

In addition to this project making the cut for Sen. Coburn, this little gem was also covered by CNSNews.com last month. The U.S. Department of Agriculture shelled out a hefty sum to help develop and market Alpaca “Poop Packs” for use as fertilizer. This is government waste, literally.

Synchronized Swimming for Sea Monkeys: $307,524

This project garnered the support of three government agencies (National Science Foundation, Office of Naval Research, and U.S.-Israel Binational Science Foundation). In an effort to study the swirl created when sea monkeys move throughout the water, researchers developed a “laser guided,” “choreographed” team of synchronized swimming sea monkeys.

Produce a “Hallucinatory” Roosevelt/Elvis show: $10,000

In what could quite possibly be the weirdest project on this list, the NEA helped fund the production of a show about the hallucinatory journey of a girl pretending to be Elvis and gallivanting around with America’s 26th president.

“In one scene, Ann hallucinates that she is Elvis, and that she and Teddy are romping around their hotel room in their underwear, with Teddy eventually riding around on Elvis’s back as though he were a bucking bronco.”

Funding Climate Change Alarmist Video Game: $5.2 million

As polls show climate change is dead last on the Americans’ list of priorities, the NSF felt the need to help “spur climate change activism.” They paid Columbia University to develop a video game entitled “Future Coast,” where rising seas cause mass chaos and weather calamities of epic proportions. The story is set to a bunch of voicemails from the future describing the anarchy.

“One caller claims “neo-luddites” are out to kill anyone with scientific knowledge,496 and another paints a cryptic image of a zombie apocalypse saying that ‘when you see them, you will know what to do.’”

Teaching Kids to Laugh: $47,000

The National Endowment for the Humanities funded classes at UCLA and Butler University to teach college students about laughter. In seminar’s like “Why is it funny” student will presumably learn “how laughter plays with our perceptions” and “whether comedy is a ‘guy thing’.”

““As a final project, students will develop either a stand-up routine or a, “comedy piece using the tools of digital storytelling.”

Developing a real-life Iron Man Suit: $80 million

It seems the DoD is attempting to capitalize on the popularity of the Iron Man movies in order to develop its very own real-life replica. Dubbed TALOS (Tactical Assault Light Operator Suit), the Pentagon will spend the next four years trying to build a suit made “of military super-armor to withstand bullets and carry hundreds of pounds, all powered by [a] futuristic energy source.” But, there’s one slight problem, it doesn’t work:

“And while a promotional video for the TALOS program shows bullets ricocheting off a cartoon soldier dressed in the suit, field tests have so far found soldiers struggling to run, dive, and shoot when using the real thing.”

Tweeting at Terrorists: $3 million

The State Department is aiming to fight terrorists in ISIS and al-Qaeda online as well as on the battlefield. Its new program is intended to “counter the sophisticated propaganda machines of terrorist groups around the globe.” However, their Twitter campaign, “Think Again, Turn Away” has been almost universally panned as not only ineffective but also counter-productive.

“A recent commentator in Time Magazine put it more bluntly, saying, ‘this outreach by the U.S. government is not only ineffective, but also provides jihadists with a stage to voice their arguments…’”

Predicting the End of Humanity: $30,000

As opposed to finding new ways to explore the solar system, NASA is instead spending its budget on a study to predict how the world will end. Researchers from the University of Maryland and Minnesota came back with an intriguing and politically advantageous answer: Income inequality. They warned that an “unequal distribution of wealth” has “led to civilizational collapse.”

Funding Kids Dressing Like Fruits and Vegetables: $5 million

Another wasteful project also caught by CNSNews.com. The University of Tennessee used $5 million of taxpayer money allowing student to dress up like fruits and veggies in an attempt to promote healthy eating habits. “Students created the term ‘fruved’ to describe ‘the process of eating FRUits and VEgetables.’”

“The students are divided into five teams – amusingly labeled Spinach, Carrot, Banana, Grapes, and Tomato – which are led by costumed mascots.”

Help Parents Counter Kids’ Refusals to Eat Fruits and Veggies: $804,254

In an attempt to aid parents across America whose kids have refused to eat their greens, the NIH has funded a Smartphone game called “Kiddio: Food Fight.” The game is supposed to help parents counter sophisticated childhood rebuttals like “Yuk!”

“Parents will select a vegetable to offer Kiddio and then select a tactic for influencing Kiddio to eat the veggie.”

Lost electronic devices from NASA: $1.1 million

It seems thousands of agency provided electronics are lost in space. NASA hasn’t kept track of the thousands of Smartphones, tablets, and AirCards they’ve provided their employees. At the same time, “Over 2,000 devices – 14 percent of the total owned by the agency– went unused for at least 7 months from 2013-2014.” On the agency’s list of lost items, they’ve listed “laptops, video tapes, and moon rocks.”

Studying if Wikipedia is Sexist: $202,000

The NSF sent nearly a quarter of a million dollars to NYU and Yale researchers to study if any gender bias existed on the website Wikipedia. Because Wikipedia can be edited by almost anyone, the study followed “accusations of sexism in content and among contributors at Wikipedia.” One example of sexism uncovered by researchers was quite the bombshell:

Wikipedia contributors were biased because they had characterized some female novelists as “American Female Novelists” on Wikipedia, rather than “American Novelists.”

Asking heavy drinkers not to drink through text message: $194,090

Researchers plan to use this swath of taxpayer money to conduct a study wherein they text “heavy drinkers,” warn them not to drink, and monitor whether they do in fact get drunk.

“For example, some study subjects will get a daily 3 P.M. text message reminding them of the consequences of heavy drinking.”

Government Funded Ice Cream: $1.2 million

The USDA is paying dairy farmers to produce ice cream and many other dairy confections:

“In Wisconsin and New York, a farmer cooperative and creamery received a grant to expand production and marketing of organic Greek yogurt. A Missouri farm will be using a grant it received also to produce yogurt, but from sheep’s milk. A farm in Pennsylvania received a grant as well to expand its yogurt business but will use some of the money to build its Mexican chocolate business.”

 

Obamacare and the New Economics of Part-Time Work

Via the Mercatus Center at George Mason University:

Starting this year, the United States’ working population will face three major employment disincentives resulting from the very benefits the Affordable Care Act (ACA) provides: (1) an explicit tax on full-time work, (2) an implicit tax on full-time work for those who are ineligible for the ACA’s health insurance subsidies, and (3) an implicit tax that links the amount of available subsidies to workers’ incomes.

A new study published by the Mercatus Center at George Mason University advances the understanding of how much these ACA taxes will reduce overall employment, and why. It concludes that the reduction will be nearly double that projected by previous analyses. Labor markets ultimately will reduce weekly employment per person by about 3 percent—translating to roughly 4 million fewer full-time-equivalent workers.

Below is a brief summary of this important update. Please see “The Affordable Care Act and the New Economics of Part-Time Work” to read the entire study and to learn more about author Casey B. Mulligan, a professor of economics at the University of Chicago.

__________ Key Findings  __________

Much of the ACA’s tax effect resembles unemployment insurance: both encourage layoffs and discourage people from returning to work. The ACA’s overall impact on employment, however, will arguably be larger than that of any single piece of legislation since World War II.

  • The ACA’s employment taxes create strong incentives to work less. The health subsidies’ structure will put millions in a position in which working part time (29 hours or fewer, as defined by the ACA) will yield more disposable income than working their normal full-time schedule.
  • The reduction in weekly employment due to these ACA disincentives is estimated to be about 3 percent, or about 4 million fewer full-time-equivalent workers. This is the aggregate result of the law’s employment disincentives, and is nearly double the impact most recently estimated by the Congressional Budget Office.
  • Nearly half of American workers will be affected by at least one of the ACA’s employment taxes—and this does not account for the indirect effect on others as the labor market adjusts.
  • The ACA will push more women than men into part-time work. Because a greater percentage of women work just above 30 hours per week, it is women who will be more likely to drop to part-time work as defined by the ACA.

Continue reading for the details.

Mercatus Mulligan-ACA-Employment-infographic

McDonald’s Franchisee: ‘Obamacare Will Negatively Hit Us Like Nothing Else’

Previously McDonalds Corp said that they expect Obamacare to cost $30,000 per store per year.

Huffington Post:

Here’s one thing you likely won’t find a McDonald’s franchise owner happy to ask his employees anytime soon: “Would you like a side of health care with that shake?”

That’s because some of the fast food chain’s franchisees say that the costs associated with President Obama’s health care reform law will cut deep into profits, according to a recent survey of 25 McDonald’s owners conducted by Janney Capital Markets obtained by The Huffington Post.

One franchisee even went so far as to say, “Obamacare will negatively hit us like nothing else,” according to the survey.

Some franchisees said they’re suffering from McDonald’s overemphasis on discount deals. Others claimed the chain’s new product, the McWrap, isn’t a sure bet. McDonald’s has seen slumping sales since last summer and Obamacare, some franchise owners say, is only going to make things worse.

“Obamacare is going to destroy already low profits, [and] McDonald‟s Corporation does not seem to care,” adding, “the future looks BLEAK.”

Obamacare: Taxpayers Must Report Personal Health ID Info to IRS

After recent revelations, perhaps it is time to just change the name of the IRS to the KGB or the STASI. The motto of the STASI was “the sword and shield of the party”.

Americans for Tax Reform:

The new form will require disclosure of a taxpayer’s personal identifying health information in order to determine compliance with the Affordable Care Act’s individual mandate.

As confirmed by IRS testimony to the tax-writing House Committee on Ways and Means, “taxpayers will file their tax returns reporting their health insurance coverage, and/or making a payment”.

So why will the Obama IRS require your personal identifying health information?

Simply put, there is no way for the IRS to enforce Obamacare’s individual mandate without such an invasive reporting scheme.  Every January, health insurance companies across America will send out tax documents to each insured individual.  This tax document—a copy of which will be furnished to the IRS—must contain sufficient information for taxpayers to prove that they purchased qualifying health insurance under Obamacare.

This new tax information document must, at a minimum, contain: the name and health insurance identification number of the taxpayer; the name and tax identification number of the health insurance company; the number of months the taxpayer was covered by this insurance plan; and whether or not the plan was purchased in one of Obamacare’s “exchanges.”

This will involve millions of new tax documents landing in mailboxes across America every January, along with the usual raft of W-2s, 1099s, and 1098s.  At tax time, the 140 million families who file a tax return will have to get acquainted with a brand new tax filing form.  Six million of these families will end up paying Obamacare’s individual mandate non-compliance tax penalty.

As a service to the public, Americans for Tax Reform has released a projected version of this tax form to help families and tax specialists prepare for this additional filing requirement. Taxpayers may view the projected IRS form at www.ObamacareTaxForm.com.  On the form, lines 3-4 show where taxpayers will disclose their personal health ID information.

View PDF here.

IRS admits it targeted conservative and Tea Party groups…

This post is being continually updated!

Editor’s Note – The fact that the IRS scandal is portrayed as being centered in Cincinnati, Ohio sets up a false narrative; as if “oh it didn’t happen in DC so perhaps it wasn’t as political as some feared”. That is the misnomer of misnomers. The political fact is this: he who wins Ohio wins the presidency. The importance of of Ohio in electoral politics cannot be overstated. UPDATE – IRS officials in DC and California involved in targeting conservative groups – LINK.

Editor’s Note II – The same IRS department head, Steven Miller,  who politicized the IRS under Clinton at center of current scandal – LINK. Why reappoint a man with his history? This indicates premeditation on the part of the administration.

UPDATE – IRS boss of Tea Party probes targeted anti-Clinton group in 1990s – LINK.

UPDATE – IRS Official Admits Clinton Enemies Were Audited – LINK.

This post is being constantly updated so please check back from time to time.

UPDATE – IRS chiefs knew about politically motivated audits in 2011 – LINK.

UPDATE – The crazy things the IRS asked TEA Party groups during the illegal inquiries – LINK. No one can say this was not politically motivated after reading this.

UPDATE – ABC News’ George Will “How stupid do they (IRS and Obama Admin) think we are?”

“He has through his subordinates and agents endeavored to cause in violation of the constitutional rights of citizens, income tax audits or other income tax investigations to be initiated or conducted in a discriminatory manner.” Section 1, Article 2, the Impeachment Articles of Richard Nixon.

UPDATE – Dennis Kucinich Slams IRS’ Political Targeting:

UPDATEABC News: IRS IG Report shows that IRS started targeting conservative groups in 2010 (video). Groups targeted included those who watch government spending, educating on the Bill of Rights, those who focus on tax policy and Jewish groups.

UPDATE – IRS Leaking private information for political reasons – LINK.

UPDATE – Koch Industries Lawyer to White House: How Did You Get Our Tax Information? – LINK.

UPDATE – Coulter: Obama’s signature campaign move was opening sealed records – LINK.

UPDATE – Jon Stewart Skewers Obama over scandals – LINK.

UPDATE – IRS intimidation used to shut down TEA Party groups – LINK.

UPDATE – IRS Execs knew political targeting was happening and lied to Congress about it:

Representative Dave Camp, chairman of the powerful Ways and Means Committee, charged top IRS officials, including former commissioner Doug Shulman, of lying to Congress over the targeting of tea-party groups.

“They knew this was going on and responded in writing to the committee that it was not,” said Camp in an interview at the Capitol. He also said “yes” when I asked him whether he felt that Shulman and others had lied.

UPDATE – An IRS Exec at center of the illegal political targeting was promoted and given $42,531 in bonuses:

Lois Lerner, the senior executive in charge of the IRS tax exemption department and the federal employee at the center of the exploding scandal over the IRS targeting of conservative, evangelical and pro-Israel non-profits, was given $42,531 in bonuses between 2009 and 2011.That figure was included in data provided by the IRS in response to a Freedom of Information Act request by The Washington Examiner. Lerner is director of the IRS exempt organizations division, which processes and approves or denies applications from groups seeking tax-exempt status.

UPDATE – Over $100 million in IRS bonuses since 2009 – LINK.

UPDATE – IRS Gave liberal groups a pass, put conservatives on hold for 27 months – LINK.

UPDATE – IRS targeted over 500 conservative organizations, religious organizations, educational organizations that teach American civic history, Jewish and other pro-Israeli organizations – LINK.

UPDATE – Franklin Graham also targeted by IRS – LINK.

UPDATE – Fox News host Eric Bolling was targeted by the IRS – LINK.

UPDATE – Another IRS Official at the center of the illegal targeting promoted, now in charge of IRS Obamacare office – LINK.

Sarah Hall Ingraham
Sarah Hall Ingram

UPDATESarah Hall Ingram, the IRS executive in charge of the tax exempt division in 2010 when it began targeting conservative Tea Party, evangelical and pro-Israel groups for harassment, got more than $100,000 in bonuses between 2009 and 2012.

More recently, Ingram was promoted to serve as director of the tax agency’s Obamacare program office, a position that put her in charge of the vast expansion of the IRS’ regulatory power and staffing in connection with federal health care, ABC reported earlier today.

UPDATE – IRS illegally gave records on conservatives to a leftist George Soros sponsored group. Soros is the number one contributor to various Democrat Party organizations – LINK.

UPDATE – Soros gave $6.1 million to groups that pressured the IRS to target conservatives – LINK.

UPDATE – Senate Democrats pressured IRS to target conservatives – LINK.

UPDATE – Democrat Senator Carl Levin also pressured IRS to target conservatives – LINK. Ten elected Democrats asked IRS  to target conservatives

UPDATE – Obama Campaign Co-Chair attacked Mitt Romney using illegal leaked IRS documents – LINK.

UPDATE – Romney donor Frank Vandersloot smeared by Obama campaign audited twice:

UPDATE – WOW! IRS Asked Tea Party Leader for Back-Door Password to Group’s Website:

UPDATE – Report: IRS Deliberately Chose Not to Fess Up to Scandal Before Election. IRS Commissioner knew this was going on for over a year – lied to Congress – LINK:

UPDATE – IRS Denied tax exempt status to pro-life groups on behalf of Planed Parenthood – LINKLINK.

UPDATE – Conservative Hispanic Groups Targeted In IRS Scandal – LINK.

UPDATE – Mark Levin – It’s Time to Kill the IRS:

UPDATE – CHARLES KRAUTHAMMER: The testimony from [Steven] Miller comes under the category of ‘how stupid do you think we are?’ Here’s a guy who said that the IRS openly discriminated against groups on the basis of their politics, but the action was not a political action. It was instead an attempt at efficiency. You’ve got to be a knave or a fool to say that and you have to be an idiot to believe it. It’s simply a contradiction in terms. – LINK.

UPDATE – Texas TEA Party leader was subject to IRS, FBI, ATF and OSHA audits after applying to IRS for tax exempt status. Texas Congressman Kevin Brady asks, “Is this America anymore?”:

UPDATE – Five IRS employees to testify next week to answer for wrongdoing – LINK.

UPDATE – IRS: ‘Please Detail the Content of Your Members’ Prayers.’ – LINK:

UPDATE – Chris Matthews: Miller was full of it and there was clearly targeting going on – LINK.

UPDATE – Piers Morgan: I guess government can become tyrannical after all:

UPDATE – Paul Ryan grills IRS Commissioner. Can there be any doubt that Commissioner Miller mislead Congress in his previous July 2012 testimony?

UPDATE – IRS Chief Steven Miller: “I Can’t Remember” Who Is Responsible for Targeting Conservatives:

UPDATE – Mika Brzezinski, Joe Scarborough & Lisa Myers: IRS is lying, lied to Congress. Timeline:

UPDATE – IRS lied in FOIA requests to conceal documents – LINK.

UPDATE – IRS agents classified applications from conservatives and churches as “obnoxious” – LINK.

UPDATE – Rep. Mike Kelly receives standing ovation after epic grilling of IRS Commissioner:

BUSTED – Top Obama Administration officials were briefed on IRS political targeting in June of 2012 – NY Times  – APWSJBreitbart:

The inspector general gave Republicans some fodder Friday when he divulged that he informed the Treasury’s general counsel he was auditing the I.R.S.’s screening of politically active groups seeking tax exemptions on June 4, 2012. He told Deputy Treasury Secretary Neal Wolin “shortly after,” he said. That meant Obama administration officials were aware of the matter during the presidential campaign year.

OUTRAGE – Suit Alleges IRS Improperly Seized 60 Million Personal Medical Records – LINK.

UPDATE – IRS asked churches for membership lists:

ILLEGAL – IRS ignored Congressional demand for documents relating to the illegal targeting of citizens – LINK.

UPDATE – Trey Goudy questions former IRS Commissioner Schulman. “Can’t remember”. Schulman admits that he did nothing to stop the illegal practices at the IRS [Note – Some are saying that Schulman was a Bush appointee. Schulman  gave $250.00 a month to the Democratic National Committee]:

UPDATEIRS official Lois Lerner pleads the Fifth Amendment after waiving that right by her opening statement. You do not get to tell your side of the story and refuse cross examination by pleading the Fifth. Pleading the Fifth means that you are not testifying in fear that doing so will reveal criminal activity that can be used against you:

SHOCK – IRS official Lois Lerner asked targets of investigations about their prayers when she was at the Federal Election Commission (FEC); sued Christian Coalition in a politically motivated lawsuit and lost:

UPDATE – Ranking Democrat at the Government Oversight Committee blasts IRS:

UPDATE – Senior White House staff, including Obama’s lawyer, White House Council Kathy Ruemmler, knew about illegal IRS targeting and claim they didn’t tell Obama – LINK:

Does anyone believe this story?

UPDATE – Krauthammer: Obama still dodging questions and lying about IRS

Washington Post (2)- Key Obama Administration claims about IRS scandal untrue:

1 – Illegal targeting happened months before the Citizens United court ruling.

2 – Claims about “inadvertent targeting” due to “massive increase of 501c4 applications” also untrue, as there was no appreciable increase in the first year of the illegal targeting.

3 – IRS Council Lois Lerner’s claim that she found out about the illegal targeting in the press also false as the IG report shows that she knew about it at least as far back as June 2011.

4 – Lerner misled Congress.

UPDATE – How did a White House economics advisory Austin Goolsbee get private tax information on Obama Administration political enemies – LINK.

UPDATE – Senator Mitch McConnell: Obama Administration used IRS as “Speech Police”:

UPDATE – More “I don’t know – I don’t recall” video from Obama Administration officials:

UPDATENBC News: Senior Washington IRS officials requested information of conservative groups:

Cleta Mitchell, another attorney representing conservative groups that allege they were targeted, said an IRS agent in Cincinnati told her a “task force” IRS office in Washington, D.C., was making the decisions about the processing of applications, and that she subsequently dealt with IRS representatives there.

“(The IRS agent in Cincinnati) told me that in fact the case would be transferred to a special task force out of Washington, and that he was told – he was the originally assigned agent – that he wasn’t allowed to make decisions, the decisions were all going to be made in Washington,” Mitchell said. “I know that this process was going on in Washington because I’ve dealt with those people.”

UPDATE – Anonymous Cincinnati IRS official says ‘Everything comes from the top.’ – LINK:

Everything comes from the top. We don’t have any authority to make those decisions without someone signing off on them. There has to be a directive.

UPDATE – Fox 19 Ben Swann: Individual IRS Agents/Supervisors named and they all are supervised by Agent Supervisor Cindy Thomas. Thomas visited with IRS Chief Council Lois Lerner regularly:

More from Ben Swann:

UPDATEACLJ and 25 conservative groups sue IRS:

UPDATE – The Blaze/NBC News: IRS Chief Council Lois Lerner personally signed at least some illegal questionnaires to targeted groups – LINK.

UPDATE – Pro-Israel organizations audited by IRS say government targeting coordinated – LINK.

UPDATE – Illegal IRS targeting started the day after President Obama met with the Treasury Department/IRS employees union chief – LINK.

WOW – Lois Lerner to Republican Senate Candidate “promise me you will never run for office again and this investigation will go away”. How Lois Lerner tried to strong-arm Dick Durbin’s opponent out of 1996 Illinois Senate race – LINKLINK.

Orwellian – Obama Administration sends armed DHS Agents to peaceful protests against IRS – LINK.

BUSTED – IRS’s Doug Shulman had more public White House visits (157) than any Cabinet member. Bush met with his IRS chief once – LINK:
Obama-admin-visitorsUPDATE – Bill O’Reilly not happy that former IRS chief visited the White House 157 times, could be a smoking gun:

***** The Original Story Begins Here*****

A legal inquiry from Mark Levin made it public.

Daily Caller:

Conservative radio talker Mark Levin appears to have touched off the investigation into Internal Revenue Service targeting of conservative political groups back in March 2012.

In a letter last year on behalf of the Landmark Legal Foundation, an organization he heads, Levin requested an investigation into what he called “misconduct.”

On Friday, the Internal Revenue Service revealed that it had improperly targeted conservative groups for audits during the 2012 election. During a conference call, Lois Lerner, the IRS’s director of exempt organizations, explained that IRS staffers selected groups that included the words “tea party” or “patriot” in their applications for tax exempt status.

Levin told The Daily Caller Friday afternoon his organization had litigated similar complaints of political audits during the Clinton administration and specifically referenced the Heritage Foundation as one of the tax collector’s targets at the time.

More recently, Levin said, conservative and Tea Party groups approached him complaining of harassment by the IRS, which prompted his organization to petition Treasury Department Inspector General for Tax Administration J. Russell George.

Congress to investigate.

Washington Times:

The House oversight committee will look into the IRS’s admission Friday that it targeted conservative groups for special scrutiny during last year’s elections — a move that committee Chairmen Darrell E. Issa and Jim Jordan said smacks of “political retaliation.”

The two lawmakers said they will hold those IRS officials who were involved “responsible … for this political retaliation.”

The IRS admitted that it unfairly sent conservative and tea party groups questionnaires last year asking them to justify their tax-exempt status. Republicans at the time accused the agency of trying to intimidate conservatives into silence ahead of the elections.

Friday’s admission appears designed to deflate an upcoming audit by the IRS’s inspector general looking into the matter.

“The fact that Americans were targeted by the IRS because of their political beliefs is unconscionable,” Mr. Issa and Mr. Jordan said in a statement. “The committee will aggressively follow up on the IG report and hold responsible officials accountable for this political retaliation.”

Mike Lee and Ted Cruz respond to Harry Reid’s name calling on the Senate floor (video)

Harry Reid not only violated Senate rules in his tirade. What Harry Reid tried to do that generated the floor objection of Ted Cruz is also very worthy of noting. What Reid tried to do was have the right to add language in the bill that was not voted on in the Senate in secret.

That is correct, the Senate leadership since 2006 has been legislating behind closed doors in secret during the conference process. The House under Nancy Pelosi was doing that until the Republicans took back the House. Please see our editor’s note below.

When called out by Senator Cruz on trying to use such a dirty trick against the American people, Harry Reid went on a name calling tirade.

Senator Ted Cruz:

Senator Mike Lee:

Editor’s Note: The videos below are from 2009. The Democrats inserted language in a bill (during conference in secret) to make it legal to give bonuses to the AIG execs who we were bailing out. Those execs were big donors to Democrat Senator Chris Dodd. After lying about it, Dodd and the Democrats finally confessed at what they had done:

Jeep starting Cherokee production in China

Bailouts rock….

Cherokee China

Truth About Cars:

The 2014 Cherokee could be the first Jeep produced in China in nearly 6 years. Jeep CEO Mike Manley said that the Cherokee was an “obvious choice” for local production, as Jeep looks to expand its customer base in China.

Manley noted that the Cherokee could double Jeep’s current 46,000 unit sales. Local production would allow Jeep to avoid import tariffs on the new model, which according to Jeep, has proved overwhelmingly popular in consumer clinics. Currently, the Compass accounts for just over 70 percent of Jeep sales in the country.

More from Chinese Car Times – LINK.

And while China has tariffs on our goods, they are suing us in the WTO to stop all of our tariffs (another treaty we should never have gotten involved in because international enforcement would be pretty much one way against the United States).


Washington Post
:

China asks WTO to block U.S. tariffs

China has turned to the World Trade Organization to help block U.S. tariffs on 22 types of Chinese products, including solar panels, pipes for oil wells, coated paper and steel wheel hubs.

The Chinese appeal to the WTO takes aim at the U.S. Commerce Department, which has recently imposed stiff duties on Chinese products. The department has cited Chinese subsidies, especially those funneled through state-owned enterprises, that it says give Chinese firms an edge over American competitors.

Obama Budget Goes After Charities

Most charities help the wounded, the ill and/or the poor. Obama constantly claims that Republicans want to balance the budget on the backs of the poor and the old, but Obamacare and his budget do exactly that. Democrats often blame Republicans for exactly what it is they are doing. Obamacare’s transfer of $714 Billion from Medicare to pay for Obamacare bureaucrats has caused premiums for the elderly to rise.

Forbes:

President Obama’s long-awaited budget proposal, to be released today, does not come right out and say that it  intends to reduce  contributions to charity—but that is almost certainly what would happen were it to become law.  Here’s why.  The White House has effectively doubled down on a tax change it has been pushing for four years that would limit the value of the charitable tax deduction.  The Administration has, since 2009, pushed unsuccessfully to allow only 28 cents on a dollar donated to charity to be deducted—even though the top tax rate for the wealthy donors who make most use of the deduction has been 35 percent.  In the budget released today, the President again proposes to cap the charitable deduction at 28 percent—despite the fact that the top rate on the highest earners has increased to 39.6 percent.  Think of it this way:  the White House proposal would raise the cost of giving to charity from 60 cents per dollar to 72 cents per dollar.  That’s a 20 percent increase in what can be called the “charity tax.” 

When one taxes something more, of course, one gets less of it—and it’s likely that the current $168 billion in itemized charitable giving would decline.  Indeed, Indiana  University’s Center for Philanthropy  has previously estimated that capping the charitable tax deduction’s value at 28 percent—even when the top income tax rate was 35 percent—would lower giving by 1.3 percent, or some $2.18 billion in 2010.  The new proposal would likely take an even bigger bite from giving. The Chronicle of Philanthropy reports that the reduction in giving could be as high as $9 billion a year.

Obama Medicare Cuts Raise Middle Class Premiums

Of course “cuts” doesn’t tell the whole story. That money, $714 billion, was not returned to the taxpayer, nor was that money used to pay the debt, nor was it returned to those who have paid into medicare for decades. Instead, that money was robbed from those who paid medicare premiums. The Democratic Party leadership along with President Obama used that money to pay Obamacare bureaucrats and write the reams of regulations associated with it.

Yahoo News:

WASHINGTON (AP) — Retired as a city worker, Sheila Pugach lives in a modest home on a quiet street in Albuquerque, N.M., and drives an 18-year-old Subaru.

Pugach doesn’t see herself as upper-income by any stretch, but President Barack Obama’s budget would raise her Medicare premiums and those of other comfortably retired seniors, adding to a surcharge that already costs some 2 million beneficiaries hundreds of dollars a year each.

More importantly, due to the creeping effects of inflation, 20 million Medicare beneficiaries would end up paying higher “income related” premiums for their outpatient and prescription coverage over time.

Administration officials say Obama’s proposal will help improve the financial stability of Medicare by reducing taxpayer subsidies for retirees who can afford to pay a bigger share of costs. Congressional Republicans agree with the president on this one, making it highly likely the idea will become law if there’s a budget deal this year.

But the way Pugach sees it, she’s being penalized for prudence, dinged for saving diligently.

It was the government, she says, that pushed her into a higher income bracket where she’d have to pay additional Medicare premiums.

IRS rules require people age 70-and-a-half and older to make regular minimum withdrawals from tax-deferred retirement nest eggs like 401(k)s. That was enough to nudge her over Medicare’s line.

“We were good soldiers when we were young,” said Pugach, who worked as a computer systems analyst. “I was afraid of not having money for retirement and I put in as much as I could. The consequence is now I have to pay about $500 a year more in Medicare premiums.”

Study: Obamacare To Increase Claims Costs 32 Percent. White House Response Misleading…

By Chuck Norton

This is what happens when you add 21 new taxes to healthcare and insurance, 20,000 pages of new regulations (so far) and hundreds of new mandates on insurance, many of which make no sense.

The IRS estimates that the cheapest Obamacare approved health plan available in 2016 (to avoid the penalty) will cost $20,000.

In bold face below is the administration’s response to this study and what they say is just plain dishonest. Why?

The Obama Administration is trying to confuse people on cost vs price. A small percentage of Americans will have their skyrocketing health insurance premiums partially subsidized by the government, but while that may bring down the price of the premium, the actual cost of the premiums and the rising cost of the claims due to the taxes and regulations still skyrockets.

In this case price does not equal cost. For example: If your son goes to the store to buy a Hot Wheels car that costs $3.00 and your son only has $2.00, if you give him the extra dollar to pay for it, the cost of the toy car is still $3.00.

The idea of the subsidy making insurance affordable is also misleading because those who will be able to qualify to get help paying their premiums, will still not be able to afford their portion of the insurance premium because the cost of the insurance will be so high – subsidized or not.

This very writer’s employer subsidized health insurance premium went from about $30.00 a month to $267.00 and I make too much money to qualify for a subsidy. The poor simply cannot afford to pay it.

The other misleading statement from the Obama Administration is that some people can go on the state insurance exchange and get the state exchange to pay for part of their insurance premium. Setting aside the cost does not equal price fact we explained above, many states are not participating in the exchange. Why? Because after the first three years of Obamacare the states have to pay the subsidized portion of the rising premiums themselves which state after state has made very clear will bankrupt them (assuming that the poor would have the money to sign up and pay for their part of the estimated $20,000 per year premium).

AP/Fox News:

Medical claims costs — the biggest driver of health insurance premiums — will jump an average 32 percent for Americans’ individual policies under President Obama’s overhaul, according to a study by the nation’s leading group of financial risk analysts.

The report could turn into a big headache for the Obama administration at a time when many parts of the country remain skeptical about the Affordable Care Act. The estimates were recently released by the Society of Actuaries to its members.

While some states will see medical claims costs per person decline, the report concluded the overwhelming majority will see double-digit increases in their individual health insurance markets, where people purchase coverage directly from insurers.

The disparities are striking. By 2017, the estimated increase would be 62 percent for California, about 80 percent for Ohio, more than 20 percent for Florida and 67 percent for Maryland. Much of the reason for the higher claims costs is that sicker people are expected to join the pool, the report said.

The report did not make similar estimates for employer plans, the mainstay for workers and their families. That’s because the primary impact of Obama’s law is on people who don’t have coverage through their jobs.

The administration questions the design of the study, saying it focused only on one piece of the puzzle and ignored cost relief strategies in the law such as tax credits to help people afford premiums and special payments to insurers who attract an outsize share of the sick. The study also doesn’t take into account the potential price-cutting effect of competition in new state insurance markets that will go live on Oct. 1, administration officials said.

“It’s misleading to look at only some of the provisions of the law because, taken together, the law will reduce costs,” said Health and Human Services spokeswoman Erin Shields Britt.

But a prominent national expert, recently retired Medicare chief actuary Rick Foster, said the report does “a credible job” of estimating potential enrollment and costs under the law, “without trying to tilt the answers in any particular direction.”

Judge Jeanine Pirro hits Obama on lie after lie after lie (video)

Lies about sequestration, scores of lies about Benghazi, the release of illegal criminal aliens, Obama sending guns to Mexican drug cartels, the debt, and transparency.

The video doesn’t lie, but the Obama Administration has been constantly. If you know anyone who is still smitten by this man, show them these.

Here is the video referenced by Judge Pirro about how Obama lied about the release of thousands of criminal illegal aliens who were multiple offenders and other lies.

Fed-Ex Founder: Govt regulations make it very difficult to start an industrial business today (video)

And this is a fact, as of March 13, 2013 these are just the Obamacare regulations, over 20,000 pages (photo below). The tax code is over 60,000 pages.

Apple founder Steve Jobs, according to his book, told Obama that government has rendered it almost impossible for him to build a factory here in the United States, which is why he builds them in China. This very writer has a dear friend who runs a small business with less than ten employees. He tells me of the constant efforts by state and federal bureaucrats to put him out of business.

Obamacare regulations printed
Over 20,000 pages of Obamacare regulations as of March 2013. Courtesy Senator Mitch McConnell

The tax code is a poor argument for gay marriage

I ask you, why are two sisters who group up and decide to live together not entitled to inheritance rights and such the same as married people? So married couples and perhaps lesbians should get this but not sisters? This is not an argument for gay marriage, it is an argument for fixing the tax law, abolishing estate taxes altogether because they are so unfair, and a simple tax code that works for people no matter if they are married, straight, gay, or even just sisters.

The tax code argument for gay marriage is an argument about a crappy tax code, not for gay marriage. I say keep our eye on the ball, the tax code is a behemoth disaster and a tool for the corrupt. Toss it out and replace it.

Editor

Bloomberg poll shows more support Boehner tax plan, Bloomberg News spins it to favor Obama

You mean the reporters lied by omission to create a false narrative? Say it ain’t so….

The Daily Caller (excerpt):

The poll asked respondents, “President Obama has said he will not negotiate with Republicans on cuts to entitlement programs, including Medicare, until they agree to raise tax rates on the wealthy. Do you think he is right or wrong to insist on that as a precondition to broader negotiations?”

As Bloomberg reported in its story, 58 percent percent of respondents indicated that the president was “right” to insist on the precondition, while 37 percent said he was “wrong.”

But in the same poll, American adults were asked “whether it is better to raise the top tax rate the wealthy pay, or to limit the amount people can claim in tax breaks, such as  mortgage interest and charitable contributions, so they end up paying tax on a bigger share of their income.”

Fifty-two percent responded that they preferred limited tax breaks to a tax-rate hike.

[Political Arena Editor’s Note – The tax reform to eliminate some deductions and loop holes that tend to favor the richest players with the most political influence is the Boehner (Republican) plan. Bloomberg News did not report that according to their own poll, more people favored the Republican tax plan.]

Only 39 percent said they would rather see tax rates on the wealthy increase. Nine percent indicated they weren’t sure.

The Bloomberg News story quoted the president of Selzer & Co., which conducted the survey, saying the results indicated that Republicans and Speaker of the House John Boehner should yield to the president.

Adam Carolla on Samuel L. Jackson’s Gross Hypocrisy (video)

Samuel L. Jackson is a very talented actor to be sure, but this is about how his political activism and his actions are exactly the opposite, as is the case with limousine liberals in general.

samuel-l-jackson

Jackson sticks up for the most extreme in the Democratic Party, their taxes, the excessive regulation, the union over reach and thuggery, right down the line. But when Jackson wants to make a movie does he make it in Los Angeles where he will pay the taxes, deal with the regulations and pay the union labor with all of their rules? Nope. He goes to Canada so he can make the movie cheaper up there and increase his already ridiculous profits and wealth; all while the working man in America is losing work.

Government spends $100,000 to teach young girls “condom negotiation”

We are printing up money and borrowing it from China for this? Can anyone say that Obama and the Democrat leadership is at all serious about getting the spending under control? There is no attempt at fiscal discipline. They literally say one thing and do another.

All of the talk about deficit control is just that, the tax they want to raise targets small domestic businesses to make it hard to compete against the mega-corps that fund the Democratic Party and assuming such a tax increase passes it will only raise enough money to run the government for a few days. Yet Democrats have the audacity to call their tax hike proposals “Deficit Reduction”.

The Democrat Leadership knows the spending and printing and borrowing will blow up the currency and make it collapse, and yet they are doing everything that can to bring it about.  The only question left to ask is why.

Washington Examiner:

The [Obama] administration is funding a $100,000 study of pregnant and “at-risk” 14-17-year-old girls on probation in Houston, Texas, to determine ways to help them choose safer lifestyles and avoid pregnancy, including better “condom negotiation” tactics.

The National Institutes of Health, part of the Health and Human Services Department, is providing a University of Houston researcher the money because of the lack of study of female teen juveniles in trouble with the law.

The school said the study, “Choices – Teen: A Bundled Risk Reduction Intervention for Juvenile Justice Females,” will include 30 at-risk girls, ages 14-17, on intensive probation with the Harris County Juvenile Probation Department.

The goal, said the school, is to determine if intervention programs will help the kids make better life decisions.

According to Danielle Parish, the assistant professor at the school’s Graduate College of Social Work who is conducting the NIH-funded effort, one of the big problems young girls need to learn is how to talk their boyfriends into using condoms.

According to the school’s release, “Parrish notes one of the big issues for this population of adolescent girls is condom negotiation. They may have a boyfriend who says it isn’t ‘cool’ to use a condom. To prepare the girls for these types of situations, the counselors and pediatricians will teach them how to negotiate condom use with their partner. The intervention also helps empower and motivate girls to make healthier choices regarding their alcohol use, smoking and prevention of unplanned pregnancy.”

Two-thirds of millionaires leave Britain to avoid 50% tax rate

It is an undeniable truth of life that wealth, capital and labor go where they are treated well. It is this economic truth more than any other that prevents socialism, communism, fascism, and kleptocracy from yielding positive economic benefits in the long term.

When you raise the tax rate, people will modify their behavior to avoid paying the tax, even if that means halting economic activity. As Ronald Reagan said:

The Founding Fathers knew a government can’t control the economy without controlling people. And they knew when a government sets out to do that, it must use force and coercion to achieve its purpose. So we have come to a time for choosing.

UK Daily Telegraph

Almost two-thirds of the country’s million-pound earners disappeared from Britain after the introduction of the 50% top rate of tax, figures have disclosed.

In the 2009-10 tax year, more than 16,000 people declared an annual income of more than £1 million to HM Revenue and Customs.

This number fell to just 6,000 after Gordon Brown introduced the new 50% top rate of income tax shortly before the last general election.

The figures have been seized upon by the Conservatives to claim that increasing the highest rate of tax actually led to a loss in revenues for the Government.

It is believed that rich Britons moved abroad or took steps to avoid paying the new levy by reducing their taxable incomes.

George Osborne, the Chancellor, announced in the Budget earlier this year that the 50% top rate will be reduced to 45% from next April.

Since the announcement, the number of people declaring annual incomes of more than £1 million has risen to 10,000.

However, the number of million-pound earners is still far below the level recorded even at the height of the recession and financial crisis.

Last night, Harriet Baldwin, the Conservative MP who uncovered the latest figures, said: “Labour’s ideological tax hike led to a tax cull of millionaires.

Far from raising funds, it actually cost the UK £7 billion in lost tax revenue.

“Labour now needs to admit that their policies resulted in millionaires paying less tax and come clean about whether they would reintroduce this failed policy if they were in power.”

Mr Osborne argued earlier this year that the 50% rate was deterring entrepreneurs from coming to Britain.

Poll shows most people blame GOP for the “Fiscal Cliff” when much of it is due to Obamacare taxes

Where is the establishment GOP? Where is anyone in the GOP to make the case?

Where is the GOP telling people that Taxmageddon, also known as the Fiscal Cliff, is largely do to 13 new Obamacare taxes, and the Democrats desire to raise taxes not on the rich, but on the productive middle class and small business S-Corps?

Where is the GOP to lambaste all of the wasteful spending and corrupt crony green energy boondoggles?

No one in the GOP is even defending themselves much less making a fight of it (please correct us if I we are wrong).

Robert Davi
Robert Davi

Famed actor Robert Davi said recently that he believes that elements in the establishment GOP and the Democratic Leadership are in a conspiracy to bring the country down. It is nonsense like this that make him correct.

It is nonsense like this that will finally push those who care about good policy to form a new party to replace the Republican Party because its brand is damaged and it’s establishment doesn’t seem to even really believe what it preaches.

I bet many in the GOP wishes they had Newt Gingrich right about now to make the case.

Via Breitbart News:

new poll from CNN/ORC shows that President Obama remains Teflon despite the fact that he designed the upcoming fiscal cliff to speculation. Even though Obama insisted on massive defense cuts and huge tax increases as the two alternative parts of the fiscal cliff, the American public will apparently blame Republicans if the fiscal cliff isn’t stopped. A full 45% of respondents said they would blame Congressional Republicans – even though the Democrats control the Senate – while just 34% would blame President Obama.

The public, by and large, sees Republicans as obstructionist. That’s due to a combination of messaging failure on the part of the GOP — nothing new, in that they seem incapable of explaining the simple fact that low tax rates, particularly on job creators, spur economic growth and thereby raise tax revenues — and a media concerned only with saving its flailing president. The Republicans’ mixed messaging on the fiscal cliff has been astounding to watch. They signed off on the sequester, which put a fiscal gun to their heads, forcing them to choose between raising taxes partially or watching tax rates skyrocket and defense get slashed. Then they turned around and complained about the gun being put to their heads. Now, they’re standing for the principle that we need more tax revenue, but it can’t be raised by raising rates. No wonder the public is confused.

Poll numbers like this could be the reason that Republicans are looking to cave on tax increases, or ending tax deductions. 25% of the country says that the nation would undergo a crisis if we hit the fiscal cliff; 44% expect major problems. 25% say that it would cause minor problems. A full 77% of the public believes the fiscal cliff would hurt them personally.

Republicans have done such a poor job of informing the public about why taxes shouldn’t be increased that even Republicans, by a margin of 52%-44%, say they want both spending cuts and tax increases. An unbelievable 56% of Americans say they want high taxes on higher income earners, despite the fact that higher income earners pay a vastly disproportionate share of all tax revenue.

Euro zone falls into second recession since 2009

Because central planning by internationalist socialists works so well…

It works well at chasing wealth and jobs out of a country.

Reuters:

The euro zone debt crisis dragged the bloc into its second recession since 2009 in the third quarter despite modest growth in Germany and France, data showed on Thursday.

The French and German economies both managed 0.2 percent growth in the July-to-September period but their resilience could not save the 17-nation bloc from contraction as the likes of The Netherlands, Spain, Italy and Austria shrank.

Economic output in the euro zone fell 0.1 percent in the quarter, following a 0.2 percent drop in the second quarter.

Those two quarters of contraction put the euro zone’s 9.4 trillion euro ($12 trillion) economy back into recession, although Italy and Spain have been contracting for a year already and Greece is suffering an outright depression.

A rebound in Europe is still far off. The debt crisis that began in Greece in late 2009 is still reverberating around the globe and holding back a lasting recovery.

Analysts said even the euro zone’s top two economies were likely to succumb in the final three months of the year.

Democrats hope for return of the 55% “death tax” in 2013

Democrats love the death tax. It creams most small farms and small businesses while their super rich corporate donors get off the hook.  It makes family farms easy targets for big corporate buyers. It also punishes larger companies for being privately held. It is yet another tax that the little guy has to pay while the mega-corporate interests that run the Democratic Party benefit from.
Fox News:

Ranchers, farmers brace for ‘death tax’ impact

Rancher Kevin Kester works dawn to dusk, drives a 12-year-old pick-up truck and earns less than a typical bureaucrat in Washington D.C., yet the federal government considers him rich enough to pay the estate tax — also known as the “death tax.”

And with that tax set to soar at the beginning of 2013 without some kind of intervention from Congress, farmers and ranchers like Kester are waiting anxiously.

“There is no way financially my kids can pay what the IRS is going to demand from them nine months after death and keep this ranch intact for their generation and future generations,” said Kester, of the Bear Valley Ranch in Central California.

Two decades ago, Kester paid the IRS $2 million when he inherited a 22,000-acre cattle ranch from his grandfather. Come January, the tax burden on his children will be more than $13 million.

For supporters of a high estate tax, which is imposed on somebody’s estate after death, Kester is the kind of person they rarely mention. He doesn’t own a mansion. He’s not the CEO of a multi-national. But because of his line of work, he owns a lot of property that would be subject to a lot of tax.

“Our number one goal is to repeal the estate tax, to get rid of it, not have it for every generation, when I die and my kids die and so on,” he told Fox News. “For everyone to have to re-purchase the ranch or farm over and over for each generation, that’s inherently unjust. So what we’re doing is asking our politicians to understand that and repeal the estate tax.”

That, however, is unlikely. Currently, the federal government taxes estates worth $5 million dollars and up at 35 percent. When the Bush-era tax rates expire in January, rates increase to 55 percent on estates of $1 million or more. While some Republicans want to eliminate the death tax entirely, President Obama has proposed a 45 percent rate on estates of $3.5 million and up.

“The idea behind the estate tax is to prevent the very wealthy among us from accumulating vast fortunes that they can pass along to the next generation,” said Patrick Lester, director of Federal Fiscal Policy with the progressive think tank — OMB Watch. “The poster child for the estate tax is Paris Hilton — the celebrity and hotel heiress. That’s who this is targeted at, not ordinary Americans.”

Editor’s Note – Wait just a minute. Why can’t Paris Hilton’s family pass their fortune on to their children? The Hilton’s provide a valuable service and also provide tens of thousands of good jobs. They also pay massive amounts on taxes and give to charities. Why should they be targeted for punishment by the federal government?

Where did we adopt the tyrannical Marxist idea that just because someone has it, it then becomes another’s right to take it? Do we have the rule of law or the law of the jungle?

The Democrats do not take that money to pass out to you and me, they spend the money over seas or hand it out to campaign donors and cronies just as they have dome in the emerging Green Corruption scandal.

Isn’t the “American Dream” to pass on something to your kids so they can do better than you? This is how radical the Democratic Party leadership has become.

More from Fox News:

But according to the American Farm Bureau, up to 97 percent of American farms and ranches will be subject to an estate tax where the exemption is set at $1 million. At that rate, the federal government will pocket $40 billion in 2013 and up to $86 billion in 2021. That contrasts with just $12 billion this year.

Obamacare to Increase Individual Insurance Premiums by 55-85% in Ohio

I am in Indiana and my premiums just went up by a factor of 12 – Editor

Forbes:

Individual-market premiums to increase by as much as 85 percent

In August of 2011, the Ohio Department of Insurance retained Milliman, the prestigious actuarial consulting firm, to estimate the impact of Obamacare on the private insurance market. Milliman’s 159-page report makes clear that Obamacare’s blizzard of insurance mandates and regulations will dramatically increase the cost of individually-purchased insurance.

By 2017, write the Milliman researchers, “individual health insurance market premiums are estimated to increase by 55% to 85% above current market average rates (excluding the impact of medical inflation).” Because Obamacare forces insurers to cover a buffet of benefits that they don’t have to today, the cost of insurance will go up. Another driver of higher premiums is the fact that insurers will have to cover everyone, regardless of previous health status, a change that will attract sicker enrollees at the expense of healthier ones.

Some Obamacare defenders try to argue that these cost increases don’t matter, because a slice of the low-income population will benefit from the law’s subsidies. But if you’re not eligible for subsidies, or only partially eligible, you will be exposed to the law’s dramatic increases in the cost of insurance. And remember that Obamacare has an individual mandate, which will force most Americans to absorb these higher costs.

Obamacare to cut Medicare by $10,763 per Ohio retiree

Obamacare cuts Medicare by $716 billion between 2013 and 2022 in order to pay for part of the law’s $1.9 trillion in new health-care spending for younger people over the same time frame. My co-blogger Robert Book and Michael Ramlet have published a paper for the University of Minnesota showing that Ohio’s share of those Medicare cuts is $21.2 billion dollars. This year, Ohio has 1,971,260 Medicare enrollees, which means that these cuts amount to $10,763 for every senior in Ohio.

Robert Book published another paper, this time with former White House budget official James Capretta, detailing Obamacare’s cuts to Medicare Advantage on a state-by-state basis. Robert and Jim found that, in 2017, Obamacare will cut $3,390 in Medicare Advantage services for every Ohioan enrolled in the program: a 26 percent cut. And 36 percent of Ohioan seniors—709,313—are enrolled in Medicare Advantage.

Survey: 24 percent of Ohio doctors will stop accepting Medicare patients

Last month, the Physicians Foundation published one of the largest physician surveys ever conducted in the United States, with 13,575 respondents. They asked physicians a broad range of questions, including several about their views on Obamacare. 62 percent of Ohio physicians said that the Affordable Care Act made them “less positive about the direction and future of healthcare in America.” Only 16 percent said it made them feel more positive.

If Medicare fees decrease by ten percent or more—as the Affordable Care Act will require—30 percent of Ohio doctors say that they will place “new or additional limits” on accepting Medicare patients. 24 percent say they’ll stop accepting Medicare patients altogether.

The survey also has bad news for Ohioans on other forms of insurance. 22 percent of Ohio physicians say that they’ll place new or additional limits on Medicaid patients as a result of the Medicare cuts; 22 percent also say they plan to raise fees on those with private insurance in order to compensate for the cuts.

Obamacare’s tax increases

Finally, it’s worth touching on Obamacare’s tax increases. From 2013-2022, Obamacare increases taxes by $1.2 trillion, which amounts to $15,796 for the average family of four. Ohio’s share of those taxes is approximately $46 billion.

Obamacare’s defenders will claim that many of Obamacare’s taxes fall on corporations and upper-income individuals. But these taxes will get passed down to every American. For example, the law applies an excise tax to health insurance premiums, which insurers will be forced to pass down to individuals in the form of higher premiums. Analysts estimate that this tax could increase premiums by as much as 3 percent,  amounting to around $500 for the average Ohio family in 2014.

Other state-specific analyses of Obamacare

This is the first in a series of posts I have published on the effect of Obamacare on individual states. The complete series includes Ohio, Wisconsin, Virginia, Florida, Colorado, New Hampshire, Nevada, Minnesota, Iowa, Pennsylvania, and Michigan.

Patrick Paule, an insurance broker in Ohio, says that the huge spike in costs for young people will force many employers to drop coverage or pass on premiums for those making more than $21,000:

Avik, As a broker in Ohio who has read the entire 159 page Milliman report I would add that the bigger issue is in the small employer (2-50 employees) group market where premiums are expected to increase by 150% for younger and healthier groups yet could also have a decrease of 40% for older and unhealthy groups. It is important to note group policy premiums will have significant variability for adjusted community rating.

Smaller employers will observe the greatest impacts since they are more likely to be at one extreme or the other of the total current premium range because of health status tier, age band, and gender.

Why is this most important? Because in Northwest Ohio the average small employer pays 80% of the premiums for single coverage and 65% for family coverage. According the the Kaiser Family Foundation Health Reform Subsidy Calculator, for a single person to get 80% of his/her premiums covered by a subsidy under Obamacare, one’s income would have to be less than $21,000 per year. Our average wages are above that figure.

Simply put, if costs rise for an employer they will do one of two things. Either increase the employees share of premiums or drop their plan. Simple conclusion, if you are employed and making over $21,000 per year plan on seeing your insurance costs increase.