War Is Peace. Freedom Is Slavery. Ignorance Is Strength. Tax Cuts Generate Revenue
The political system may be different from Orwell's time, but the corruption and propaganda remain. We all have to 'sacrifice' to balance the budget. As Time Magazine wailed: "Do the nation's leaders have the courage to cut health entitlements or Social Security?" And the horses say, "We will work harder."
But the wealthiest individuals and corporations are not paying their taxes. They say they are. The richest Americans complain that they're paying most of the federal income taxes, and that's true. But since 1980 their AFTER-TAX share of America's income has TRIPLED. That's a trillion dollars a year in extra income for the wealthiest 1%. Their federal income tax rate has gone DOWN during that time, from 34% to 23%.
If they're paying most of the federal income tax it's because they make almost all the money.
The wealthiest 125 U.S. corporations, meanwhile, paid only 10% in U.S. income taxes last year. They claim that a lower tax rate will generate more tax revenue.
Here are the facts about corporate tax rates. Over the past 50 years the marginal rates for top corporations have steadily fallen, from over 50% to 35%. But according to the U.S. Office of Management, the corporate share of total tax revenue has dropped from about 20% in the 1960s to under 9% in 2010. Average Americans have made up most of the difference.
What the very rich won't admit is that they benefit the most from government-funded research, national security, infrastructure, property rights, and a financial industry tailored to their pleasure and profit. They insist that anyone can share in the prosperity, if only, like the horses, they keep working harder.
Paul Buchheit is a college teacher, an active member of US Uncut Chicago, founder and developer of social justice and educational websites (UsAgainstGreed.org, PayUpNow.org, RappingHistory.org),
Taxes are lower than ever, yet far Right governors are cutting corporate taxes as they lay off teachers and firefighters. Republicans complain our education system is broken and we have to compete in the world market, but they are eroding our capacity to compete. All of this lying and propaganda to protect those who are reaping the greatest wealth from paying the same rates they paid under Ronald Reagan- Taxes Are Lower Under Obama Than Reagan. The big secret about the deficit is we have a revenue problem, not a spending problem, or at least not one that we can't handle with more revenue. The same revenue we were rising during the Reagan years.
