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Barack Obama remains maddeningly vague about most of his plans as president, but he's displayed surprising candor about his determination to raise tax rates. Lawrence Lindsey, former chair of the National Economic Council, notes that a high income earner would see his federal marginal tax rate soar to 53%, from 38% today. In other words, instead of taking home 62% of what he earns, this taxpayer would now bring home only 47% -- and that's before paying all state and local taxes. A small business man with taxable profit of just $500,000 would see a 25% tax hike under Obama, paying $42,000 more to Uncle Sam. This extra burden would clearly discourage extra work, and lead the most productive people in society to concentrate on tax avoidance rather than wealth creation. By taking away resources from entrepreneurs and giving them to bureaucrats, Obama-nomics would slow job creation, innovation and investment just when it's needed most. And the one time you can be sure a politician will keep his promise is when he says he'll raise taxes.
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