Republicans are pushing hard

Republicans are pushing hard to get their tax cut plan through congress, this is despite polling that shows more than half of Americans oppose the proposal to reduce corporate rates and individual tax rates. How can that be that the majority oppose tax cuts? The Republicans are not dismissive of the polling, but maybe they should realize the polls reflect some new demographics.

Those demographics mirror the changing makeup of the population. Mitt Romney once described that change at a private political gathering and once the statement went public, it destroyed his chances of election to the presidency. Many will remember he said that 47% of the people were on some kind of government assistance and would not vote Republican; whom they believe would freeze benefits or maybe even reduce them. It is the same feeling with tax reform.

People who pay no income tax would be foolish to support a tax cut for those working taxpayers who are paying for their benefits, because if less money comes in they might actually lose some benefits or have them reduced. Lowering the corporate tax provides them no benefit; it only helps those who work and those who hold stock in the companies. Any cut in government income could put their benefits in jeopardy.

A 2011 report from the Census Bureau showed 108,592,000 people were on some sort of means-tested government benefits program in the fourth quarter of 2011, yet only 101,716,000 people were employed full-time for the entire year. Programs such as Social Security, unemployment insurance, workers compensation, and veteran’s benefits are not included. Why would anyone who is receiving means-tested benefits support a tax cut that might hurt them? The Census Bureau figures might not be perfectly correct as not all people on welfare vote and some taxpayers might have a non-working spouse at home but the implications are clear.

Couple the government benefits supported group with the hard core Democrats who would not support anything from the Republicans you can understand the poll results. The fact is that we may be past the tipping point where those living off the government compose the largest block of people and if they are not now, how long will it be before they become the largest block of voters?

The Republicans are talking about workers seeing more money in their pocket and the ability of the tax cuts to affect the economy, jobs and wages. If more jobs are created, the many on welfare could move to taxpayers and be supportive of the tax cuts.The Democrats are driving home that the relief for corporate tax rates, from 35 percent down to 20 percent does nothing for many of their supporters.

Republicans believe taxes and the economy are their best issues and it is a political necessity to deliver results on their promises. They need to deliver the goods if they are to have any chance in the mid-term elections. The focus should be on; business tax reductions, basic tax relief, doubling the standard deduction, lowering rates and increasing the child tax credit. As Larry, the Cable Guy once said, “Let’s get-er done.” Or you are going home for good.

Comments

  1. David Petrillo says:

    Our beloved President promised everyone a 30% tax cut when he was campaigning last year. I remember at the time saying it would save us thousands of dollars. Of course I did not realize that our President was a habitual liar. Now it appears that our 30% tax cut will be a fraction of that and in some cases, we will have a tax increase. Our President is on pace to tell over 2,000 lies in his first year. What a guy. So much for saving thousands of dollars.

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