Reply #13: Not only out of touch, also an idiot and/or a liar [View All]

[hfojvt]

http://www.mittromney.com/News/In-The-News/Romney_Jabs_At_Top_Dem_Candidates

"Edwards proposed a rewriting of the U.S. tax code that he said would boost the middle class. The plan includes a plan to let families exempt $250 in investment income from taxes. Romney said he would not call the Edwards proposal a savings plan.

"'He has a special savings program,' Romney said to a crowd of more than 100 people Friday morning at the Madison County Historical Museum. 'I understand you can save $250 tax-free. ... That is not a savings plan in my view.'"


Mitt, if $250 in INCOME is tax free, that means you have saved $6,000 if you are getting 4% interest. The tax code used to be that way in the 1970s. The first $100 of interest and the first $100 of dividend income were tax free. Just a little loophole, but one that helped little people more than it helped rich people. I think Reagan must have done away with it. A couple already has the ability to put $8,000 in an IRA and deduct that amount from their income and also not pay taxes on the income from that investment. Of course that is a tax loophole that rich people are more likely to take advantage of. A couple making $35,000 a year is less likely to have $8,000 to save than a couple making $135,000 a year.