GOP Reps. West and Gingrey Reject Payroll Tax Holiday

[Shallah Kali]

Run time: 01:37 https://www.youtube.com/watch?v=CNwnxtuzfpA   Posted on YouTube: September 09, 2011 By YouTube Member: ThinkProgress6 Views on YouTube: 982   Posted on DU: September 11, 2011 By DU Member: Shallah Kali Views on DU: 992

 
GOP Reps. Dismiss Tax Cut For Working Americans In Favor Of Giveaways To Corporations
http://thinkprogress.org/economy/2011/09/09/315751/gop-reps-dismiss-tax-cut-for-working-americans-in-favor-of-giveaways-to-corporations/

For instance, Tea Party firebrand Rep. Allen West (R-FL) rejected a payroll tax holiday completely on Fox Business last night, saying it has already been tried and that we should “cut this corporate tax rate” instead. Also on Fox Business, Rep. Phil Gingrey (R-GA) said he had a problem with the payroll tax holiday because it goes to “people who are already working.” But in the next breath, Gingrey called instead for a tax break for corporations who have kept money overseas. Watch it:

These supply-side tax cuts do little to help the economy or create jobs, as has been shown time and again http://www.nytimes.com/2010/09/11/business/economy/11tax.html , because wealthy people tend to save extra money instead of spend it. When Congress passed a tax repatriation holiday in 2004, as Gingrey wishes they would again, it had none of the intended employment benefits. Corporations merely pocketed their low-taxed repatriated billions and subsequently laid off thousands of workers. http://thinkprogress.org/economy/2011/05/14/173951/repatriation-flashback/

Corporations are not lacking cash, thus, a tax cut, which is aimed at freeing up more money to allow them to expand their workforce, would do little help unemployment. In fact, companies are sitting on trillions http://marketplace.publicradio.org/display/web/2011/08/17/pm-companies-sit-on-huge-reserves-of-cash/ in cash, yet are still refusing to hire, as this CNN chart demonstrates: http://johnkingusa.blogs.cnn.com/2011/08/31/job-growth-vs-corporate-profit-growth/

A payroll tax holiday is clearly an idea that should appeal to Republicans, who claim that cutting taxes and regulations is the only path to economic prosperity. But as they have repeatedly demonstrated in their opposition to payroll tax holidays, it is only a certain type of tax cut they are really interested in — those for the wealthy and corporations http://thinkprogress.org/economy/2011/08/22/300832/republicans-to-oppose-tax-cut-for-working-people , not the middle- and working-class Americans who are the primary beneficiaries of the payroll tax holiday.

[Davis_X_Machina]

1. Two DU-friendly votes, on this issue at least.... n/t

[liberalmike27]

4. What, we're surprised?

They collect that, and spend the excess on wars and tax cuts for the rich. Yes, we are collecting more currently than we pay out. We've collected 2.7 Trillion more, and it lays in a vault somewhere, maybe actually, maybe figuratively in treasury bonds and bills, drawing what meager interest they pay these days.

In a way, cutting that particular tax isn't only the most stimulative tax to cut. It's just to actually cut some of the money we're paying in, that they are using in the general budget.

But why does that surprise you? Hell Reagan raised that tax in 1983, along with a lot of republicans and democrats, to fund his tax cut for the wealthy. We've been collecting tons of money ever since, we've spent on other stuff. And it really doesn't matter whose idea it was to start spending it on other shit, we've been doing it for decades now.

And, of course, it might actually help the economy just a microspit-bit. A little bit of nothing. Now actually using the 447 Billion to create 14 million jobs, at the smallish salary of 30K a year (sadly still about the max-out salary of my life), that would actually obliterate the 14.9 million unemployed we have now. There's a fix for you.

[bluestateguy]

2. Whatever they're for, I'm against and whatever they're against, I'm for.

Pass it. Right away.

[Politicalboi]

3. WTF?

For instance, Tea Party firebrand Rep. Allen West (R-FL) rejected a payroll tax holiday completely on Fox Business last night, saying it has already been tried and that we should “cut this corporate tax rate” instead. Also on Fox Business, Rep. Phil Gingrey (R-GA) said he had a problem with the payroll tax holiday because it goes to “people who are already working.” But in the next breath, Gingrey called instead for a tax break for corporations who have kept money overseas.

These tactics have worked so well in the last 10 years. And besides, I'm working, why would I need anymore money. LOL!