|America's independent, non-partisan advocate for overburdened taxpayers.||Home | Donate | RSS | Log in|
Sen. Rubio Challenges Geithner on Dems' Zombie Surtax Plan
October 21, 2011
America’s vampire government has long been feeding off taxpayers. While Washington may not go for the jugular, it has taken aim at your wallet, and it’ll take more than a wooden stake to bring it down. But vampires aren’t the only ghoul haunting taxpayers this fall. A zombie-like surtax on millionaires is scaring the life out of job-creators everywhere.
The Washington Times reports:
“Like a horror-movie villain, the millionaire tax is once again back from the dead. This version – the third in the past two years – would slap a 5.6 percent surtax on everyone earning $1 million or more per year. It’s Senate Majority Harry Reid’s way of paying for President Obama’s misnamed job-creation plan.”
Unlike say, The Walking Dead, the Democrats’ surtax plan is one zombie that’s not receiving rave reviews. Economists have argued that the plan would create a number of harmful economic distortions, including increasing the incentives to reduce taxable income and penalizing saving and investment. Business groups have pointed to Obama Administration statistics that 4 out of the 5 taxpayers who will face this new tax are business owners, thus reducing the amount of money available to invest or hire. And if that isn’t enough, history indicates that lowering marginal tax rates on the wealthy has encouraged investment and growth – exactly the outcomes you’re looking for to escape a recession.
In fact, Obama seemed to agree with this sentiment not too long ago. “The last thing you want to do is to raise taxes in the middle of a recession,” Obama told NBC reporter Chuck Todd in 2009, “because that would just suck up – take more demand out of the economy and put businesses in a further hole.”
And although economists may say we’re technically no longer in a recession, doesn’t that same logic still apply? Sen. Marco Rubio thinks it should.
In a Small Business & Entrepreneurship Committee Hearing, Sen. Rubio challenged Treasury Secretary Tim Geithner over the Administration’s continued push for a 5.6 percent surtax, which would push the top marginal tax rate to over 50 percent – well above the international average of 43.5 percent.
Check out the rest of Sen. Rubio’s defense of taxpayers here:
With leadership like that America can put this misguided zombie surtax in the ground once and for all. Then, and only then, can we go about the business of enacting comprehensive tax reform that doesn’t terrorize America’s job creators.
Comment on this blog