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Wednesday, July 31, 2013

This Time,It’s Different

It’s true. President Obama is roaming the country singing the same song, but he’s hoping that a few Republicans will hear a verse they like, such as corporate tax cuts. The title of the song might as well be “This time ,it’s different” because the obstructionist party is not listening.

I think Chris Haynes is right, progressives are glad that the GOP is not taking the president’s deal. The last time we passed legislation to give corporations a tax break on their foreign profits,they used the money to buy back their stock and cut 20,000 jobs to boot. A prominent tax attorney, Clay Johnson, said that the new low tax rate would be the new highest tax rate the corporations will ever pay. The corporate tax rate is 35% but the average effective rate they pay, comes out to 12.5%. A car dealer is not going to hire a new salesperson because they got a tax cut. I’m not against a corporate tax rate cut but I would put it under recapture rules to ensure that corporations hired a certain amount of employees at a livable wage with benefits.

I’m sure there’s a word or term for educated people who make ignorant statements but I can’t think of one right now. Senator Mike Lee echoed the Obamacare sentiments of his colleagues ,Ted Cruz,Rand Paul and Marco Rubio when he said “Defund it, or own it. If you fund it, you're for it."  He might as well have said that for Social Security or Medicare because the Affordable Care Act is the law and is now considered an entitlement. Congress cannot defund major portions of the law without a 2/3 majority and a president’s signature. Those individuals can shut down the government but it won’t make them anymore principled;it just makes them stupid and badly uninformed. It’s not even a good bluff.

It turned my stomach to hear that Halliburton got away with a $200,00 fine for admitting to destroying evidence in the BP spill fiasco, but  the culprit didn’t go to jail. I’m not surprised because the Dallas fed is now reporting that 2008 financial crisis cost was $14 trillion, and not one CEO has been perp walked.

I just can’t seem to get away from the injustice that’s being displayed every day. Have you tried to watch a major-league  baseball game lately? ESPN devoted several innings on three separate games talking about Alex Rodriquez and his possible lifetime ban for using performance-enhancement  drugs. Major League baseball knows of at least 100 ball players who they suspect, but they will only ban eight players or so, within the next two weeks. Want to clean up baseball? Ban all 100 for 50 games or more and start off fresh.


Mike said...

Another good example of someone not reading the law.
"Robert Sparkman cited health care reform as part of the reason behind Saturday's closure, noting that small-business owners must soon insure all full-time employees."

1. President said that portion of ACA will get an extra year before it becomes law.
2. I seriously doubt Tosana employs 50 full time people.

Tell that to someone who doesn't know better.

born2Bme said...

Just another way to get people riled up about the ACA and blame it for all the evils in the world.

Mike said...

I remember when the Papa Johns chain tried that ploy but some Forbes' Caleb Melby calculated it out to be 15¢ per slice more for the owner to keep providing his employees health insurance.

If those pizza joints were in California or NY they would see their health care costs go down.

born2Bme said...

The Texas mentality is get labor as cheap as you can, pay no benefits and pocket all the money. Any deviation from that and it sends people into a tailspin. But, then when they fail due to no paying customers, they try to blame it on something else.
To make customers, you have to pay a living wage, so there is money left after essentials, to buy your product.

Legion said...

After reading Robert Sparkman s reply on the VA, I take it that members of his family are partners/owners with him in the restaurant.

So the restaurant would/might be considered part of a controlled group with Sparkman Industries.

I had to look up controlled group. It makes sense, it keeps a larger employer from creating enough smaller employers to avoid increased taxes and avoiding ACA regulations.

Mike said...

Robert Sparkman is correct A “small” employer with fewer than 50 full-time employees might actually turn out to be a large employer if it is part of a “controlled group” or an “affiliated service group” or if it hires so many part-time and seasonal employees that it actually has more than 50 “full-time equivalents.

He is getting flak because he left that part out in his newspaper statement but the law is so complex that we would have difficulty understanding it even if he would have included it.

The only way to really find out is to look at his budget but that's not our business until then I'll take a Mulligan for now...:-)