This election is really annoying me. The press annoys me for they are letting a guy like Romney with no plan, continuously flip flops, makes gaffe and no conviction actually get away with murder.  The President gets no such treatment.

Today we heard Mitt Romney say: “”There’s no legislation with regards to abortion that I’m familiar with that would become part of my agenda”

Well what about every thing you said before, before you changed your mind. When running in Massachusetts you were for abortion and the right to chose. Then you were against abortion and now, even though his VP has proposed numerous  pieces of legislation curtailing the freedom of a woman to chose he said nope no agenda. This guys is getting away with murder and no one wants to call him out. Anyone else and he would be made the laughing stock of the country and who have been told to step down in order not to humiliate the Republican party.

I understand the press and their need to access to politicians and if they don’t play nice with them they don;t get scopes or interviews. But now it’s just ridiculous. You can’t say anything to them. You can’t call yourself a journalist if they let politicians get way with saying stupidity and things that have been proven over and over to be false. I praise the real journalist in the interview from which Paul Ryan walked away from:

The people are being asked to vote for the future course of the country for the next 4 years and we can’t even get one detail, one loop hole that will be closed. Plan? What plan. Then they have the audacity of saying the President when saying that the Romney plan is $5 trillion worth of cuts that’s false.  Romney says “make up a number” offer not even one deduction that he will eliminate but says he will have 20% across the board cuts and that is fine.

This is the math:
(20% across the board tax cut) – (no detail cuts) – (no detail on deductions eliminated) – ($455 million in cuts from CPB and Big Bird *10 years) = -$4.995 trillion

Unless you give me number for cuts or what deductions you eliminate I’ll “just make up a number” and that number is  -$4.995 trillion

When pushed  to give specifics on the loopholes listen to Paul Ryan:


I’m sorry but I have to say it. Romney advisers are either democrats posing as republicans trying to derail him or a bunch of illiterate morons that have been hiding in a cave somewhere in Afghanistan for the last decade or two.  The speech is full of revisionist history, plain ignorance of history and current events. Here are the main points that illustrate the level of ignorance and just plain stupid ideas proposed by Romney and his team:

“But it is our responsibility and the responsibility of the President to use America’s great power to shape history, not to lead from behind, leaving our destiny at the mercy of events.”

Use America’s great power what is that power. I sounds like he wants to use our military might again.  Haven’t we learned our lesson in Iraq and Afghanistan.  Projecting our military power is not the only solution. We have been dragged in 2 wars that have lasted 10 years with not much to show for it. Soft power and the innovative leading from behind conceived for the Libyan intervention is the right way forward. Romney thinks leading from behind is bad but in the case of Libya and if you actually look at the real meaning of the strategy it worked very well. Leading from behind actually came from the White House and the strategy was to get our NATO allies of not just being in front but also to take the bulk of the risks and costs. The US negotiated and persuaded the Europeans, the Arab league to contribute money, equipment and resources for the fight while we gave them logistical support. It was successful because it had international support, had a real UN resolution backing it and even included Arab support and their military’s involvement.  This kind of coalition has not been seen since the first gulf war under Bush senior.  If I was the President I would showcase it on how the US  was leading the intervention but without putting up the costs or the risk to our men and women. We got our NATO allies for the first time to commit their armed forces and cash instead of letting us take all the burden.  Compare that to Iraq and we have real statement ship.

“The relationship between the president of the United States and the prime minister of Israel, for example, our closest ally in the region, has suffered great strains. The president explicitly stated that his goal was to put daylight between the United States and Israel, and he’s succeeded. This is a dangerous situation that has set back the hope of peace in the Middle East and emboldened our mutual adversaries, especially Iran.”

The offices of the Prime Minister of Israel, of the President of Israel and the IDF has said that cooperation between Israel and the US has never been better. We have accepted every official request for military aid and cooperation that the Israelis have asked.  We have vetoed every resolution that made Israel look bad in the UN. We have financed and help built their iron dome missile defense system.  We have put in place the harshest sanctions ever imposed on Iran.  These sanctions are working just look at the riots in Tehran due to the devaluation of their currency.  The poor and even the lower middle class Iranians can’t afford poultry anymore. What else do you want? Go to war with Iran? In less than a year Iran will elect a new president.  Who do you think they will vote for? Their is a very good chance that they will want someone that will look at finding a solution with the West and fixing their economy.

“Across the greater Middle East, as the joy born from the downfall of dictators has given way to the painstaking work of building capable security forces and growing economies and developing effective democratic institutions, the president has failed to offer the tangible support that our partners want and need.”

As a remembered most republicans pundits were against the President and advocated supporting the likes of Mubarak and Ben Ali. Heck he even refused to call Mubarak a dictator which he was:

In Iraq the costly gains made by our troops are being eroded by rising violence, a resurgent al-Qaida, the weakening of democracy in Baghdad and the rising influence of Iran. And yet America’s ability to influence events for the better in Iraq has been undermined by the abrupt withdrawal of our entire troop presence.”

Ok so lets force down their throat a military presence and give the Iraqis the excuse to unit against us and go back to the violence of 2006-2007 when we were losing 2-3 soldiers a day and spending $2-$3 billion a week. The Iraqis wanted us out and that’s why they refused to extend our forces status agreement. We cannot unilaterally force a country to have our forces, that’s occupation and would have made the Sunnis, al-Qaida and the shiites unite against us.

“I will put the leaders of Iran on notice that the United States and our friends and allies will prevent them from acquiring nuclear weapons capability. I will not hesitate to impose new sanctions on Iran and will — and will tighten the sanctions we currently have.”

Wow that’s exactly what the President said at the United Nations. The President even said that the US will not accept a nuclear armed Iran under any condition.  The President said:

“That’s why a coalition of countries is holding the Iranian government accountable. And that’s why the United States will do what we must to prevent Iran from obtaining a nuclear weapon.”

The President has over and over made clear that a nuclear armed Iran is not acceptable, all options are on the table and the US cannot and will not allow a nuclear armed Iran.  Sanctions have been put in place, covert operations targeting nuclear researchers and sabotaging equipment are on going and assets in the region have been put in place. What more do you want?  Give the sanctions some time and even CIA reports  said that the Iranians have no military nuclear program. Let the sanctions work and let’s see what happens with the next president of Iran. Their is already an internal fight going on in Iran and actually a moderate is very likely be elected in order to appease their population.

The size of our Navy is at levels not seen since 1916. I’ll restore our Navy to the size needed to fulfill our missions by building 15 ships per year, including three submarines. I’ll implement effective missile defenses to protect against threats. And on this, there will be no flexibility with Vladimir Putin. And I will call on our NATO allies to keep the greatest military alliance in history strong by honoring their commitment to each devote 2 percent of their GDP to security spending. Today only three of the 28 NATO nations meet this benchmark.”

Ok so we will bring our Navy back to Cold War levels even if that level is not needed or requested by our Navy. Make President Putin our enemy number 1. Note to Romney the Cold War was won. No need to bring it back. The best idea he has is he will unilaterally force NATO partners to bring their military spending up to 2% of GDP which has not happened since the Cold War and even barely then and not likely to happen since most NATO members are facing budget issues and double dip recessions.  Again trying to shove down the throat of our allies things that they don’t want.

“The president has not signed one new free trade agreement in the past four years. I’ll reverse that failure. I’ll work with nations around the world that are committed to the principles of free enterprise, expanding existing relationships and establishing new ones.”

Wrong on that one. The President secured congressional approval of free-trade deals with Colombia, Panama and South Korea, and signed them in October 2011. He has also continued the Bush administration’s efforts to form a trans-Pacific free-trade zone, which would include up to 11 countries across the Asia-Pacific region.

“In Egypt I’ll use our influence, including clear conditions on our aid, to urge the new government to represent all Egyptians, to build democratic institutions and to maintain its peace treaty with Israel. And we must persuade our friends and allies to place similar stipulations on their aid.”

If you look at what happened in Egypt you would see that the newly elected Islamist President has condemned the violence and protest at the US Embassy, sent troops to fight Sinai tribesmen that smuggle arms to Hamas.  Cutting the military funding for Egypt would only weaken the Egyptian military in the fight against extremist in the Sinai, smugglers  and weaken the balance of power in Egypt.  The only group we can count on to check the Muslim Brotherhood is the Army. An institution that is still widely respected and liked in Egypt. Way to go Romney now you want to help Islamist.

“The president has also failed to lead in Syria, where more than — more than 30,000 men, women, and children have been massacred by the Assad regime over the past 20 months. Violent extremists are flowing into the fight. Our ally Turkey has been attacked. And the conflict threatens stability in the region.”

later on he says:

“In Syria I’ll work with our partners to identify and organize those members of the opposition who share our values and then ensure they obtain the arms they need to defeat Assad’s tanks helicopters and fighter jets.”

Ok so he says violent extremists are flowing into the fight and then he says we should arm members of the oppositions that share our values. In the fog of war there is no way to really make sure that those members of the opposition will not share the weapons that we give them to the violent extremists. We can’t even vent Afghan soldiers that we train ourselves. Can you really expect the opposition went in the middle of a fight not aiding  extremist elements covering their flank with badly needed  weapons and ammunition.  Will they say “oh well our flank was overrun and we are about to be surrounded and decimated but at least we listened to Romney and didn’t give the extremists weapons”.  They are allies and face the same foe. They will share surface to air missiles, explosives and other deadly weapons with them, and if history repeats itself will eventually be turned around against us. Let’s be cautious and that caution is the right path the President is following.  Sooner or later all or part of the Syrian Army will collapse or switch sides. Time is on the side of the opposition.

“In Afghanistan I’ll pursue a real and successful transition to Afghan security forces by the end of 2014. President Obama would have you believe that anyone who disagrees with his decisions in Afghanistan is arguing for endless war. But the route to war and to potential attacks here at home is a politically timed retreat that abandons the Afghan people to the same extremists who ravaged their country and used it to launch the attacks of 9/11. I’ll evaluate conditions on the ground and weigh the best advice of our military commanders. And I will affirm that my duty is not to protect my political prospects but to protect the security of the nation.”

Wow not even an original plan.  Same time table as the President and the same opinion will be given by the commanders on the ground.

“Finally, I’ll recommit America to the goal of a democratic, prosperous Palestinian state living side by side in peace and security with the Jewish state of Israel. On this vital issue, the president has failed, and what should be a negotiation process has devolved into a series of heated disputes at the United Nations. In this old conflict, as in every challenge we face in the Middle East, only a new president will bring the chance to begin anew.”

Hold on, now Romney wants to negotiate a peace treaty between the Israelis and the Palestinians? That’s not what he said in the 47% video about the Palestinians:

“And so what you do is you say, “You move things along the best way you can.” You hope for some degree of stability, but you recognize that this is going to remain an unsolved problem. We live with that in China and Taiwan. All right, we have a potentially volatile situation but we sort of live with it, and we kick the ball down the field and hope that ultimately, somehow, something will happen and resolve it.”

So which one is it? Kick the can down the road or actually push both side back to the negotiation table?

His entire speech is full of contradictions. From potentially arming extremists in Syria, to building a Cold War Navy, to making Russia our enemy, to cutting off aid to the Egyptian military, to negotiating peace in the Middle East, to staying in Iraq, to unilaterally imposing spending levels on other countries. What amazes me is the level of incompetence of his advisers and even more from the press and the White House on not calling him out on it.


 


Read the article: http://blogs-images.forbes.com/leonardburman/files/2012/10/romney-loopholes.png


You don’t understand Romney’s Tax plan? Are you confused? That’s ok neither does Romney and his website http://www.mittromney.com is just as confused as you. Visit his site and start getting even more confused:

From: http://www.mittromney.com/issues/tax

Individual Taxes
America’s individual tax code applies relatively high marginal tax rates on a narrow tax base. Those high rates discourage work and entrepreneurship, as well as savings and investment. With 54 percent of private sector workers employed outside of corporations, individual rates also define the incentives for job-creating businesses. Lower marginal tax rates secure for all Americans the economic gains from tax reform.

  • Make permanent, across-the-board 20 percent cut in marginal rates
  • Maintain current tax rates on interest, dividends, and capital gains
  • Eliminate taxes for taxpayers with AGI below $200,000 on interest, dividends, and capital gains
  • Eliminate the Death Tax
  • Repeal the Alternative Minimum Tax (AMT)

Corporate TaxesThe U.S. economy’s 35 percent corporate tax rate is among the highest in the industrial world, reducing the ability of our nation’s businesses to compete in the global economy and to invest and create jobs at home. By limiting investment and growth, the high rate of corporate tax also hurts U.S. wages.

  • Cut the corporate rate to 25 percent
  • Strengthen and make permanent the R&D tax credit
  • Switch to a territorial tax system
  • Repeal the corporate Alternative Minimum Tax (AMT)

From: BelieveInAmerica-PlanForJobsAndEconomicGrowth-Full page 36

INDIVIDUAL TAXES
• Maintain marginal rates at current levels
• Further reduce taxes on savings and investment
• Eliminate the death tax
• Long-term goal: pursue a flatter, fairer, simpler structureCORPORATE TAXES
• Lower the corporate income tax rate to 25 percent• Transition to a “territorial” tax system

From: Page 155 Appendix:

Appendix:  59 Policy Proposals That Will Get America Back To Work. Maintain current tax rates on personal income 2. Maintain current tax rates on interest, dividends, and capital gains 3. Eliminate taxes for taxpayers with AGI below $200,000 on interest, dividends, and capital gains 4. Eliminate the death tax 5. Pursue a conservative overhaul of the tax system over the long term that includes lower, flatter rates on a broader base 6. Reduce corporate income tax rate to 25 percent 7. Pursue transition from “worldwide” to “territorial” system for corporate taxation

By the way page 36 and page 155 contradict each other.  Page 26 says “Further reduce taxes on savings and investment” while page 155 says “Maintain current tax rates on interest, dividends, and capital gains”. They are all policy proposals so which one will be applied?
From: http://www.mittromney.com/JobsPlan Click on Full Plan and then scroll down to page

Reform The Nation’s Tax Code To Increase Growth And Job Creation.

  • Reduce individual marginal income tax rates across-the-board by 20 percent, while keeping current low tax rates on dividends and capital gains.
  • Reduce the corporateincome tax rate – the highest in the world – to 25 percent.
  • Broaden the tax base to ensure that tax reform is revenue-neutral

From: TaxPolicy.pdf Page 1

INDIVIDUAL TAXES • Maintain marginal rates at current levels • Further reduce taxes on savings and investment • Eliminate the death tax • Long-term goal: pursue a flatter, fairer, simpler structure CORPORATE TAXES • Lower the corporate income tax rate to 25 percent • Transition to a “territorial” tax system

See a problem?

  • One says Income tax rates go down 20% the other stays the same and then another  cut them then another  stays the same.
  • One says cut marginal rates and keep interest taxes the same, another keep marginal taxes the same and cut interest taxes.
  • One says reduce taxes on savings and investment the other maintain current tax rates on interest, dividends, and capital gains another  cut and another says stay.
  • One says broaden the tax base? what does that mean? Does that mean cutting middle class deductions so the 1% get  20% tax break?

Still think this guy has a plan? Even his own team doesn’t know what to post on his site. Read for yourself at mittromney.com And don’t forget Mitt Romney said in the debate in Denver on October 3rd 2012

“First of all, I don’t have a $5 trillion tax cut. I don’t have a tax cut of a scale that you’re talking about. My view is that we ought to provide tax relief to people in the middle class. But I’m not going to reduce the share of taxes paid by high-income people. High-income people are doing just fine in this economy. They’ll do fine whether you’re president or I am.”

This is the math:
(20% across the board tax cut) – (no detail cuts) – (no detail on deductions eliminated) – ($455 million in cuts from CPB and Big Bird) = -$4.999 trillion

Unless you give me number for cuts or what deductions you eliminate I’ll “just make up a number” and that number is  -$4.999 trillion.


Like I said before governor Romney is a flip flop never seen in modern history.  He is now backtracking from 47% after weeks of standing behind it. He thinks we are idiots. He thinks that he got away with winning the debate by, you guest it flip flopping, that he can do it again.

In the debate he had the audacity of saying that he didn’t have a $5 trillion tax break and then said that 6 studies all from conservative republicans groups supported it and one from an independent source that actually said you had to assume over 3% growth to make it work (which has happened exactly 2 times in the last 12 years).

I’m telling you now that the debate that pundits said he won will be a short lived victory for all he said were a bunch of flip flops or outright lies. From “pre-existing conditions are covered under my plan”, debunked over and over (Read Nobel Prize winner economist Paul Krugman) to his crap apart education and taxes (Read NY Times article: Entering Stage Right, Romney Moved to Center).

What kind of guy want to fire Big Bird and then talks about how he wants to help education in this country. I know who the guy that likes to fire people. It’s not enough to fire real people he needs to fire cherished american icons and muppets.

I have to say that governor Romney gives politicians a bad rep.  He has flipped flopped so many time on every single issues that it’s just me think that he thinks Americans are idiots.  How can you trust a guy to do  a job if he keeps changing how he is going to do the job? One day is 20% tax cuts across the board the next day it’s no cuts for the rich then it’s let’s make up a number? Maybe Count Von Count should debate this guy at least he would tell him to stick with one.

 


Some think that being on the attack makes you look strong and therefore the winner but going all out exposes your flanks.  Romney did well, better than expected sine expectation were 0.  We have take into account the media blitz from his campaign that under played Romney and over stressed the President’s oratory skills. So starting from 0 expectation for what he did he did well. His responds were well rehearsed sticking on subject  to jobs jobs jobs.  So I have to give him credit. But

If you read the transcripts carefully you will see that Romney did not win but in fact cornered himself. He made some gaffes that will be ammunition for the Obama campaign and will be remembered in the long term as a bad performance.

Some examples:

ROMNEY:”And with regards to health care, you had remarkable details with regards to my pre-existing condition plan. You obviously studied up on — on my plan. In fact, I do have a plan that deals with people with pre-existing conditions. That’s part of my health care plan. And what we did in Massachusetts is a model for the nation, state by state. And I said that at that time.”

So what he did in Massachusetts is a model for the nation. So Obamacare modeled on his plan applied to all states will do exactly what he says state by state in one single swoop.  So good enough for one of the richest states in the nation but not good enough for the rest of us. Obamacare is a mix of that Plan and one from Switzerland.  In both cases overall healthcare spending increases came came down to a manageable rate. If anyone thinks that health care costs are going to go down then they are dreaming it’s impossible with an aging population.  Truly only the growth of the economy and increasing immigration of younger workers can solve our long term issues with Medicare, Medicaid, and even Social Security.  It’s math. The younger the population and the more of them paying in can offset the costs of the old. Costs will increase but should we let go up at 3-5% which is what Obamacare will do or let them sky rocket at 8% a year with no plan from Romney.

MR. ROMNEY: “I’m going to stop the subsidy to PBS. I’m going to stop other things. I like PBS. I love Big Bird. I actually like you too. But I’m not going to — I’m not going to keep on spending money on things to borrow money from China to pay for it. That’s number one.”

His idea when it comes to looking at programs and if we should have them is great on paper but the execution was horrible. Really Sesame Street is the reason why our deficit is so big and it’s the worst thing we could spend our money on?

The CPB’s annual Congressional appropriation is $445 million. All of it goes to programming and funding of local PBS and NPR stations.  Those stations are also funded by private donations from listeners and viewers, foundations and corporations, and from their state and local county. Administrative costs of the program is a little over 4% one of the  most efficient government programs around. Find me a company that has 4% administrative costs and I will invest in it.

I grew up with big bird and hope my children experience the same joy from learning the alphabet, numbers, science, sharing and good moral values as I did.  It is the model of preschool learning around the world. The show has 120 million viewers worldwide in 140 countries and has been an ambassador of America for 40 years. So Romney wants to take that away not just from my children but for millions of children around the world. By the way Sesame Workshop the non profit that brings us Sesame Street actually gets only 10% of its budget from the government. The rest comes from licensing from merchandise licensing.  So to pick Sesame Street and CPR and single them out out all the other Federal programs out there was a mistake. He can’t seriously talk about Education while he wants to kill Big Bird.

A great attack ad would be to show Romney making those remarks and then showing a bunch of toddlers crying when a hand reaches in to take way Big Bird and Elmo stuff toys  from them.

MR. ROMNEY: “I want to bring down the tax burden on middle-income families. And I’m going to work together with Congress to say, OK, what are the various ways we could bring down deductions, for instance? One way, for instance, would be to have a single number. Make up a number — 25,000 (dollars), $50,000. Anybody can have deductions up to that amount. And then that number disappears for high-income people. That’s one way one could do it. One could follow Bowles-Simpson as a model and take deduction by deduction and make differences that way.”

How many weeks away from the election are we again and not even a single detail about his tax plan? We went from 17,000 bucket of deductions to “Make up a number — 25,000 (dollars), $50,000. Anybody can have deductions up to that amount.”  The entire debate Romney bounced around the idea of tax cuts but didn’t offer a single detail. He actually confused me from jumping from number to number. If we use his $50k bucket number and the median household income (2006-2010) according to the Census Bureau was $51,914 then who will pay taxes? So he doesn’t like the 47% but with his new make up a number plan that means nearly 50% won’t pay federal income taxes.

The President did a good job by repeating the $5 trillion tax cuts and $2 trillion in defense spending with no real way of paying for it unless deductions for the middle class gets to pay for them. Romney had not response to that except for citing 6 studies that said his tax plan is the great.  The problem is that of those 5 only he only one of those “studies” by someone not advising Romney was done by Harvey Rosen.  And that study concluded that it was not likely since only a growth rate of over 3% could start off setting the revenue losses.

Romney looked comfortable and spoke well and was on the attack but if you actually listen to what he said and took notes and fact checked them you will see a different story.  Romney was portrayed as the no plan candidate by the President and that will stick. Also Romney was way off on his facts this includes the rehashing of the idiotic already debunked $716 billion from Medicaid. Come on Romney leave that one to rest it’s makes you look bad.  Fact checkers found overall the President truthful with minor fact issues (4.6 million jobs versus 5 million not yet confirmed by Labor department) while Romney was labeled as a “serial exaggerator” by FactCheck.org (http://factcheck.org/2012/10/dubious-denver-debate-declarations/). By the way the 42% of GDP come on the Federal  Government accounts for 24% the rest is State, Counties, Cities, Districts and that has always been the case.

At the end what will be remembered most to the detriment of Romney is that he is going to put Bird Bird and Elmo and friends on the street. I hope they live in Massachusetts where they will still have Obamacare sorry I meant Romneycare.  Let’s save Big Bird and Sesame Street that’s what matters not for you but for your children.

 


. After the comments about the 47% we have an article from the Boston globe has been picked up by the Obama campaign and made a new attack ad.  The article “Chinese firm promoted its low-wage, low-tax liability to investors shortly before Mitt Romney made investment” tells the tail of governor Mitt Romney while the head of Bain Capital actively sought out a company that promoted itself as a low tax low wages company.

Bain Capital after Global-Tech Appliances released their marketing information used Brookside Capital Partners Fund to acquired about 6 percent of that company.   Romney was listed as the sole shareholder, sole director,  President and Chief Executive Officer of Brookside.  Bain Capital and Brookside also acquire 6% of Holmes Products Corp. a competitor that also outsourced its manufacturing in China.  Global Tech was also the sole supplier for another company, called Sunbeam, which was outsourcing.

This he can’t hide from it.  He headed Bain Capital and Brookside Capital Partners Fund, the buck stopped their twice. Add to that the 47% video in witch he praises a factory and it’s horrible working conditions  that he admits they were looking at acquiring in China (He acquired instead a company that manages factories).

You take the 47% video, the investments in Global-Tech Appliances and you have a clear message to American workers:  “This guy never looked out for you and why should he now”.  The nail in the coffin. Former governor Romney, I believe, will be remembered in History for how not to run a Presidential Campaign. He will join the annals of history with the likes of Goldwater, Dukakis, and Nixon against JFK.

He will also be remembered as the nominee that brought down the Tea Party and ultra conservatives in the Republican party.  After this election is over, the Republican party will do some soul searching and an internal battle will ensue between the religious right and the moderates within the party.  I truly believe that will be the only way to salvage the Republican party in the long run.

 

 


If we actually looked and compared tax codes around the world you would see that the US is actually pretty competitive.  For example we have 5th lowest income tax when compared to our biggest economic partners (see tables below). We also have the 4th lowest sales tax much lower than all European countries and even China.

Income Tax Rank
Russia 13.00% 1
UK 20.00% 2
Singapore 20.00% 3
Brazil 27.50% 4
USA* 35.00% 5
South Korea 38.50% 6
Luxembourg 38.95% 7
Japan 40.00% 8
France 40.00% 9
Norway 40.00% 10
Taiwan 40.00% 11
Ireland 41.00% 12
Germany 42.00% 13
Switzerland 42.20% 14
Italy 43.00% 15
Spain 43.00% 16
Australia 45.00% 17
China 45.00% 18
Canada 50.00% 19
Belgium 50.00% 20
Finland 51.00% 21
Denmark 51.50% 22
Netherlands 52.00% 23
Sweden 57.77% 24

* Capital gains are taxed at 15% in the US versus most countries have rates above 20%

Sales/VAT Tax Rank
Japan 5.00% 1
Taiwan 5.00% 2
Singapore 7.00% 3
USA* 7.30% 4
Switzerland 8.00% 5
Australia 10.00% 6
South Korea 10.00% 7
Canada** 15.00% 8
Luxembourg 15.00% 9
China 17.00% 10
UK 17.50% 11
Spain 18.00% 12
Russia 18.00% 13
Germany 19.00% 14
Netherlands 19.00% 15
France 19.60% 16
Italy 20.00% 17
Brazil 20.00% 18
Belgium 21.00% 19
Ireland 21.00% 20
Finland 23.00% 21
Norway 25.00% 22
Sweden 25.00% 23
Denmark 25.00% 24

*Sales Tax  varies by State highest is Arizona and depends on product some up to 10.5% on prepared food in SC

**GST, HST, PST Rate

We do have a higher corporate tax rate at 35% but not much higher than that of Canada 34%, Germany 33% and France 33%.  Our high tax rate does not take into consideration write offs, deductions, loop holes our corporate which would bring it down substantially.   Citizens for Tax Justice and the Institute on Taxation & Economic Policy came out with a study that looked at the taxes paid by 280 companies that did not report a loss from the fortunate 500  and had some astonishing results:

  • 25% of Fortune 500 companies paid more than 30 percent (averaging 32.3%) in corporate taxes over the three years studied.
  • 25% paid effective three-year tax rates of less than 10 percent, with the average effective tax rate being zero. Thirty of these companies paid less than zero.
  • In the aggregate, 280 companies actually paid half the corporate tax rate or 18.5 % over the 2008-10 period, and 17.3% over the last two years.

If we take the average of 18.5% we would rank 3rd based on the corporate tax rate list below.   If we look at taxes revenues compare to GDP, the United States has one of the lowest rates overall (total tax revenue vs GDP).  Individual tax revenues and Corporate tax revenues versus GDP are both small compared to world averages (http://www.oecd.org/newsroom/41498733.pdf).

Corporate Tax Rank
Singapore 17.00% 1
Taiwan 17.00% 2
Russia 20.00% 3
Luxembourg 21.84% 4
Switzerland 22.00% 5
South Korea 24.20% 6
Denmark 25.00% 7
Ireland 25.00% 8
Brazil 25.00% 9
China 25.00% 10
Netherlands 25.50% 11
Finland 26.00% 12
Sweden 26.30% 13
Norway 28.00% 14
UK 28.00% 15
Spain 30.00% 16
Australia 30.00% 17
Italy 31.40% 18
Germany 33.30% 19
France 33.33% 20
Belgium 33.99% 21
Canada 34.00% 22
USA* 35.00% 23
Japan 40.87% 24

* Corporate tax rates do not take into account deductions, loop holes and other tax differements. US rate would be much lower.

According to the Council on Foreign Relationsand other groups, the effective corporate tax rate in the US is more like 26% which would make us more mid tear when compared to the rates of other countries.   PricewaterhouseCoopers says it’s more like 27.7% or lower than the tax rate of Norway, UK, Spain, Australia, Italy, Germany, France, Belgium, and Canada. The G-7 average is 32.3% if US is taken out. Read this interesting article from the NY Times: (http://www.nytimes.com/2011/05/03/business/economy/03rates.html).

Then if we factor corporate taxes versus other taxes as revenues for the US Federal Government we see that they account for only 8% of all Federal revenues while Income and Pay Roll taxes account for 83% of revenues. Most countries collect far more from corporate tax as a percentage of GDP and total tax revenues than the US.

So before someone tell you the problem in the US is high taxes ask them what taxes? Sales taxes  and individual Income taxes are one if not the lowest of any developed country. The real effective corporate tax rate of 27.7% is lower  than most developed countries and not far off then that of China’s (25%) and South Korea (24.2%) a difference of a few percentage points. Our tax burden compared to GDP is one the lowest in the world.

Before we talk taxes we should know the facts. Our tax system is nor very high when compared to other developed countries and our tax burden very low. We should look at how our tax system is fair/un-fair and see how we can implement common sense policies to create jobs (lower tax rates on companies that actually create jobs) and increase consumption (tax rebates or cuts that promote consumption).  Yelling about how we pay too much taxes is just not enough or factual.


Romney paid a price—literally—for saying that he paid at least 13 percent in federal income taxes over the past decade. He and his wife did not take the full deductions to which they were entitled for their charitable giving.

This from the man that said he would not pay a single dime more than he had to pay in taxes.  I guess it was better to show that he paid 14.1% versus 10%. He gave over $4 million in charity but only deducted a little over $2 million, if could of also written off another 500k.

So the candidate that said:  ” And, frankly, if I had paid more than are legally due I don’t think I’d be qualified to become president. I’d think people would want me to follow the law and pay only what the tax code requires.” didn’t want all the deductions he was aloud and therefore based on his own statement should not be President.

He thinks that taking a hit on his taxes in 2011 will get him elected and if he is not then he can just adjust his taxes next year and refile his charity contribution to get it all back.  Silly rabbit trix are for kids and tricks won’t work.

Another trick is his summary for the last 20 years from PricewaterhouseCoopers saying  paid an average annual effective federal tax rate of 20.2 percent from 1990-2009. A summary? Really I can give you an average too from my buddy that I paid to give me a summary. Because of I am going to trust PricewaterhouseCoopers that has been in rash of scandals about Chinese firms listed on Wall Street with questionable accounting  pratices.

Just release the full tax returns heck I promise not to use them too much to attack you.  Mitt you’re just so bad at running a campaign you should just go back to taking over companies, loading them up with debt, pay yourself off, outsource all the jobs and then sell them for a profit. At least you are good at that.

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