The wealthy don’t need another boost

Well, it seems that a pair in the Republican presidential race, Tim Pawlenty and Newt Gingrich, have both endorsed the typical right-wing Fox News mantra of cutting the capital gains tax rate to 0 percent, that too many Americans pay nothing in federal income taxes (although they do pay payroll taxes) and the Democrats are conducting “class warfare.”

Let’s say you take a group of 100,000 families of four making $50,000 a year. That’s $5 billion. Obviously, if the government did tax these families more that would bring in a substantial amount of tax revenues. However, I cannot imagine supporting a family of four on $50,000 a year — what with housing, food, gas, health care, education costs, in addition to trying to put aside something to fund their own retirement.

On the other hand hedge fund manager John Paulson earned over $5 billion in 2010. Since this $5 billion is all capital gains it currently gets taxed at 15 percent, and Republicans would like this rate lowered to 0 percent? Does this really make sense? Tax the families who are barely scraping by more so billionaires can be taxed less?

Another example of this extreme greed is Steve Schwarzman, who has made over $1 billion a year for the last five years. He complained about President Obama’s plan to raise the marginal tax rate on capital gains to 35 percent. His exact quote was, “It’s a war. It’s like when Hitler invaded Poland in 1939.” Really? Another comparison of Obama to Hitler?

While it is true that one of our political parties does practice “survival of the fittest” that party is obviously not the Democratic Party. And, as I’ve said before, if there is “class warfare” occurring in our country it’s pretty obvious who is winning this war.

Phil Williams

Palatine