On my to-do list is to read the summary of the new proposed tax plan that GOP politicians presented yesterday. I have read a number of articles that contain characterizations of it such as a business tax cut only, or benefits for the rich only, but I think I’ll reserve judgment until I read the proposal.
What I expect to see is something for enterprises to invest funds held overseas domestically which may look like it is designed to directly benefit Wall Street over Main Street on the surface. But I think it would be good for everyone as long as there are incentives to reinvest domestically rather than providing more fodder for looting.
A lot of “experts” may disagree with me, but my opinion is that the tax structure for dividends combined with Sarb-Ox have turned equities into more of a secondary fixed income market than what it has traditionally been; and tax-free dividends was probably among the worst of things to come out of the GW Bush tax plan. My suggestion would be to eliminate the distinction of dividends from overall capital gains, and then reduce the capital gains rate as to even out investment incentives.
But given the creators of the plan, I highly doubt perverse incentives arising from the dividend issue will be solved.
Among other things I’ve read are proposed changes in the tax treatment of Roth IRA’s, which is really bad because these are accounts on which income tax on the principle has already been paid. I opted for this kind of account over a 401k plan simply because I will have enough problems to worry about in old age without complicating life with IRS problems on top. Doing more to tax these accounts is double taxation and it is completely unfair to revisit them and further rip the pants off old ladies who already settled with the government and rely on these accounts to get by. It might be inappropriate, but the GOP gets the middle finger for that, especially if they carry through with this plan while leaving dividends alone.
Really, despite the apologies for inappropriate things having been said during the GOP’s ventures in class warfare, the Party’s purposeful ignorance of the way life is for average people apparently has not changed, and I am getting the idea that these people are hopelessly insular, irredeemably aristocratic as to cause more harm to the general welfare than good. It’s regretful that I can no longer vote for that.
What to vote for instead remains an open question. I’ve looked at the DNC time and again, and it seems to have a serious entrenchment of identity politics, forgetting that what is in a person’s heart and mind is what really matters. And they seem to have an objection to wealthy people having money and/or making more, unless it is themselves or their friends, while I simply do not. I believe people are entitled to what they earn and Democrats seem to go out of their way to demonize them as if the wealthy got that way by taking advantage of others. It’s a bad foundation for public policy to work from, and their anger and cynicism toward anyone who doesn’t drink their misguided identity Kool-Aid is sadly hypocritical and empty. Martin Luther King’s dream was for a person to be judged by the content of their character rather than the color of their skin, yet Democrats judge by the skin color and gender all the time; and I find it insulting to my intelligence.
All I really want is an opportunity to make something of myself and to be secure in the reasonable comfort bought with the work I do without worrying about it being taken away by, and for my children to have the same. The rest of the world can take care of itself. I do not need to be taught to hate, which both main political parties have adopted as key platform planks. I wish they would stop doing that and start worrying about what is good for everyone no matter who or what they are. We are all in this together, and we will get nowhere while at each other’s throats.