Repeat after me: “Taxes are lower than ever before in this generation. We are NOT being overtaxed.”
It’s interesting that we’re shifting the tax burden to employment taxes rather than income taxes, and we’ve completely gutted the wealth taxes. But, we must ensure that the uberwealthy get an extra 100,000 dollars in tax relief, rather than the mere $4000 they would have without this capitulation. Remember, even without an extension of the tax cuts for income above $250,000 – everyone was set to have lower income taxes than before the “temporary” cuts of 2002. Marginal tax rates are not effective tax rates. Oh, and when Eric Cantor says half of all small business owners would have faced higher taxes (and therefore fired people obviously), that’s just a lie. The average small businees income is $40,000/year. That’s far below $250,000 for those who are bad at math (GOP – I’m looking at you). Now, here’s where it gets fun. Only 2.5% of business owners would have faced higher taxes, but those businesses account for 44% of the business income. So, if you want to claim that half the income from businesses would be taxed higher, you’re not far off. But, to claim that half of all small businesses would have been hit – that’s just bull. Also, there’s no solid definition of “small business” so maybe Cantor is thinking that Walmart and Best Buy are small. After all, Eric Cantor’s wife makes millions per year – wonder where his loyalties lie.