taxes

Thanks to the following from the always excellent blog by Harvard Professor and former White House Council of Economic Advisors Chairman Greg Mankiw for finding the data behind the tax debate.   Pretty clear where the "shares" truly lie. Here is a link to the official report from the Cogressional Budget Office Here are the total effective federal tax rates for 2005, the most recent year ... read more

We often hear about 'big government' and how it's getting bigger.   I wanted to check the data to see if it's hyperbole or reality.   Its not hyperbole.   According to official government data (ironic) it turns out that government - Federal, state, local and military - has the single highest payroll of any "industry." The table below is from the Bureau of Economic Analysis' official income ... read more

"You know, the yelling and screaming about the rich - we want rich from around this country to move here. We love the rich people." - New York City Mayor Mike Bloomberg speaking Friday Bloomberg has it right by refusing to play into the populist uprising against families making more than $250,000 per year.   As Mayor of a city that relies heavily on the financial sector and the wealthy (1 ... read more

While campaigning, President Obama made the now-famous comment to the now-infamous plumber that he wants to "spread the wealth around" by raising taxes.   He certainly isn't alone these days in wanting to stick it to the wealthy.   Protesters at the G20 meeting, in the streets of New York City and on bus tours of AIG executives' homes are all calling for higher taxes and their populist ... read more

I appreciate all the thoughtful comments on my column on higher taxes and the economy.  There seems to be some misunderstanding of my primary point, however. My point was not to suggest that higher taxes equate to higher unemployment (though they may in specific consumer discretionary related segments of the economy such as boats and RVs that require much free cash flow to purchase), but ... read more

Following up on my entry yesterday about taxes... There is an interesting graphic in today's NY Post on how everyone in New York is gonna get socked in taxes.   Costs are going up for everyone, not just the wealthy. As the graphic indicates, even just a 1% increase in taxes will cost the family an extra $4,000 per year.  Combine that with the 4.6% jump on the federal side coming in two ... read more

Excellent article in today's Financial Times by Clive Crook. The premise is that even the coming tax increase on the wealthy will not raise enough revenue to fill the holes in the budget from the proposed spending programs. As Crook writes: In short, whether it intends to or not, Congress is leaning towards making the long-term deficit even bigger. It is preparing to underwrite a large ... read more

While the President touts his $7 per week tax cut for "95% of Americans," it looks like many states are ready and willing to take any savings right out of the taxpayer's' pocket. Numerous states are considering raising taxes to fill budget gaps, and it's not just on the rich.   According to the article, 10 states are now looking at some form of tax hike. From today's Wall Street Journal: ... read more

Lots of talk about taxes these days.   Wondering where your Federal tax dollars go?   Here is a nice chart from the Center on Budget and Policy Priorities And here's the same chart, for state spending ... read more

The "middle class tax cut" talked up for 95% of Americans should now begin appearing in paychecks. Given the level of publicity this is receiving, I am trying to follow the story and make sure the impact is actually happening and people are seeing more money.   One viewer told me she noticed $9 extra in her check this week. So if any of you notice less Federal withholding taken from your ... read more