Posts Tagged ‘Taxes’

Harry The Hypocite And His Mining Buddies “AKA Campaign Supporters”

While Harry the Hypocrite and his fellow Democrats cry about the big oil companies profits old Harry is helping to screw the taxpayer again. As usual the Democrats are playing the game of “Its ok when we do it, but bad whenever our opponents do it”. Kinda like during the presidential campaign when Obama received twice the dirty money from “Wall Street” but yet they still bashed Republicans as those evil takers of Wall Street money. Harry and his friends “Do as I say, not as I do” politics are a joke. While they whine and cry and demand transpareny from corporate america they turn around and fight against transparency for there big unions supporters. They advocate for laws like the “Fairness Doctrine” aimed at muzzling conservative talk radio but have no problem with 95% of the media that happens to tilt in there favor. During the recent debate on what fat to cut out of the federal budget old Harry just could not bear to see his “Cowboy Poetry” earmark cut but raising taxes was ok. With the price of gold and other minerals skyrocketing why should’nt the companies many whom are foreign not be asked to pay there fair share. Its bad enough that friends of the Obama adminstration like G.E. don’t pay any taxes but why are we letting foreign corporate mining interests slide by scott free?

Mineral Mined On Federal Land Spared Taxes By Democrat Harry Reid

Minerals Mined on Federal Land Spared Taxes, Aided by Senator Reid

By William Lajeunesse

While Democrats rip into oil and gas companies for failing to pay their “fair share” because of tax breaks Congress gave them, another special interest break they’re not talking about is the billions of dollars worth of gold, silver, uranium and other minerals that mining companies take off federal lands for which they pay nothing.

“They don’t pay a dime, not a penny for the gold and uranium they remove from public lands,” says Steve Ellis of Taxpayers for Common Sense. “Virtually every other country in world charges a royalty on hard rock minerals. It is absurd that we don’t do this.”

Both mining and oil companies pay corporate taxes, and both get generous write-offs in the tax code.

But mining companies get two huge subsidies oil companies do not: leases and royalties.

Mining entities pay no more than $5 an acre for land from which they extract billions of dollars worth of minerals. By contrast, multinational oil and gas firms are required to competitively bid against one another just for the right to drill on specific leases. Those bids typically pay taxpayers from tens to hundreds of millions of dollars, depending on how much oil a company believes is in the field.

A royalty or fee represents an annual percentage the federal government charges based on the value of the resource extracted from public lands. For oil and other fuel sources, the numbers are in the double-digits.

The government receives 12.5 percent in royalties for onshore oil and gas while the royalties for offshore drilling amount to18.75 percent. For coal, that number is 8 percent for underground mining and 12.5 percent for surface mining.

For gold, silver, uranium and copper mining: 0 percent

Reformers in Congress tried to raise the last figure but failed.

In 1993, the House passed a bill imposing an 8 percent royalty, but Sen. Harry Reid, D-Nev., helped kill an agreement in the Senate. In 2007, West Virginia Rep. Nick Rahall helped pass a bill in the House that imposed a 4 percent royalty on gross revenue on existing operations and 8 percent on new operations. Again Reid stepped in, saying the House bill “won’t stand over here.”

“When you talk about collecting a royalty off the top, irrespective of production costs, that is an unsustainable situation,” said Carol Raulston of the National Mining Association.

In 2008, according to the National Mining Association, about $20 billion worth of metals were sold in the U.S. from mines here covered by existing law. With a 4 percent royalty, that translates into at least a $4 billion in payments for minerals owned by U.S. taxpayers.

“This is a pirate story with the public lands profiteers robbing the American people blind,” Rahall said in November 2007. “The robbery of American gold and silver must stop.”

But it hasn’t.

Since taking office, Reid has received $750,000 in campaign contributions from the mining industry, according to the Center for Responsive Politics. That number includes $127,000 from Nevada’s two largest gold producers in the 2010 election. Together, those two companies had profits of $5 billion last year yet they paid taxpayers nothing for minerals taken off public lands.

“Senator Reid through the years has aligned himself with those interests to thwart mining law reforms time and time again,” Ellis said.

While Ellis and others blame Reid, the mining association is happy to have him in their corner.

“Senator Reid is one among many who don’t want to see domestic mining killed off in this country,” Raulston said.

According to Yahoo Finance, three of the 10 most profitable industries in the U.S. right now are in mining, including copper, gold and silver, which enjoy a 47 percent net-profit margin. Oil and gas exploration, by contrast, ranks 50th with a net margin of 11 percent.

Yet oil and gas are singled out, particularly by Reid.

“We should all agree, in the interest of fairness, common sense and saving taxpayer money that we can cut out corporate welfare to those big oil firms who need it the least,” Reid said last week.

“Senator Reid has always been open to reasonable hardrock mining reform that protects jobs while ensuring the industry pays its fair share,” a Reid spokesman said. “However, I’d want to change the subject too if I had to defend billions in government giveaways to big oil corporations with gas prices so high in Nevada and across the country.”

President Obama weighed in on Saturday, noting that the “American people shouldn’t be subsidizing oil companies at a time when they’re making near-record profits.”

Gold and silver both closed last week near record highs.

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Obama, Pelosi and Reids Massive Tax Hike Looming

Every day the importance of purging Washington of Obama,Pelosi and Reid along with the rest of the lunatics that make up the Democratic party. There are more then a few Republicans they need to be tossed out on there ass too. The massive growth of the federal government has to be reversed, this growth is choking are free market economy to death. Every dollar taken in by the government is another dollar wasted, the bloated incompetent federal system is incapable of matching the private sectors cost advantages. Between the regulatory issues, employee unions and bureaucrats the federal government costs are skyrocketing and the taxpayers are not receiving what where paying for. Everyday House and Senate members dream up new and more insane ways to drain our dwindling incomes. I cannot understand why more of my fellow Americans are not out in the streets protesting this madness. Every new program, every budget increase, every automatic salary hike, every earmark is more money out of your wallet that we all work hard for. These clowns like Obama are so used to the comforts and perks of government employment they just don’t get. Obama, Pelosi and Reid have no clue about creating jobs, FDR’s spending didn’t create jobs in the 30’s and Obama’s spending is not creating jobs now or will it ever. All Obama’s spending is draining the federal budget while dollars to pay the bills are not there to pay the bills. Every dollar Obama spends digs are nation into a deeper hole that is soon going to reach a point of no return. Every day we see the effects of the massive debt in the form of a deflated dollar, which equates to Americans paying more for less. The size of the federal government must be drastically slashed. Hundreds of millions of dollars are wasted by bureaucrats who answer to know one and cannot be fired thanks to unions, worse yet federal pensions are often double or triple that of private sector employees. The money involved in elections result in senators and house members spending are hard earned tax dollars on wastefull earmarks and pork barrel projects to payback there donors. Our elected representative act more like spoiled little children when tax payers push back and demand even the most minor accountability. The folks in Washington no longer represent the middle-class the are slaves to special interest of all types. The taxes we are forced to pay benefit small pockets of loud voices and political cronies. The Obama, Pelosi and Reid crowd sure know how to spend our nations wealth and its obvious to anyone but the kool-aid drinkers they have no clue how to create wealth and prosperity.

Six Months Until Massive Tax Hikes

Tax Tsunami on Horizon
After Election Day
From Ryan Ellis

In just 60 days, some of the largest tax hikes in the history of America will take effect. They will hit families and small businesses in three great waves on January 1, 2011.

First Wave: Expiration of 2001 and 2003 Tax Relief

In 2001 and 2003, the GOP Congress enacted several tax cuts for investors, small business owners, and families. These will all expire on January 1, 2011:

Personal income tax rates will rise. The top income tax rate will rise from 35 to 39.6 percent (this is also the rate at which two-thirds of small business profits are taxed). The lowest rate will rise from 10 to 15 percent. All the rates in between will also rise. Itemized deductions and personal exemptions will again phase out, which has the same mathematical effect as higher marginal tax rates. The full list of marginal rate hikes is below:

The 10% bracket rises to an expanded 15%
The 25% bracket rises to 28%
The 28% bracket rises to 31%
The 33% bracket rises to 36%
The 35% bracket rises to 39.6%

Higher taxes on marriage and family. The “marriage penalty” (narrower tax brackets for married couples) will return from the first dollar of income. The child tax credit will be cut in half from $1000 to $500 per child. The standard deduction will no longer be doubled for married couples relative to the single level. The dependent care tax credit will be cut.

The return of the Death Tax. This year, there is no death tax. For those dying on or after January 1 2011, there is a 55 percent top death tax rate on estates over $1 million. A person leaving behind two homes and a retirement account could easily pass along a death tax bill to their loved ones.

Higher tax rates on savers and investors. The capital gains tax will rise from 15 percent this year to 20 percent in 2011. The top dividends tax will rise from 15 percent this year to 39.6 percent in 2011. These rates will rise another 3.8 percent in 2013.

Second Wave: Obamacare

There are over twenty new or higher taxes in Obamacare. Several will first go into effect on January 1, 2011. They include:

The Tanning Tax. This went into effect on July 1st of this year. It imposes a new, 10% excise tax on getting a tan at a tanning salon. There is no exemption for tanners making less than $250,000 per year.

The “Medicine Cabinet Tax” Thanks to Obamacare, Americans will no longer be able to use health savings account (HSA), flexible spending account (FSA), or health reimbursement (HRA) pre-tax dollars to purchase non-prescription, over-the-counter medicines (except insulin).

The HSA Withdrawal Tax Hike. This provision of Obamacare increases the additional tax on non-medical early withdrawals from an HSA from 10 to 20 percent, disadvantaging them relative to IRAs and other tax-advantaged accounts, which remain at 10 percent.

Brand Name Drug Tax. Starting next year, there will be a multi-billion dollar tax imposed on name-brand drug manufacturers. This tax, like all excise taxes, will raise the price of medicine, hurting everyone.

Economic Substance Doctrine. The IRS is now empowered to disallow perfectly-legal tax deductions and maneuvers merely because it judges that the deduction or action lacks “economic substance.” This is obviously an arbitrary empowerment of IRS agents.

Third Wave: The Alternative Minimum Tax and Employer Tax Hikes

When Americans prepare to file their tax returns in January of 2011, they’ll be in for a nasty surprise—the AMT won’t be held harmless, and many tax relief provisions will have expired. The major items include:

The AMT will ensnare over 28 million families, up from 4 million last year. According to the left-leaning Tax Policy Center, Congress’ failure to index the AMT will lead to an explosion of AMT taxpaying families—rising from 4 million last year to 28.5 million. These families will have to calculate their tax burdens twice, and pay taxes at the higher level. The AMT was created in 1969 to ensnare a handful of taxpayers.

Homeowner Paperwork Tax Burden. President Obama recently signed a small business bill which has several tax hikes and tax breaks. One of the tax hikes requires the 10 million homeowners who rent out second homes and vacation homes to issue burdensome “1099-MISC” forms to everyone with whom they do more than a small amount of business. This will result in millions of wasted hours filling out paperwork and being chased by the IRS. 90% of people who rent out homes make less than $200,000 per year.

Taxes will be raised on all types of businesses. There are literally scores of tax hikes on business that will take place. The biggest is the loss of the “research and experimentation tax credit,” but there are many, many others. Combining high marginal tax rates with the loss of this tax relief will cost jobs.

Tax Benefits for Education and Teaching Reduced. The deduction for tuition and fees will not be available. Tax credits for education will be limited. Teachers will no longer be able to deduct classroom expenses. Coverdell Education Savings Accounts will be cut. Employer-provided educational assistance is curtailed. The student loan interest deduction will be disallowed for hundreds of thousands of families.

Charitable Contributions from IRAs no longer allowed. Until this year, a retired person with an IRA could contribute up to $100,000 per year directly to a charity from their IRA. This contribution also counts toward an annual “required minimum distribution.” This ability will no longer be there.

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Its Your Money and Obama,Reid & Pelosi is Pissing it Away.

From the Washington Examiner here is yet one more example of the Federal Government run amok under Obama and Pelosi and Reid. Folks its your money that these gangsters are stealing, every year you work even more time just to pay
ever increasing taxes while each dollar you earn buys less. People why aren’t you in the streets demanding these retribution from these gangsters. Every year your quality of life decreases while these maggots spend your hard earned dollars. How about Pelosi spending $18k a month for her new office, Roll Call reported Monday that Pelosi’s new office space costs almost double that of the next-highest rental office.

Is she royalty

Bonus bonanza for federal workers
Examiner Editorial
June 16, 2010
President Obama, shown surrounded by White House aides, instituted a pay freeze for top aides. He’s done little to control government pay beyond this symbolic gesture. (Pete Souza/AP, The White House )

Under the Obama administration, the government is doing such a good job that it’s decided to reward itself. Last year, Uncle Sam paid out $408 million in bonuses to 1.3 million federal workers, according to the Asbury Park Press, which obtained the information through a Freedom of Information Act request. That’s about $80 million more than the previous year. About one in four federal workers received a bonus, and awards ranged from $25 to, in the case of one lucky State Department worker, $94,500.

That $408 million figure only counts bonuses that were handed out to about 65 percent of the federal work force. The FOI request didn’t cover awards handed out by the Defense and Treasury departments, security agencies, the White House, Congress and various other federal agencies and commissions. In 2008, the last year information was available, the Department of Defense alone handed out $92 million in bonuses to its 687,000 employees.

Federal bonuses are being doled out liberally, even as federal salaries are exploding. From December 2007 through June 2009, the number of federal workers earning six figures increased from 14 to 19 percent. In 2008, average federal compensation, including pay and benefits, was $119,982 — considerably more than the $59,909 average in the private sector, according to the Commerce Department’s Bureau of Economic Analysis. In the midst of a brutal economic downturn that saw millions of jobs lost and unemployment soar above 10 percent, the Office of Personnel Management data shows the federal workforce actually added nearly 100,000 jobs from December 2008 to December 2009.

In theory, introduction of bonuses and pay-for-performance measures in the federal workforce was a positive reform. However, this boom in federal bonuses suggests an “all carrot and no stick” approach to federal performance. For bureaucrats, job security is a non-issue, and they already earn twice as much as an average American just for showing up to work.

Shortly after he assumed office last year, Obama instituted a pay freeze for top White House Aides earning more than $100,000, saying this would “restore that faith in government without which we cannot deliver the changes we were sent here to make.” The president made it clear that he knows egregious federal salaries are a problem, yet he’s done little beyond this symbolic gesture to address the problem. Actually doing something to rein in the runaway federal bureaucracy would be change taxpayers can believe in.

Read more at the Washington Examiner:

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