In the United States today, there is a national debt of $16,174,991,521, 876 (usdebtclock.org). In order to pay off this debt, The United States government must tax its citizens. However, one controversy as the 2012 election approaches is how much citizens should have to pay and how the taxes should be distributed among different income groups. The next president must find a way to create a tax plan that is fair to citizens, yet also reduces the debt and puts citizens back to work. Federal, State, and local taxes in the United States are designed to generate revenue for the government for many reasons. The United States as a whole still feels that taxes are necessary for the well being of the government and its citizens. The government agrees that taxes should be used to fund schools, pave streets, and pay fireman and policeman in communities across the country. Citizens must pay these taxes in order to keep their country running smoothly. The government views taxes as a small price to pay to live in The United States. Mitt Romney advocates that his main priority would be creating jobs if he were to get elected as president. Romney believes that tax relief should be provided to the entire country. By cutting taxes, the middle class will be able to get back on its feet. The middle class, who have seen their income reduced by $4,300 (Debate). Romney’s reasoning for this tax cut is so that money will stay with citizens. Therefore, the citizens will end up spending more money to boost the economy. Romney wants to cut taxes because different income groups will be able to help each other. Romney believes that if in order for one particular class to benefit, In order to keep revenue coming, revenue that will pay off the national debt, Romney plans to lower deductions, credits and loopholes. For example, Romney will end the estate tax. The estate tax must be paid when transferring property at a person’s death (irs.gov). This tax provides an unnecessary reason for the government to tax citizens. This tax shows that the government is finding excuses to tax its citizens. Loopholes like the estate tax restrict citizens’ ability to live lives free of restraint from the government. In order to create jobs, Romney plans to lower taxes and restrictions on small businesses. Romney plans to relieve stress on the small businesses by implementing a 20% overall tax cut (taxpolicycenter.org). As a result, businesses will be able to pay more middle class workers. Romney believes that if tax rates are lowered, more people will work, and therefore more people will have to pay taxes. Romney wants to implement a strategy where the money starts with upper class citizens, moves down to the middle class, then down to the lower class. This strategy is known as trickle down economics. There are 23 million people out of work in the United States (Debate). By putting these people back to work using taxes, the national debt will be reduced. President Obama plans to let the Bush tax cut plan expire. By ignoring this plan, President Obama is ignoring all of the middle class and their small businesses. Also, he would not be using the different economic classes in order to reduce the debt. President Obama said, “Pass a bill extending tax cuts for the middle class, I will sign it tomorrow” (Epstein). This extension would be detrimental to the United States economy because it would give the middle class more of a break than they actually need. In order to get people back to work in this country, middle class citizens need to feel that they are the ones that the economy depends on. The middle class citizens are the ones that are not employed in this country. If the middle class is continued to be given tax breaks, the citizens will have to motivation to find work. The middle class citizens must realize that the economy will not be fixed by the government. Obama’s plan is flawed because he is not taking the entire economic spectrum into account. Obama is not able to see the relationship between the income classes. By giving breaks to the middle class, he does not allow for the country to work as a single unit. Due to his isolation of the middle class, Obama will not be able to get people back to work, and therefore the national debt will remain. Bibliography -N.p., n.d. Web. 18 Oct. 2012. <http://www.usdebtclock.org/>. -First 2012 Presidential Debate. N.d. Television. -"The Federal Tax Code and Income Inequality." Center for American Progress. N.p., n.d. Web. 18 Oct. 2012. <http://www.americanprogress.org/issues/tax-reform/report/2012/04/19/11404/the-federal-tax-code-and-income-inequality/>. -"TPC Tax Topics | Romney-plan." TPC Tax Topics | Romney-plan. N.p., n.d. Web. 18 Oct. 2012. <http://taxpolicycenter.org/taxtopics/romney-plan.cfm>. -Epstein, Jennifer. "Obama Backs Middle Class Tax Cut Extension." Politico. N.p., n.d. Web. 18 Oct. 2012. <http://www.politico.com/news/stories/0712/78238.html>.
MITT ROMNEY - TAXES- Thomas Barron
In the United States today, there is a national debt of $16,174,991,521, 876 (usdebtclock.org). In order to pay off this debt, The United States government must tax its citizens. However, one controversy as the 2012 election approaches is how much citizens should have to pay and how the taxes should be distributed among different income groups. The next president must find a way to create a tax plan that is fair to citizens, yet also reduces the debt and puts citizens back to work.Federal, State, and local taxes in the United States are designed to generate revenue for the government for many reasons. The United States as a whole still feels that taxes are necessary for the well being of the government and its citizens. The government agrees that taxes should be used to fund schools, pave streets, and pay fireman and policeman in communities across the country. Citizens must pay these taxes in order to keep their country running smoothly. The government views taxes as a small price to pay to live in The United States.
Mitt Romney advocates that his main priority would be creating jobs if he were to get elected as president. Romney believes that tax relief should be provided to the entire country. By cutting taxes, the middle class will be able to get back on its feet. The middle class, who have seen their income reduced by $4,300 (Debate). Romney’s reasoning for this tax cut is so that money will stay with citizens. Therefore, the citizens will end up spending more money to boost the economy. Romney wants to cut taxes because different income groups will be able to help each other. Romney believes that if in order for one particular class to benefit, In order to keep revenue coming, revenue that will pay off the national debt, Romney plans to lower deductions, credits and loopholes. For example, Romney will end the estate tax. The estate tax must be paid when transferring property at a person’s death (irs.gov). This tax provides an unnecessary reason for the government to tax citizens. This tax shows that the government is finding excuses to tax its citizens. Loopholes like the estate tax restrict citizens’ ability to live lives free of restraint from the government.
In order to create jobs, Romney plans to lower taxes and restrictions on small businesses. Romney plans to relieve stress on the small businesses by implementing a 20% overall tax cut (taxpolicycenter.org). As a result, businesses will be able to pay more middle class workers. Romney believes that if tax rates are lowered, more people will work, and therefore more people will have to pay taxes. Romney wants to implement a strategy where the money starts with upper class citizens, moves down to the middle class, then down to the lower class. This strategy is known as trickle down economics. There are 23 million people out of work in the United States (Debate). By putting these people back to work using taxes, the national debt will be reduced.
President Obama plans to let the Bush tax cut plan expire. By ignoring this plan, President Obama is ignoring all of the middle class and their small businesses. Also, he would not be using the different economic classes in order to reduce the debt. President Obama said, “Pass a bill extending tax cuts for the middle class, I will sign it tomorrow” (Epstein). This extension would be detrimental to the United States economy because it would give the middle class more of a break than they actually need. In order to get people back to work in this country, middle class citizens need to feel that they are the ones that the economy depends on. The middle class citizens are the ones that are not employed in this country. If the middle class is continued to be given tax breaks, the citizens will have to motivation to find work. The middle class citizens must realize that the economy will not be fixed by the government. Obama’s plan is flawed because he is not taking the entire economic spectrum into account. Obama is not able to see the relationship between the income classes. By giving breaks to the middle class, he does not allow for the country to work as a single unit. Due to his isolation of the middle class, Obama will not be able to get people back to work, and therefore the national debt will remain.
Bibliography
-N.p., n.d. Web. 18 Oct. 2012. <http://www.usdebtclock.org/>.
-First 2012 Presidential Debate. N.d. Television.
-"The Federal Tax Code and Income Inequality." Center for American Progress. N.p., n.d. Web. 18 Oct. 2012. <http://www.americanprogress.org/issues/tax-reform/report/2012/04/19/11404/the-federal-tax-code-and-income-inequality/>.
-"TPC Tax Topics | Romney-plan." TPC Tax Topics | Romney-plan. N.p., n.d. Web. 18 Oct. 2012. <http://taxpolicycenter.org/taxtopics/romney-plan.cfm>.
-Epstein, Jennifer. "Obama Backs Middle Class Tax Cut Extension." Politico. N.p., n.d. Web. 18 Oct. 2012. <http://www.politico.com/news/stories/0712/78238.html>.
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