Warren Buffet Blows Off Tea Party Theory—Tax IS Bad For Business
I have written so many articles with the message that solution to our nation’s debt problem is not in cutting senior’s social security check, or increasing the eligibility age of Medicare that I am beginning to sound like a broken record, therefore, I decided to interject some fresh voices in favor of my argument, and let’s begin with the voice of the Oracle of Omaha.
I take pride with the fact that there is one billionaire in the country who is leaving a smaller carbon foot print than most middle class Americans. He lives in a house smaller than an average middle class family home, and drives a car older and cheaper than the people in the latter group do. Of course, I am talking about Warren Buffett, who has donated a significant amount of his estate to Bill and Melinda Gate Foundation, and the rest would follow at his death.
Warren Buffet had has been saying for a long time that to bring the US fiscal house in order we must increase taxes on the rich. Here is what he recently wrote in an opinion article in The New York Times, “OUR leaders have asked for “shared sacrifice.” But when they did the asking, they spared me. I checked with my mega-rich friends to learn what pain they were expecting. They, too, were left untouched.
While the poor and middle class fight for us in Afghanistan, and while most Americans struggle to make ends meet, we mega-rich continue to get our extraordinary tax breaks. Some of us are investment managers who earn billions from our daily labors but are allowed to classify our income as ‘carried interest,’ thereby getting a bargain 15 percent tax rate. Others own stock index futures for 10 minutes and have 60 percent of their gain taxed at 15 percent, as if they’d been long-term investors.”
Mind you readers, all these tax break laws that Mr. Buffet talks in here, had been instituted since Roland Reagan, and strengthened by Bill Clinton and George Bush. Buffet went on to declare that his last year’s federal tax bill was $6,938,744, (how many billionaires would dare this? – Scribe) and adds, “That sounds like a lot of money. But what I paid was only 17.4 percent of my taxable income — and that’s actually a lower percentage than was paid by any of the other 20 people in our office. Their tax burdens ranged from 33 percent to 41 percent and averaged 36 percent.”Continued on the next page