Republican Tax Hypocrisy

Republicans are famous for the catch-phrase they commonly use -- "No new Taxes". But don't misunderstand what they mean by that. While some people, like the teabaggers, think they mean no new taxes for anyone, that's not really true. They are just talking about new taxes on the rich (the only people doing well in this recession).

One of President Obama's job-creating efforts was to lower payroll taxes for workers. The idea was to give working people more money in their paychecks in the hopes that this would create more demand (the only job-creator) when they spent it -- and with the way workers have been ravaged by stagnant wages and rising prices, it was known they would have to spend it.

Did it work. Well, I suspect it saved more jobs already in existence that it did to create new ones. After all, the job-creation numbers haven't exactly been inspiring. But saving jobs is better than losing even more jobs than we already have lost, so I shelved my doubts about lowering the payroll taxes and supported the effort, especially since workers are the people in this economy that need some help -- along with the poor, the unemployed, and the elderly.

My doubts about the payroll tax being lowered wasn't because it wouldn't create demand or keep demand from dropping -- I think it does that. It was because it lowered the amount being paid into the Social Security Trust Fund, and that is strange since politicians are screaming about Social Security not having enough money. However, I'm smart enough to know that Social Security is fine for another twenty years at least, and I know that simply removing the cap on the income subject to payroll taxes (a move that would only affect the rich) would fully fund Social Security for many generations to come.

With the knowledge that there's an easy fix for Social Security, even at the lower payroll rates, and that American workers need every penny they can get in this recession, the lower payroll tax made sense. But it is fixing to run out (since it was instituted for only a brief time). President Obama and the Democrats would like to extend the lower payroll taxes. They don't think the economy is in good enough shape to raise taxes on struggling workers at this time -- and they are right.

But the Republicans have once again shown their hypocrisy when it comes to taxes. I don't know whether it is because they hate American workers or just because it is something proposed by the president (both are likely reasons), but the Republicans are again saying they oppose extending the payroll tax cuts for workers. Sen. Jon Kyl (R-Arizona) voiced the Republican position yesterday on Fox News. He said it was not a job-creator and the GOP would probably vote against it.

This is especially hypocritical since the Republicans are still pushing huge new tax cuts for the rich and the corporations (even though both are making record amounts of money and don't need any new tax cuts). They call that their "job creation" plan. Of course that would not create any new jobs since it would not increase demand for products or services -- both groups already have bulging bank accounts already and can afford to spend all they want. And even the rich people and corporations will not hire new workers when there is no increased demand. That just wouldn't make economic sense.

The truth is that the Republicans just want more tax cuts for themselves and their rich buddies. It is pure greed. They don't care about American workers, job creation, the budget, the economy, or anything else that doesn't put more money in their rich friends bank accounts or their own campaign chests. And when they talk about taxes and cuts, they are the true kings/queens of hypocrisy.