Why it is Necessary to Kill the Bush Tax Cuts for the Top 1%

It would seem that the debate surrounding the upcoming expiration of the Bush Tax Cuts and whether to extend them in the lame-duck has been lacking one thing, facts. I watched the arguments on the Sunday talk shows dominated by Republican talking heads repeating the same old unfounded mantra; increasing marginal tax rate on the rich would spell disaster for the economy. As I pointed out back in September, only 2% of American households earn over $250,000 a year and we are not even talking about raising the tax rate on household income, we are only talking about raising it on individuals who earn more than $200,000 (or $250,000 or 1,000,000 million depending on what goal post shifting politico you listen to).

It is important to remember that our country is in serious trouble. Even the Bowles-Simpson deficit commission has recommended a 3-1 ratio of spending cuts to tax increases in order to right this ship. But if you listen to the Republicans you would think that the magic pill is tax cuts and nothing else. In fact cuts in discretionary spending must be coupled with an increase in revenue. Either one without the other is a useless political gambit.

In trying to understand why it is important that we quit feeling sorry for the richest among us and accept that increasing their tax rate on income earned above $250,000 does not equal punishment nor does it spell doom for our economy one only needs to look at this incredibly revealing article in Business Insider from this Saturday entitled “15 Mind-Blowing Facts About Wealth and Inequality in America.” As the title indicates, it contains 15 info-graphics (only one of which will I show you below so click on through to see the rest) chock full of revealing information that should make is plainly clear why the allowing the Bush Tax Cuts to expire for the rich is the right thing to do.

The rich are getting richer and the poor are getting poorer. Cliché, sure, but it’s more true than at any time since the Gilded Age.

While politicians gloat about our “recovery,” our poor are getting poorer, our average wages are still falling behind inflation, and social mobility is at an all-time low.

But, yes, if you’re in that top 1%, life in America is grand.

The gap between the top 0.01% and everyone else hasn't been this big since the Roaring Twenties

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