CBO study shows tax breaks for multi-national corporations and wealthy will cost us $12 trillion over the next decade.

                   A new report from the CBO shows that the top 10 U.S. tax deductions, credits and exclisions ensure that over $12 trillion in tax revenues will be gifted to multi-national corporations and the wealthiest Americans over the next decade. Nearly all of the benefits will be accrued by the wealthiest Americans. The tax loopholes have been written into the tax code by a bought and paid for Congress, that recieves its marching orders from multi-national corporations and wealthy Americans that dominate campaign finance.

The study shows that the top 20% of American income earners will recieve more than half of the $900 billion in benefits from the inexcusable tax code in 2013 alone. Adding insult to injury, 70% of the total benefits go to the top 1% of income earners. The study was requested by House Democrats.

Democrats say the results support President Obama’s approach to tax reform and defecit reduction. Raising revenues by closing tax loopholes and deductions that are being abused by the wealthiest Americans. The National Debt is $16 trillion and we will lose another $12 trillion in tax revenues over the next decade, that equals $28 trillion without adding Government spending. If we close half of those loopholes that will nearly cut the National Debt in half, although it would nevet happen that way. Why are Republicans fighting against Tax Reform like this, when they claim the National Debt is a priority? Is it the Grover Norquist anti-tax pledge or the hate for President Obama?

3 of the top 5 tax breaks, a $2 trillion exvlusion of net pension contributions and earnings over a decade, the $1 trillion deduction for mortgage interest and the $1.1 trillion deduction for State and Local Taxes also disproportionately benefit the top 20% of income earners. The Republican party likes to pretend the middle class is swimming in government aid. These tax breaks that benefit only the wealthiest Americans are blowing up our defecit and those who need it least.

13% of those tax breaks will go to the middle class and 8% to the lowest income bracket. This again shows a disproportionately large gap between the haves and have nots. This will continue the growth of incone inequality in our country. The larger the incone inequality, the more it hurts our economy and our National Debt will continue growing.

These things are in plain sight. A look into recent history shows that the Republican economic theory doesn’t work. They do not seem concerned with the outcome, as long as they and their corporate sponsors aren’t effected. This is a horrible way to run a country. Eventually even the wealthy will be effected by this economic theory. Republicans will cut off their nose to spite their face when it comes to President Obama, their hate for him blinds them.

My Father-in-law says it best. The Republicans only care about the rich and the Democrats take care of the rest of us.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s