"If President Obama and the House and Senate don't collaborate to extend expiring tax rate provisions by Dec. 31, Americans face a $500 billion tax increase in 2013, according to the Tax Foundation. <...>
Today, capital gains and dividends are taxed at a maximum rate of 15%. Without intervention by Congress, the top rate on capital gains will rise to 20%, while dividends will be taxed at the same rate as ordinary income. Also, due to a provision of the Affordable Care Act that takes effect Jan. 1, taxpayers with income exceeding $200,000 ($250,000 for married couples filing jointly) would pay even higher effective rates, with a new 3.8% Medicare tax on certain net investment income stacked on top of the higher income tax. <...>
Barring intervention, a lower $1 million estate tax exemption (down from more than $5 million for 2012) will expose many more families to the tax, and the maximum rate will soar from 35% to 55%. <...>
Individuals' share of their Social Security taxes would jump from the temporary 4.2% to 6.2%; the FICA portion of the self-employment tax rate would rise from 10.4% to 12.4%. <...>
Deductions for state and local sales taxes, higher education and teachers' classroom supplies would vanish. <...>"And on and on and on, describing a government poised to reach ever deeper into your pocket. To what end? Nobody can say. This will have no positive effect on the deficit or the debt, and likely will negatively affect the economy.
Lost in all the discussion is the growing "right" of the government to claim our incomes and wealth as the government's piggy bank, even as its property. The Constitution provides one major task to the government, defense of the nation. Almost all the rest of the functions assumed by the government are, at best, "optional." They result from the growing divide between voters and taxpayers, between takers and makers.
Got to stop blogging now, I see the exit sign for Greece coming up on the left . . .