Everything Should Be Cut In Economic Crisis

And I say this with full conviction as a strong supporter of a strong, efficient social welfare structure.

In times of economic crisis, such as now, there is no such thing as a sacred cow. Nobody's cow is too sacred to be cut. That means our far too wasteful, bloated military budget, social welfare, education...everything.

Not forever, mind you. But long enough to get out of the economic black hole. But even then, we need to find ways to restructure the systems so we can spend less for more benefits.

Will it be easy? No. But it is necessary.

 

Cuts don't work , look at Europe where we are experiencing cuts for the last 3 years.
The effects of reduced state spending are so dramatic that they are just not worth it

from The Irish Examiner

 

Of course cuts work, you just have to balance them - which is part of the EU's problem.

 

The huge issue for those countries is the euro dollar. Ireland cant just print more of em like the US can.

 

So from all countries under austerity everyone is doing it wrong?

 

No, austerity without revenue is bad no matter how you slice it.

 

But austerity drops tax revenue , i am in Greece and GNP has contracted like 25% in the years of crisis , tax revenue comes from taxing the GNP so government received 25% less only from the cuts not to mention -15% from rise in taxes .
To create revenue you need people to have money and make transactions, when 30% of your workforce is unemployed and 20% over retirement age cuts are only making things worst.
I understand that you have your ideas but Europe is there for everyone to see how wrong cuts are , if the "tax cliff" (austerity package) pass in the US you will have the same issues if not worst.

 

We don't have 30% of our workforce unemployed, we have just under 8%. Our problems are VERY different from yours and far simpler to fix, and it's almost 100% our debt and deficit, which cuts will help with.

And you and I must be talking about different things when we say "cuts," 'cause the cuts I'm talking about do absolutely nothing to touch revenue.

 

We could save billions from federal and state budgets by decriminalizing marijuana and making it legal. In fact, were it legal and sale-able we'd add to our tax base and tourism industry exponentially.

 

Ok, so the solution to all of economic woes is legalized pot. Got it

 

I think we agree. Lets go over the cliff, across the board cuts to all govt programs and a small tax increase on everyone that pays taxes. Sounds like a step in the right direction. Too bad that obozo and congress don't have the balls to tell it like it is.

 

I would have to agree with this.

Cuts are going to have to come and I'd rather they come from everywhere. It's why I don't want either of our political parties only cutting the things they want to cut. EVERYONE(by this I mean politicians and their parties) is going to have to cut things they hold dear. They'll also have to swallow some tax increases, something the Republicans refuse to do even though it means a tax hike for only 2% of Americans. That's the Republican party. Proudly fighting and stalling for 2% of America! Suddenly that "tent" they like to talk about is feeling a bit....small.

 

If we're cutting why increase taxes? Maybe...just maybe...we were never intended have central planning and an authoritarian federal government? We live in a country that is not a melting pot. Groups, enclaves, etc these things make a federal "one size fits all" approach to everything wasteful and unproductive. What causes poverty in one state may not by the chief factor in the next, or even certain drugs are relegated to particular cities and counties.

Our system is just a big frickin' pile of wasteful spending.

 

How many billions are we paying out to subsidize electric vehicles? It's $7,500.00 right now and Obama wants to raise it to $10,000.00.

 

The Liberals used massive voter fraud to steal the 2012 election.


Whatever happens, whatever spending is increased or cut, whatever happens to the economy, the LEFT is now responsible.


The Left TOOK the Democratic process of campaigns, debates, compremise, and bi-partisan politics from America by force of fraud.


Now the Left is solely responsible for the next decade or more.

 

Are you buying a new car for business? Uncle Sam has tax deals for you.

This year, there's an even bigger break than in the past for buying a behemoth gas-guzzler. If you're buying a smaller car, there's a new reason to buy one costing more than $31,000 instead of less. There's also a new nudge for leasing over buying.


The bottom line: This year Congress is running a large "bonus depreciation" special on cars weighing more than 6,000 pounds, such as the Cadillac Escalade and Nissan Armada. Taxpayers may deduct 100% of the car's cost in the first year—subject to the personal use disallowance, of course.

Even better: If this deduction creates a loss, it may be used against other wages or carried back to generate a refund. BMW, BMW.XE +0.21%General Motors, Ford, Jeep, Mercedes Benz, Porsche, Honda, Nissan, Toyota and Volkswagen VOW.XE -1.32%all have vehicles qualifying for this break.

Depreciation is far less generous for cars weighing less than 6,000 pounds. Cars costing more than $15,300 get first-year depreciation of $11,060 this year, but those costing more than $30,625 get more in years two through six than those costing less.

Take, for example, two cars bought in December 2010 for business use, one costing $20,000 and one costing $31,000. Each gets $11,060 of depreciation for 2010, but the more expensive one gets a $4,900 deduction for 2011, while the $20,000 car gets only $3,200, says one expert.

"Congress is clearly biased against smaller cars," says Joe Kristan, a CPA with Roth & Co. in Des Moines.


• Buy or lease? The decision of whether to lease or buy requires careful consideration and often depends on the lease terms.

In general, however, experts say to look hard at leasing if you want an expensive car weighing less than 6,000 pounds and plan to replace it every two years or so. The allowed deduction is for the business-use percentage of the lease price plus regular expenses (gas and so on) minus a small adjustment (the lease inclusion amount) that is smaller this year than in the past.

Are there special tax breaks for business use of fuel-efficient cars? All taxpayers are eligible for a dollar-for-dollar tax credit up to $7,500 on "plug-in electric motor vehicles" like the Chevy Volt.

Buyers who plan to use one in a business would first take the credit, says Mr. Kristan, and then figure depreciation based on the remaining purchase price.

Write to Laura Saunders at laura.saunders@wsj.com

Read more
http://online.wsj.com/article/SB10001424052748704681904576319301584731990.html

 

Farm Program Pays $1.3 Billion to People Who Don't Farm

EL CAMPO, Tex. -- Even though Donald R. Matthews put his sprawling new residence in the heart of rice country, he is no farmer. He is a 67-year-old asphalt contractor who wanted to build a dream house for his wife of 40 years.

Yet under a federal agriculture program approved by Congress, his 18-acre suburban lot receives about $1,300 in annual "direct payments," because years ago the land was used to grow rice.

Matthews is not alone. Nationwide, the federal government has paid at least $1.3 billion in subsidies for rice and other crops since 2000 to individuals who do no farming at all, according to an analysis of government records by The Washington Post.

Some of them collect hundreds of thousands of dollars without planting a seed. Mary Anna Hudson, 87, from the River Oaks neighborhood in Houston, has received $191,000 over the past decade. For Houston surgeon Jimmy Frank Howell, the total was $490,709.

http://www.washingtonpost.com/wp-dyn/content/article/2006/07/01/AR2006070100962.html

 

That needs to stop. Instead of paying them to not grow food, if they are going to spend the money instead of just getting rid of this like they should, pay them to grow the food and then donate it to food banks, or to countries where famine is a problem.

 

As always, the best answer in my opinion is a mix. Centrally planning everything is not going to work, but leaving everything up to states and local communities isn't going to work either. There has to be balance, because the flipside of your argument about poverty, is exactly that a good thing for one can be a bad thing for another. Government will never get it 100% right, but that's to be expected, because neither will anyone else. It's why there does need to be a good blend of powers between the federal government and smaller state and local governments. The country is too large to not have central planning however, and far too large to ever be isolated pseudo-independent communities that it was in the 19th and early 20th century. We've moved beyond that, and we're not going back.

 

Tax Advantages of a Home Based Business

I want you to do an exercise with me…the next time you drive to work. For every 2 miles you drive I want you to roll down your window and throw out a dollar bill. So just imagine yourself driving every 2 miles and dollar bill going out the window. That’s just one deduction that you may not be getting by having a home based business. Did you know that the average person who owns a home based business saves $3000-$6000 in tax savings every year? Think about the miles you drive to work and the annual vacations you take. Without owning a business, you virtually have no way of deducting any additional expenses from your gross income. Don’t feel like you are cheating the Government there are legitimate tax advantages that everyone can and should have with a home based business.

Beside the tax advantages on your tax return, working a home based business is fun, you will meet lots of new and exciting people and it can provide an extra source of income. Most home based businesses are less than $500 to start, and the tax deductions from one will far outweigh the cost of starting the business. Find one that you enjoy, and work it part-time to supplement your income, but more importantly it will give you some tax advantages that can lower your tax bill.

http://jimmyezzell.com/uncle-sam-home-based-business/

 

I agree with Thinker. Cut everything.

 

Is your vacation tax-deductible?- MSN Money


A recent AAA survey predicts the average amount spent by a family of four for vacation this year will be $692, down 14% from last year's $809.

One option for budget travel, especially if you travel for work, is to let Uncle Sam pick up part of the bill. Since some travel costs can be deducted as business expenses, there's nothing wrong with writing them off. It's why many professional organizations host their annual conferences at tourist hotspots.

But as CPA and Money Talks News founder Stacy Johnson explains, if you're traveling this path, be careful. Listen to his advice in the video below, and then read on for more.

http://money.msn.com/saving-money-tips/post.aspx?post=1acaa0ab-d5d3-4deb-ac2c-1bfa030bb894

 

This is the dumbassss ********* notion, that cutting govt. spending will "spur growth", when in fact the opposite is true.

 

First off we are not in an 'economic crisis' and if we were it isn't caused by spending.
Europe learned, quickly, that austerity doesn't work, it tanks the economy.
Why wouldn't we learn from their mistake? Why would we do what we know doesn't work?

 

U.S. Gives Rich Companies Billions For Overseas Ads | Judicial Watch

Enraging examples of government blowing taxpayer dollars abound, but this could easily take the cake; Uncle Sam has spent north of $2 billion to subsidize the advertising costs of wealthy private American companies and trade groups overseas.

In the meantime, the U.S. economy has amassed a record $15.6 trillion debt while the firms benefitting from publicly-financed ads have seen their profits grow immensely. Among them are some of the country’s biggest brand names and most profitable trade associations. They include Welch’s, Sunkist, Blue Diamond and the multi-billion-dollar California wine industry.

Under a little-known initiative called Market Access Program (MAP) the U.S. government uses tax dollars to help them promote their private market goods to foreign buyers. As unbelievable as this may seem, it’s all laid out in a report (appropriately titled “Treasure Map: The Market Access Program’s Bounty of Waste, Loot and Spoils Plundered from Taxpayers&#8221 released this week by an Oklahoma senator who’s calling for much-needed reform.

The question, of course, is why has it taken so long for an elected official to question this deplorable program? In 2012 alone, the businesses got more than $6 million from the government for overseas product promotion, the report says. It’s not like they’re hurting and need the public assistance. These are established, big-time firms that combined make billions of dollars in sales. Yet the American public paid for promotional ads such as reality television shows in India, wine tastings for foreign journalists and pet food and shampoo commercials.

http://www.judicialwatch.org/blog/2012/06/u-s-gives-rich-companies-billions-for-overseas-ads/