If New Years day is any prediction of how 2013 will go, things aren’t looking good for the wallets of American citizens…or the economy.
After months of scaring the public of the infamous “fiscal cliff”, Congress, at the very last second possible, came to a “deal”. And despite what the mainstream media and Congress seem to be leading most of the country to believe, your taxes are probably going up.
Most Americans will face higher federal taxes in 2013 — about 77% according to the Tax Policy Center. While the tax package Congress passed on New Years Day will protect 99% of Americans from an income tax increase, this legislation did nothing to prevent the Social Security payroll tax reduction from expiring. This 2% cut was worth about $1,000 to someone making $50,000 a year.
Along with an increased payroll tax, individuals making over $400,000 ($450,000 for married couples) will now being paying a federal income tax rate of 40% — up 5% from the rate under the Bush tax cuts. Many of the individuals now facing these higher tax rates are innovators and business owners who create jobs. But now, instead of putting 5% of their income into innovation, new jobs, and economic growth, it will go directly to the federal government.
And if you’re thinking, ‘well, if they gave in on tax increases for the wealthy, the GOP must have gotten some decent spending cuts in the deal,’ think again. For every $41 dollars of tax increases in the bill, there is a measly $1 in spending cuts.
But with Obama’s recent re-election and all of his rhetoric about everyone paying “their fair share”, you’d be lead to believe that there is an overwhelming amount of support for the policies in this so-called ‘fiscal cliff deal’ supported by the president and Democrats in Congress. This morning on radio, Glenn put the president’s fiscal plan and the definition of “fair share” into perspective.
“40% of their [the wealthy's] income now goes directly to the federal government and the waste in Washington. Now how much does the average person say is fair?” Glenn asked. “‘Pay your fair share’, that’s what the president always says, and this is why he always says it this way: ‘It’s time that people pay their fair share’. What is their fair share?”
That’s the question the Democrats never answer.
“The average American says, ‘I think the top tax rate should be under 20%’,” Glenn told listeners.
So 1/5th of Americans believe the highest tax rate should be under 20%, but what about the other 80%. They’re obviously in full support of increasing taxes the rich, right?
21% of Americans believe the top tax rate should be no higher than 20%; that’s makes 38% of Americans with the opinion that the highest rate should be 20% or less.
23% of Americans believe that 25% should be the highest rate.
Only 14% of the American public think a top rate of 30% is fair.
That’s now 75% of Americans that believe the top rate should be 30% or lower. But remember, at a top rate of 35% — the top tax rate under the Bush tax cuts before the deal that was passed yesterday — the president said the rich were not paying their fair share.
“Only 13% of Americans think that is reasonable,” Glenn pointed out.
That puts President Obama out-of-step with 88% of Americans, yet he and the press are declaring a deal that put the top tax rate at 40% a victory.
“And he’s saying that’s what Americans wanted him to do,” Pat commented.
But how many Americans actually believe a 40% top tax rate is reasonable? 4%. And over 45% is only 2% of Americans.
“So at 40% and above you’ve got 6% of America who thinks that’s fair; 6%. And that’s where we are now,” Pat recapped. “That’s crazy.”
“But if this is true, and I believe it’s true, how is this guy still the president of the United States?”
Glenn, Pat and Stu all had answers: the media, ignorance, ignorance because of the media, and of course, the current state of our culture.
“Nobody cares anymore. I’ll tell you this society is sicker than I thought it was. And it has nothing to do with the fiscal cliff or anything else,” Glenn said.
That’s the battle facing conservatives, and winning it is the only way to put a stop the massive growth of government, wasteful spending and tax increases.
“It is amazing to me, truly amazing to me, how far gone we are without even knowing it. Because the press does not do their work. The press just doesn’t do their job. The school system has indoctrinated our kids so far. It is ‑‑ it is beyond saying where we were in November, “Wow, we’ve lost the public in Washington. We can’t ‑‑ we lost Washington. We thought we had maybe some hold on Washington, you know, five years ago. No. That was a total lie. Then we thought, okay, we could just make a case and we could get people to understand but, no, that’s not it. Because of the media, that’s not even true. But it’s not even the media — it is the educational system. But it’s not even the educational system. That’s where we left you. It’s not just the educational system. It’s the entire culture. The evil that we seek to avoid is in our own home now, and it is about to turbo.”
So where do we go from here? Glenn is focusing on solutions this year, and it all starts tonight on his first show of 2013. Make sure to tune in at 5pm ET on TheBlaze TV.