© 2016 Jim Spence - It is almost comical to watch the so-called tax reform process unfold.
The same thing happens every time our Senators and Congressmen seem to forget that rich people
are rich for a reason, and it is not because government has not tried hard enough to
confiscate what belongs to them. Rich people pay attention to what is going on
and they adapt quickly, often in advance. That is why they are rich.
Some people (Democrats) think that government should always dominate the free market to protect the people from businesses which they view as almost always predatory.
Essentially, they think that government is not part of the market.
Here is a news flash. Government has been part of the market
for thousands of years. Markets came first and then shortly after came government. It is a FUNDAMENTAL TRUTH that markets take into account every factor and force……especially the immense force of government.
Smart people have been navigating around government dominated markets for thousands of years. The biggest and worst governments that have ever ruled did so in places like Nazi Germany, the USSR, Communist China, North
Korea, and Venezuela. In all of these places the big government socialists actually completely destroyed private enterprise in favor of government controls of everything. They did so in the name of saving the people from predatory businesses. However, in doing so these great big governments WERE the entire market and in every case government turned out be a horrible combination of both predatory and incompetent.
In many places like China and Russia the big government proponents have since reformed
things a bit and allowed market forces to at least provide FOOD for the people. However, in places like Venezuela and North Korea the government continues to micro-manage everything including the food market. The result? People are
starving in Venezuela and North Korea while their leaders bash others for their failures.
Still U.S. Democrats think if government could just get bigger, it could create “income
equality” simply by soaking the rich even more. Democrats refuse to concede they can
do no such thing unless they drive down median incomes by a substantial margin,
as is the case in Venezuela and North Korea where almost everyone is equally poor.
Back to tax reform. Not all taxes are coming down. Some are going up. And already the phones are ringing. With Congress apparently set
to pass tax reform as soon as this evening or tomorrow, high state income taxpayers have an opportunity to snag some last minute tax savings that
will end on December 31st.
Assuming the tax reform bill passes the House today and the
Senate tonight or tomorrow, it will be wise for many high bracket taxpayers in
high tax states all around the country to PAY THEIR FINAL ESTIMATED STATE INCOME TAX PAYMENT THIS YEAR, instead of
waiting until January of next year. In 2018, subject to some restrictions, the state income tax deduction on your federal tax return will go away. The window for this significant deduction closes in just twelve days.
Again, this is the sort of thing that happens
every time there is a TAX INCREASE on something. Democrats and Republicans
never think of the consequences that are unintended. Mainly they don’t think
about these things because there are rarely any consequences for them for what they do to the rest of us.Don’t worry, the class warriors (Democrats) will continue to blame every ill in the world on rich people and try to change some other portion of their favorite confiscation procedures to tax the rich and help the poor, just like they do in Venezuela and North Korea. Sadly, in those places the poor people don't need any more help from big government worshipers. What they need is bread.
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