Thursday, May 28, 2009

Broken Promises: National Sales tax

Washington Post reported yesterday that rumor on Capitol Hill is the consideration of a national sales tax. Now I personally like the idea of a national sales tax only if a flat tax with no tax credits is instituted. The purpose of the national sales tax is to assist in paying for Universal Healthcare and paying down the Trillion dollar deficit that President Obama’s budget brings upon the United States.

President Obama as a candidate said that he will not increase taxes but if he were to sign into law a national sales tax he will do just that. A national sales tax will not hurt the wealthy; rather have dire consequences on the middle class and the poor. President Obama’s $787 Billion stimulus bill and his $1.2 Trillion budget have already saddled my grandchildren with a debt that will be difficult to pay back unless everyone is paying a tax rate of 75%.

Socialism is the goal of President Obama. Shredding the U.S. Constitution is a secondary goal. In his first five months on the job, President Obama has nationalized the banks, fired the CEO of Chrysler, and is on the verge of nationalizing General Motors. With Cap and Trade, Universal Healthcare, and further spending coming down the pipe line, who do Americans think Government will pay for it all? During President Obama’s attack on Credit Card industry, he said that American consumers need to be fiscally responsible. Why is it that our own Government is not leading the cause?

As a private citizen, we do not have the opportunity to raise our incomes like the Government does with taxes. Americans need only look at California. California has a $24M budget shortfall and has looked to the National Government for a handout. Citizens of California are up in arms over the potential cuts that will need to be made to balance their budget. Perhaps voting in representatives with fiscal restraint would not have California in their current situation.

Now I should be fair. President Obama did announce he found $17B in annual earmarks to cut. Then again $17B is a drop in the bucket of a $1.2T budget.