Posted by
Stefano on Monday, June 23, 2008 12:00:00 AM
Obama has recently affirmed his support for a windfall profits tax on oil companies. How in the world does he expect to lower gas prices by imposing special taxes on our private oil companies? For anyone who has an IRA or 401K invested in mutual funds, Obama is planning to effectively steal capital from your pension by reducing the book value of any oil companies owned by your pension fund through his special tax. This type of tax will increase oil prices due to the fact that oil companies will have less capital and less incentive to explore for oil thus decreasing supply.
In the past he has promised to nearly double capital gains taxes. History has shown that increasing capital gains taxes actually reduces tax revenue. Reducing capital gains taxes increases revenue. That is the reason his idol JFK ran on a platform calling for a reduction of capital gains taxes.
In 2009, the Bush tax cuts will disappear and we will experience the largest tax increase in our history. Obama will not stop this from happening and our economy will go down the tubes.
The debate on these subjects between the candidates should be:
1. Should corporate taxes be eliminated or just significantly reduced?
2. Should capital gains taxes be eliminated, significantly reduced, or phased out over a three to five year period?
3. Should we go to a flat tax to reduce the burden on tax payers or should we cut personal taxes further, or should we just make the Bush tax cuts permanent?
None of these options are even on Obama's radar. His answers to all of these situations are extreme and dangerous to our economy and our security.