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LEFT TURN/RIGHT TURN
Mountain Views News Saturday, February 4, 2012
HOWARD Hays As I See It
GREG Welborn
The Truth About Taxes
“They understand it’s a
little bit of ‘uppity-ism’”
- Rush Limbaugh
The radio entertainer
offered that excuse for
the scattered booing
upon the introduction of
Michelle Obama at a recent
NASCAR event. The First
Lady was there along with
Dr. Jill Biden and wounded
Iraq/Afghanistan vet Sgt.
Andrew Berry, with wife
and kids, in recognition of NASCAR’s gift of 5,000
tickets to military veterans and their families.
The term “uppity” was reportedly introduced
in a Joel Chandler Harris “Uncle Remus” story,
and in the late-nineteenth century was primarily
used by African-Americans among themselves.
Racially-coded language has seen resurgence
over the past three years. Soon after the
inauguration, Sen. Jim DeMint (R-SC) predicted
that defeat of President Obama’s healthcare
initiative “will break him”. Historically, the
expression “break” was applied to farm animals
and uncooperative slaves.
On a recent HBO Bill Maher show, some on the
panel argued that such treatment of a president
is engaged in by “both sides”. Maher responded
with a direct “No, it’s not”, and pointed out the
unprecedented doubt over whether the incumbent
is constitutionally qualified to hold office.
A CBS News poll from last spring found 45%
of Republicans believing President Obama was
not born in the United States, with another 22%
saying they didn’t know – leaving only a third of
Republicans who’ll concede he has a legitimate
claim to the office. (A poll conducted by Farleigh
University in New Jersey last November found
viewers of Fox News to be less informed on
current events than those who watched no news
at all.)
As the election approaches, misinformation
is encouraged. An iconic image from the 2008
campaign is the woman at a town hall event for
Republican John McCain stating that Obama “is
an Arab”, and then McCain gently correcting,
“No ma’am, he’s not”. At a recent town hall for
Rick Santorum, when a participant claimed the
Obama presidency was illegitimate because of his
not being born here, Santorum just smiled and
moved on.
In this atmosphere, it’s easier to rationalize
allegiance to a campaign, rather than a country.
On the HBO show, Rep. Dana Rohrabacher (R-
CA) was asked by Bill Maher what, if anything, he
saw congress working with the president on in the
next few months. The congressman replied there
was nothing; that the House of Representatives
should simply bide time for the next ten months
until the election.
While racial issues might be muted, those of
class are not. The founding principles of our
country are turned on their head when President
Obama’s background as a community organizer,
helping empower citizens to become participants
in our democracy, is derided, while candidates
urge those of us in the 99% to be content relying
on the benevolence of “our betters”.
According to tax disclosures, Republican front-
runner Mitt Romney makes more in a day than
the average American makes in a year; in a single
week he “earns” enough to qualify for the upper
1%.
Bill Maher showed his audience pictures of
Henry Ford standing beside a Model T, Walt
Disney holding a drawing of Mickey Mouse, and
a young Steve Jobs with a primitive Macintosh.
In his column last week, Greg Welborn stated,
“Wealth doesn’t just exist. It has to be created.”
Maher was referencing those who create wealth.
Romney symbolizes those who siphon wealth
from those who create it into the hands of those
presuming entitlement to control it.
An aspect of “uppity-ism” is confusion over
who is rightfully owed deference. In the case
of Rep. Rohrabacher and fellow Republicans,
deference is not paid to constituents or the
President of the United States, but to lobbyists like
Grover Norquist. Rather than simply pledging
to support the Constitution, Republicans pledge
fealty to Norquist, who warned that with a
Republican Senate majority, President Obama
faces impeachment should he dare allow the Bush
tax cuts for millionaires to expire.
Republicans have been frustrated by the
“uppity” insistence of the president to make
decisions based on the best interests of all
Americans. Last December, they allowed
extension of the payroll tax cut for 160 million
Americans only on condition the president agree
to make a decision on the Keystone XL oil pipeline
within 60 days. Two weeks ago, President Obama
rejected the pipeline because of “the arbitrary
nature of a deadline that prevented the State
Department from gathering the information
necessary to approve the project and protect the
American people.”
(Last week, Greg wrote that the Obama
administration “turned its back on the promise
of decreasing dependence on Middle East oil . .
. “, but it’s unclear what transporting oil from
Canada to the Gulf Coast for shipment to Asia
has to do with our “dependence on Middle East
Oil”.)
Now, House Speaker John Boehner (R-OH)
warns that unless the president changes his mind
and agrees to fall in line, it could jeopardize
the energy and Infrastructure act due for
consideration later this month, as well as another
extension of the payroll tax cut. Republicans and
their Speaker do not defer to the president or the
potential tens of thousands who could be working
rebuilding our highways, but to the Keystone
pipeline and its chief lobbyist – Grover Norquist.
Over the past few weeks media attention has
focused on the Republican primaries, with not
much heard from the Democratic side – and
Republicans in congress have taken that as license
to avoid actual governing. Rush Limbaugh heard
a reaction to “uppity-ism” at the NASCAR event,
but I heard more cheers than boos. I also heard
a call to those who’ve been sitting back watching
Republicans beat each other up in the primaries;
a call that it’s time to get up and get into the fight
ourselves; a call that came from the First Lady
and Dr. Biden as they looked out over the track
and shouted, “Gentlemen, start your engines!”
There’s no question that one of the biggest issues
in the upcoming election is taxes. Sadly, it’s one of
the least understood issues, which also attracts an
inordinate amount of lies, so let’s spend some time
unpacking the truth about taxes.
Let’s start with the myth that Mitt Romney
somehow is paying less than the average secretary.
I don’t think anyone really believes that in actual
dollars, Mr. Romney is paying less than a secretary.
The argument is made based on the fact that Mr.
Romney “only” paid 15% while the secretary is
supposed to have paid 35%. The reality, according
to the Congressional Budget Office, is that the top
1% pay an average affective tax rate of 19%, while
the middle class pay a 12% average rate, and the
bottom 20% pay an average rate of -5%. You read
that correctly. The bottom 20% actually receive
more in tax credits and rebates than they pay into
the system.
Further to this issue, what the CBO report doesn’t
mention is that the vast majority of income, which
is taxed at “only” 15%, is comprised of dividends
paid by corporations. Dividends are not deductible
at the corporate level. Dividends are actually taxed
at about 35% at the corporate level before the owner
gets to pay himself, where they are then taxed at
Mr. Romney’s seemingly small 15%. The actual
affective tax rate is about 45%.
While we’re on the topic of corporations, let’s
look at that old lie, repeated again in the President’s
last state of the union address, that “companies get
tax breaks for moving jobs and profits overseas”.
The truth is that companies are allowed to deduct
the legitimate costs of doing business, including
wages, no matter where the costs are incurred. If
GM (taken over by the government by the way)
pays a worker $10,000 in the U.S. or $10,000 in
South America, either one is deductible. Likewise,
a company pays income taxes wherever they are
incurred, based on each country’s tax rates. What
the U.S. wisely does is to give credit for taxes paid
in a foreign country. Were it not to do so, U.S.
companies would be paying double taxes – once in
the foreign country and then again in the U.S.
More important on this particular point is the
fact that the U.S. has the second highest (only
behind Japan) corporate tax rate in the world,
according to the OECD. Being tax-wise is hardly a
crime, or at least it shouldn’t be. With the average
corporate tax rate in the
world at 26%, and some
European countries
offering 12%, whose fault
is it that U.S. corporations
move facilities overseas?
Me thinks the fault lies
with Congress.
Perhaps we should also
spend a wee bit of time
discussing who else does
their patriotic best to
avoid taxes. Remember, it was one of our greatest
supreme court justices who said that paying the
least amount of taxes legally possible under the
law is absolutely legal. Sounds redundant, but
it needed to be said. Since every American does
this, I might add that it seems pretty ethical and
normal to me. But let’s look at the people who
scream the most about the “rich” avoiding taxes.
By and large, the screamers are liberal politicians,
but they themselves are among the most prolific
tax avoiders.
Uber-liberal, John Edwards used a series of
corporations to legally avoid paying $600K in
Medicare payroll taxes. Ohio Democratic Senator,
Howard Metzenbaum, actually moved to Florida
(no state income taxes there) to legally avoid
paying millions of his home state’s taxes. Super-
rich Liberal, Senator John Kerry, went so far as to
“claim” he moved his yacht from Massachusetts to
Rhode Island to legally avoid paying $500K in state
excise taxes.
The truth about taxes is three-fold: We all try to
pay as little as we can: The rich pay way more than
their fair share. And politicians who object to athis
are hypocritical at best, but more often deliberately
deceitful. Let’s try to deal with the real issue this
election cycle. We all pay way too much in taxes,
and the government still spends more than we pay
in.
Gregory J. Welborn is an independent opinion
columnist. He writes and speaks frequently on
political, economic and social issues. His columns
have appeared in publications such as The Los
Angeles Daily News, The Orange County Register,
The Wall Street Journal and USA Today. He can be
reached at gwelborn@mvobserver.com.
TINA Dupuy
THE GOP: PREACHING THE
PROSPERITY GOSPEL
One of the richest
men in the country,
ranking in the 0.006
percent of Americans,
likes to accuse the
President of creating an
“entitlement society.”
Mitt Romney, the heir
apparent, next in line
GOP nominee … is against entitlement.
When I hear “entitlement society,” I think
“country club.” But When Mitt uses that phrase
he doesn’t mean rich guys like him, given all the
advantages of wealth, who are now enjoying its
comforts – he means the rest of us. Yes, Mitt is
against an “entitlement society” because that
involves too many people, and not just him and his
ilk. It’s not the “entitlement” he contests – it’s the
entire “society” part.
At the Monday Florida debate last week, Mitt
noted that under Gingrich’s tax plan Mitt would
pay no taxes at all. Gingrich responded with, “Well,
if that -- and if you created enough jobs doing that
-- it was Alan Greenspan who first said the best rate,
if you want to create jobs for capital gains, is zero.”
So rich people whose money makes their money
(it’s literally capital gaining) are so fortunate they
get to hire other people to pay taxes for them? Rich
people with their alleged mythical power to create
jobs even get to outsource their tax obligations to
poor saps working for a living?
This is the prosperity gospel as a Super PAC-
funded marketing blitz. Money is next to godliness
and poverty is the fault of the poor for not being
better people.
It’s as if Jesus were a CEO and the Romans job-
killing communists.
“Contrary to the President’s constant
disparagement of people in business,” former
George W. Bush budget director Gov. Mitch Daniels
said in his State of the Union response last week,
“It’s one of the noblest of human pursuits.” This is
one of those phrases you (usually) will only hear in
business school (funnier if it was one of those rip-
off for-profit colleges). Business is one of the noblest
of human pursuits? Noble as in aristocratic? That
phrase, “noble pursuits,” is usually applied to an
avocation not paying much but rewarding in other
ways: teachers; firefighters; nurses; foster parents;
soldiers; community leaders; social workers;
mentors; rescue workers; care givers; farmers. Or to
anyone who’s honest, shows up every day and works
hard. That’s a noble pursuit.
Are the wealthy really so sensitive they need Mitch
Daniels to make them feel better about themselves
in a spiritual sense? What they’re doing not only
pays off with privilege and cash – it also has to be
venerable from a moral perspective? How much
reward does one group need? They own
everything and they also need to be thanked?!
The rich are not just over-paid – they’re
over valued. And generous welfare recipients.
As Senator Tom Coburn points out in his damning
Nov. 2011 report, “Subsidies of the Rich and
Famous,” we are a wealthfare state. It reads, “This
reverse Robin Hood style of wealth redistribution
is an intentional effort to get all Americans bought
into a system where everyone appears to benefit.”
In other words: We subsidize the rich by telling the
poor to pay their fair share.
It’s been a strange three years under the Obama
administration. First the GOP was against empathy.
Yes, the party had to vehemently opposed seeing the
plight of your fellow human beings because Obama
was for it. Now their new hot button word? Fairness.
Obama used the word fairness in his third State of
the Union. And now the GOP has decided to be
against fairness and celebrate inequality as being
the thing that makes America great.
It’s as if Jesus were a CEO and the three wise men
were shareholders.
The prosperity gospel is not America. It’s not
democratic. It’s not even Christian. It’s greed
warped into being a virtue by the greedy.
The rich aren’t better, they’re just richer.
Tina Dupuy is an award-winning writer and the
managing editor of Crooks and Liars. Tina can be
reached at tinadupuy@yahoo.com.
This column has been edited by the author.
Representations of fact and opinions are solely those
of the author.
Independent’s Eye by
JOE Gandelman
NEWT GINGRICH KEEPS HITTING THE
RELIABLE ANTI-MEDIA HOT BUTTON
The South Carolina
and Florida Republican
presidential debates
will be pointed to as
turning points for
former Massachusetts
Gov. Mitt Romney’s
and former House
Speaker Newt
Gingrich’s campaigns. But they’ll also be
remembered for two moments underscoring the
uneasy relationship between the news media and
politicians who often seek to control, intimidate
or politically use the news media -- and how the
media rises again.
Both involved Gingrich. The first was during
the January 19 debate when Gingrich blasted
CNN’s debate moderator John King for starting
the debate asking him about an ABC interview
hours earlier with Gingrich’s ex-wife who had
alleged Gingrich wanted an “open marriage.”
Gingrich got a standing ovation by blasting King
in particular and the media in general. Then,
last week in Florida, in his most underwhelming
debate performance, he tried another dismissive
verbal dagger when CNN’s Wolf Blitzer asked a
question.
Gingrich made going after the media, a
moderator, or a debate reporter a regular feature
of his debates since it was a hot button issue. But
wait: CNN’s King later got Gingrich to admit part
of his allegation about ABC was not true. And
Blitzer challenged Gingrich on his broadside,
noting it referred to something Gingrich himself
had said -- and Gingrich withered.
What’s instructive here? Gingrich was
blatantly trying to hit a political hot button to
woo conservatives. But in both instances he had
CNN reporters from the “old school” who stood
up for the actual facts and their craft. These
instances highlighted how politicians use the
media to advance themselves, try to manipulate
and bully it, but how in the end if they face “real”
journalists the media usually rises again.
The best line on Gingrich, who has proposed a
program to get a colony on the moon, came from
Romney supporter Arizona Sen. John McCain: “I
think we ought to send Gingrich to the moon and
Mitt Romney to the White House.”
Meanwhile, here on planet earth there are these
realities: the media has a symbiotic relationship
with politicians, politicians will blast it and
professional journalists will ask tough questions
and defend their craft.
Presidents know how to manipulate the media.
And politicians may fall due to the media, but
they can also rise and can be remade if they
know how to exploit it.
Most people point to Richard Nixon’s Nov. 7,
1962 press conference where he told the press
“You don’t have Nixon to kick around anymore.”
But many folks forget that Nixon later went on
NBC’s Laugh In and said the show’s big national
catch phrase (“Sock it to ME?”), played piano on
the Jack Parr show, and was highly visible as a less
angry Nixon. Nixon got the coverage his advisors
sought and was christened by the media as “the
new Nixon” – which helped his 1968 election.
Reporters love quote machines and all
politicians love getting free advertising. By most
accounts, Gingrich has a solid relationship with
reporters. The Politico’s Ginger Gibson writes of
“Newt’s secret press pals” who Gingrich calls by
their first names, and they love him because he
can be relied on to give them something quotable.
When I was a reporter at the San Diego
Union newspaper covering Ronald Reagan’s
immigration reform, my favorite source was
the late Harold Ezell, commissioner for the INS’
western region under Presidents Ronald Reagan
and George Bush. Ezell eagerly gave great quotes.
returned phone calls ASAP to give me a strong
counter quote and, although he sometimes got
in trouble due to his choice of words, always got
his viewpoint out there (high up in the story). He
used the media and the media used him. (“This is
great stuff!!” editors would proclaim.)
Gingrich’s latest hot button: he vows that if
he is the nominee he will not accept reporters
as debate moderators because they all favor
President Barack Obama. Fat chance the debate
commission would agree to that. But Gingrich
knows some will fall for it every time - fanned
on by allied, polarizing politicos and demonizing
talk show hosts.
Gingrich keeps hitting that old, reliable media
hot button because he knows he has a colony of
Pavlovian responding partisans already mentally
living on the moon.
Joe Gandelman is a veteran journalist who wrote
for newspapers overseas and in the United States.
He has appeared on cable news show political
panels and is Editor-in-Chief of The Moderate
Voice, an Internet hub for independents, centrists
and moderates. CNN’s John Avlon named
him as one of the top 25 Centrists Columnists
and Commentators. He can be reached at
jgandelman@themoderatevoice.com and can
be booked to speak at your event at www.
mavenproductions.com.
This column has been edited by the author.
Representations of fact and opinions are solely
those of the author.
Making Sense by MICHAEL Regan
SAVAGING NEWT
I am somewhat
mystified -- and
dismayed -- by the
spectacle of a lot of so-
called conservatives
who weren’t around
in the 1980s dropping
Ronald Reagan’s name
to promote themselves
while they go about slandering Newt Gingrich
who, like my dad, was there in the ‘80s and ‘90s
and also helped him elect more Republicans than
anyone else in recent memory.
It’s long been an unfortunate characteristic of
too many Republicans to engage in internecine
warfare -- standing in a circle as they fire volleys
at each other. The current fashion of the day is to
take aim and fire at one of the GOP’s most storied
and valuable members, doing Obama’s work
towards destroying Newt Gingrich in advance of
the 2012 presidential election.
They seem to forget -- or simply ignore -- my
dad’s 11th Commandment, that Republicans
must refrain from publicly speaking ill of one
another. After all, the other party sufficiently
fulfills that function without any help from
Republicans.
As leader of GOP forces in the House of
Representatives, Newt Gingrich was the party’s
leading warrior -- a politician who never feared to
speak his mind. Naturally he made enemies, some
within his own party. And it is those enemies and
their successors who are out to get Newt’s scalp
today. Moreover, it is important to remember that
Newt was Ronald Reagan’s champion on Capitol
Hill. My father knew and appreciated that fact.
Look, I know that Newt has rubbed a lot of
his fellow Republicans the wrong way, but that is
the inevitable result when a leader does his job.
He simply can’t satisfy everybody, and those who
attempt to do so comprise the GOP’s wobbly
liberal wing.
Leading the charge against Newt are
supporters of former Massachusetts Gov. Mitt
Romney. They do the governor no favors by
linking him to the GOP’s small but vociferous
liberal wing, which doesn’t like warriors. Newt
is a warrior who cherishes any opportunity to go
into battle, flags flying.
This being an election year, we can expect
various factions of the GOP to seek to modify
the tenets of traditional Republicanism. They
prefer to shrink away from any hard fighting.
Newt is the exact opposite; he relishes the joys of
hard combat on behalf of conservative American
principles. That upsets some of his fellow
Republicans, who are more like the mother who
asks what her children are doing upstairs, and
when told they are engaging in some horrible
behavior says, “That’s nice, don’t fight.”
Newt fights. Real Republicans need fighters,
not mealy-mouthed compromisers who shrink
away from any form of combat. He may stray
away from what many of his GOP colleagues
consider proper Republican behavior. But Newt
is ready and able to take the fight to Obama, and
he will win that fight unless the compromisers
have their way.
Michael Reagan is the son of President Ronald
Reagan, a political consultant, and the author
of “The New Reagan Revolution” (St. Martin’s
Press, 2011). He is the founder and chairman of
The Reagan Group and president of The Reagan
Legacy Foundation. Visit his website at www.
reagan.com, or e-mail comments to Reagan@
caglecartoons.com.
©2012 Mike Reagan.
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