Warren Buffet and Taxes

Last week we heard from the Oracle of Omaha how thankful he was over the taxpayer bailing him out with TARP. As he said, because of TARP he’ll be celebrating Thanksgiving at his daughter’s house with a big turkey instead of McDonalds.

Yesterday, you have a Juliann Neher column in which she quotes Buffet’s statement that the rich should be paying more in taxes. I find this very odd given Mr. Buffet’s own profile.

Why do I find this odd? To understand, let’s look at the income levels that would be subject to the tax increases. As Juliann quote’s in her article, the liberals and many others would raise taxes only on the “rich” often quoted as those making more $250,000 per year if married or $200,000 if single.
We know that Buffet is a billionaire. How much would his tax rate increase? The answer might astonish you. But, that would be an increase of 0%. How can that be? Well, Mr. Buffett’s income from Berkshire is $175,000 per year. That’s right, $175,000 per year. Don’t believe me?

Well, look at page 7 of Berkshire’s Proxy Statement. The proxy shows Mr. Buffet’s income for the last 3 years which has been the same. Also, as is widely reported, Mr. Buffet is a big investor in municipal bonds. That would be tax-exempt municipal bonds. So, his interest income isn’t taxed, his income level would not reach the level of rich and he wants me to pay more in taxes.

Buffet is wealthy because he legally evades taxes. He invests in tax-exempt bonds and keeps his wealth in the form of untaxed capital gains.

Why don’t we let those that want a large federal government support it. Let’s see Buffet give the bulk of his fortune to the imperial federal government he supports and leave the rest of us alone.
After all, we all want to be rich like him.

TSA and Screening Procedures

Well, the TSA has come up with enhanced screening procedures. These procedures include a “groin” check and various other intrusions into our Constitutional rights.

We have too many citizens who are willing to exchange their Constitutional rights for the promise of safety by the government. However, this promise is hollow. Why? Because our government refuses to do the one thing that is more successful than all of thei efforts. Profile.

It is interesting that those liberals who screamed about the Patriot Act are silent on the current evasion of privacy brought to you by the imperial federal government.

How Dilutional Are They?

I was reading Douglas E. Schoen and Patrick H. Caddell’s piece concluding that Obama should announce that he is not running for reelection in 2012. I was certainly hoping that the establishment media had finally come to the realization the rest of the country did a year ago that Obama’s policies are exactly what is not needed. But, my hopes were dashed relatively quickly into the article.

Their initial postulate was that Obama should announce his resignation to “seize the high ground and the imagination of the nation once again, and to galvanize the public for the hard decisions that must be made.” While that sounds good, the underlying question is: what decisions will he be making? The underlying premise is that we all agree with what has been done during Obama’s 2 years in office. I reject this premise as do the majority of the people who voted on November 2nd.

They continue spouting this desire to end the red state/blue state. However, do you expect them to change their opinions? No. Compromise is a one way street to these people. You either have their views or you’re dividing the country.

News Flash. The country has always been divided. Ever hear of the Civil War? If you go back in U.S. history, you can find numerous examples of how divided the U.S. electorate was. What is new is the ability of those with dissenting views to get their views heard and published. It is this new era of political free speech that has those in the ruling class and establishment media moaning and complaining about the division of the country.

I do agree with Caddell and Schoen on the need for cuts in spending, both domestic and military. However, being in business for the last 27 years, I really don’t need help in figuring out where to start cutting. First, cut the pensions and post-retirement healtcare benefits of all non-military government employees to be equivalent of U.S. multi-nationals. Second, eliminate 1/2 of the administrative positions currently in place to implement policy. This really means to make legislation without having to go through congress. Third, repeal the 17th amendment.

As a summary, the author’s believe that gridlock is bad and that the government can solve the economic problems facing the nation. There is nothing in the article hinting that  perhaps it was the government’s policies that got us into this mess to begin with.

How dilutional are they?

Time to Compromise…..I Don’t Think So

It is interesting reading the editorial pages of the various liberal newpapers. All are saying the Republicans need to compromise, and they’re all saying that the Republicans need to stop being the party of “No.” From their perspective, the Republicans need to come to the president’s side of the argument so they can govern. What happens if they don’t? What happens if they keep pushing so the president has to come to the right?

The federal government shutsdown.

Remember what happened in the mid-1990s? It cost Republicans seats in next election cycle, i.e. nothing. Oh, some people were inconvenienced, but, in the end, nothing happened.

This time around, there is a conservative media that rivals the liberal, established media. If the Republicans stay on the offensive, they will win the day. It is time for the president and the liberals in congress to compromise with us.

Republicans, if you bend this time, you’ll break.

Today’s Just the Beginning

Go vote and vote for real change…Tea Party candidates.

Today is just the start. From tomorrow forward we need to push for exactly what we want:

– Reduced spending
– Reduction in regulations
– Repeal of Obamacare
– Create a power recession in Washington, D.C.

These are just a few of the items we need to keep pushing people we have elected to strive for. Even if they aren’t successful, keep brining them up and make Obama and the Democrats veto the ideas.

If you want real change and if you want to get the money out of politics, it starts with reducing spending at the federal level.

Is Our Government Illegitimate?

“Do not separate text from its historical background. If you do, you will have perverted and subverted the Constitution, which can only end in a distorted, bastardized form of illegitimate government.” – James Madison

The writings of our forefathers were certainly prescient. With the quote above in tow, one only needs to look at the commerce clause of the Constitution to see what happens when the historical background is not taken into account.

The sixteen words that make up the commerce clause have been used to shift the balance of power from the people and the states to the ruling class and the imperial federal government. The most recent examples of this are the recently enacted health care and financial reforms recently enacted by congress and the president. These legislative acts would not have succeeded in the early days of our republic when the words of our founders resonated in ears of its citizens.

Why do they suceed today? You don’t have to look any farther than the elementary and high schools of today. Our children are no longer educated in the founding principles of this country, the words of our founders, or a thorough reading of our founding documents. Instead, our children are taught about the New Deal era of government portraying the federal government as the righteous great provider. The problem is that the government can’t provide for one without taking from someone else.

Our rights, liberties and wealth are what have been taken. This government continues to enrich and empower itself and its benefactors with more of our money. There is no recession in Washington, D.C. In fact, there is no economic suffering if you’re employed by the imperial government. They continue to see their salaries, benefits and pensions grow all on the backs of fewer and fewer taxpayers. This government spends well beyond its citizens’ ability to repay this debt.

The only logical design of such a policy is to ensure the redistribution of wealth through taxation from the upper and middle classes to the imperial government and its beneficiaries. The imperial government creates the circumstances of the crisis, and acts as the benefactor to the citizens impacted by the crisis thereby cementing into these beneficiaries’ minds the righteousness of the imperial government. In fact, it is the taxpayer that provides this charity, but, rather than receiving credit, the taxpayer is demeaned by the imperial government as having attained his wealth through nefarious means.

It is the imperial government that is using nefarious means to divide and conquer the people of this republic. The use of the commerce clause in this pursuit certainly wouldn’t stand when viewed in its historical context.

This federal government is illegitimate.

Job Creation

Why do politicians promise to create private-sector jobs when they aren’t the ones who hire people in the private sector? How can a politician actually create a private-sector job? These are questions I ask people I know and people I run into. Their answers really demonstrate how little the average person knows about economics.

You’re seeing headlines in the MSM and quotes by the ruling class ridiculing corporations for holding vasts amount of cash and not spending it “to create jobs.” The answer is easy. To find the answer, don’t look at earnings reports showing glowing EPS growth. Instead, look at revenue and see if a companies’ top line is growing. If the company’s top line is not growing, i.e. more customers to serve, why would the business add costs?

The answer is: a business wouldn’t. 

What is the reponse by the ruling class and MSM? Increase taxes on corporations and the rich because they can afford it.

Is their an answer that will cause businesses to increase their spending? Cut the size and scope of federal, state and local governments. Cut the regulatory burden (regulations only help governments and government employees).

The key words associated with the answer are cut anything government.

America in Decline

MARK STEYN has an article that hits home many things about the U.S. Read the whole thing.

Many of us fear the debt burden and its impact on our competitiveness worldwide. We’re mortgaging the future of the country class to pay for the sins of the ruling class.

Will we take our first step in stopping this on November 2nd? I don’t know, but if we don’t, we’re finished.

Juan Williams v. NPR

I have always like Juan Williams. Despite the fact he is a liberal (and wrong), I always enjoy reading his writings and watching him debate conservatives. Can you believe that NPR terminated his contract for simply stating his opinion on Fox News.

You always hear that conservatives don’t want debate, if conservative are elected, there go our rights, etc.

Well, it certainly seems from all the trash on the curb that NPR has been trying to stiffle the opinions of Juan for quite some time. I thought NPR was for free speech and open debate. I guess not. It is quite telling that NPR fires Juan the day after it is reported the Soros gave them a large sum of money.

I certainly hope that Justice investigates this silencing of free speech by NPR. Maybe, that will mean the end of our funding of this fraudulent conveyor of  free speech. The reality is, NPR is one more liberal organization trying to silence everyone who disagrees with them.

Not something our tax dollars should support.

States v. Washington, D.C.: Is it time for the divorce?

I’m a devot federalist. I have been since I came of voting age during the Reagan administration. I have firmly believed my whole life that the problem with the country is the concentration of power in Washington. It is there that the complex web or laws, regulations, administrative rules, etc. are enacted upon the people and businesses in the country. It is also there where members of the ruling class exempt themselves from very rules and regulations we must live under. They continue to provide themselves with benefits in excess of the value they deliver to us.

Many of the states are controlled by the same mindset that controls Washington, i.e. we, the government, will provide for all of your needs and wants. However, those of us in the country class know that this enabling cannot continue without severe ramifications to the economy and the American culture.

Our country is built upon the rock of self-reliance. We provide charity to those in need, but this charity is (and should be) provided outside of the control of government. Once the government controls charity and provide the majority of the people the very sustenance required to survive, we will have lost the culture war and the nation.

The current ruling class seems bound and determined to ensure we lose the America we were suppose to be. Due to that, I believe it’s time for a divorce. The only question seems to be: Will this be a peaceful or violent divorce? Either way, I’m in.