The proposed tax break extender bill is in fact a third stimulus measure and the most expensive stimulus measure to date.
The provision extending unemployment benefits should not be considered part of a compromise because, until now, unemployment extensions had broad bipartisan support.
The extension of the Bush tax cuts for those with incomes over $250,000 costs a fortune and is coming at the expense of the tax payers who are the middle class Americans. It is a transfer of wealth upward. And the wealthy haven’t even asked for it. It is unconscionable, will exacerbate the wealth discrepancies in the country and not change behavior sufficiently to warrant it.
The increase in the estate tax exemptions is even more unconscionable and unnecessary and affects even a smaller group of the very wealthy and should go against the American concept of meritocracy rather than inherited aristocracy.
These extensions won’t be for two years. They will be permanent.
The idea of the payroll tax moratorium is of short term benefit but will be a long term disaster. Social security for the first time will be supported by generic revenues. It too may become more permanent and is part of a plot to end social security.
Social security could be fixed by putting FICA taxes on those making more than $250,000 a year. Easy.
We need to work on jobs and infrastructure. This bill does neither.