More Tax Cuts for the Rich

May 14, 2007

On Thursday, May 11, the Senate approved $70 billion in tax cuts primarily earmarked for the millionaires and billionaires. The House of Representatives has already passed these same cuts and Bush, who has made these cuts a top priority, will soon sign them into law.

The latest measure extends until 2010, Bush's earlier cuts in the capital gains tax and on corporate dividends. In addition, the new bill shields 15 million high-income individuals from an increase in the alternative minimum tax which was originally designed to insure that the rich pay at least a minimum in taxes.

These tax cuts will save $82,000/year for families with incomes over $1.6 million. "Middle" class families might save as much as $20/year.

These tax cuts are a companion to legislation passed earlier this year which slashed entitlement spending for low-income families by $39 million. The spending cuts included Medicaid assistance for low-income families, the elderly and the disabled.

Once again the government is playing Robin Hood in reverse; it is stealing for the poor to help the rich. The government cuts funds for vital social programs and denies people such elementary rights as the right to health care, while letting the rich parasitize off society without assuming any social responsibility.