This year's the State of the Union is reportedly about tax hikes.
Is it about $18 trillion debt we owe from the investors from all around the globe? No, the tax hike amount, however, is (only) in tens of billions. Remember, the Iraq war cost us trillions of dollars. Rather, the taxes are (meant) for the middle class. Yes. The taxes hikes are for the rich, called 'top earners' in the media, those guys whose tax rates are lower than ours.
Recall that President Obama avoided taxing on the middle class right after his reelection. There were oppositions to that even from his own party. The President made it, though, and our tax rates did not go up. President Obama claims he works for the middle class. I believe he can be credited for that.
One of the rhetoric that the Republicans use that annoys me is "simpler and flatter tax code". If a tax is flat, it is not fair. Same tax rate for the rich and the poor is not fair.
Let us assume $1 million max is what a person should use. In such case, the percentage of tax rate for those yearly income is $10 million would be 90%. The income rate is $1 million still. What of then the tax rate for those whose income level is $100,000? Even if the tax rate is 0%, the income rate would never reach $1 million. 90% and 0%. And still, 90% tax rate means more money than 0%. A flat tax can never be fair.
Let us hope we hear something positive about this issue from lawmakers. Let us hope they show what we voted for. Let us hope they work for us the middle class, and not the rich donors.