Friday, March 27, 2009

Behavior Control Through Taxation

I've spoken out against the immorality, illegality, and unconstitutional retroactive taxation blackmail of the AIG (now AIU) executives. I've clarified that it is not illegal but immoral that they accept those bonuses. Senator Dodd and Timothy Geitner were directly responsible for the legislation that allowed the bonuses, in the CEO Bailout Bill sold to us by then Senator Obama and rammed down our throats by Representative Gordon, Frank, & Pelosi.

But the 90% tax Representative Gordon voted to exact on the political embarrassment is only one such attempt to legislate behavior through taxation. It's perhaps the most obvious, but its far from the oldest.

It has long been the practice of Congress and State Legislators to put special taxes on cigarettes. Regardless of how you feel about smoking, it is legal and it is a personal decision. In the early days of this special tax, it was designed to alter behavior. When politicians realized that smokers are addicts, they began to see it as a cash cow. Recently, they increased the cigarette tax by, not to, $8.00 a carton. The government now makes more money off the tobacco industry than do the manufacturers.

Adding to this, the State of Tennessee is imposing "minimum" prices on cigarettes as of April 1st.

The 111th Congress is considering the implementation of the Chicago Politician's special tax on energy. What is the result of such programs, including the desired result of decreased energy usage? Increased energy costs and higher energy bills.

Not convinced? Pull out your most recent water bill and electric bill and compare both the price per unit and the base service charge to a 2007 bill. Compare your usage of these services as well. Many of you will find that you pay more for less service now. Utilities must achieve a certain amount of gross profit to cover the costs and they are monopolies, necessary monopolies, but monopolies nonetheless.

Many Representatives were even calling for a tax hike of 50 cents/gallon on gasoline during the $4/gallon days of last summer. With our gas tax dollars already being swindled from the upkeep of our roads, this tax was not designed to provide better roads, but make it economically unfeasible for you to drive as much as you currently do.

And despite all of this taxation, the government continues to be in centuries old debt and racking up record deficits. The 111th Congress, including our Representative Gordon plans to increase the federal debt in their short two years than did the previous 5 Congresses.

The Whipped Blue Dogs are voting exactly as Speaker Pelosi of California Idealism tells them to vote. It appears as if they are trying to bankrupt Our Nation.

The entire tax code is designed to alter behaviors, with credits for what politicians deem good behavior and penalties for what they deem bad behavior. And yet in the midst of this, Congress is considering increasing the taxes paid on charitable donations. This is mind-boggling and the conclusions that can be drawn from it are not very flattering.

It is indeed time for a new tea party. Taxes, penalty by taxation, and behavior control by taxation are out of control. We pay more now in taxes, in real dollars, in inflation adjusted dollars, in percentage of income, than did our Founding Fathers when they threw off the chains of Britain.

It may be time for Nationwide Recall Petitions of Congress. This Congress is out of control, under the whip of Pelosi. The Blue Dogs, our last hope for rational legislation, have been whipped into submission by fringe elements of a once great party that abandoned the people.

Tennessee Taylor©2009, TNT, all rights reserved

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