LeBron James is Smart on Taxes

This video points out that LeBron James may have had more than basketball on his mind when he chose Miami for his new home. It also shows that our state and local taxes have more to do with employee and employer decisions than you might think.

Jobs! Jobs! Jobs!

What is wrong with our elected officials? Have they lost their minds or are they really that bad at math and economics? Is it because most of them have never actually run a business or worked a job outside of a law office or outside of Washington? How hard is it to understand that the one thing, the only thing that will make it better for Main Street is Jobs!!!

Let’s stop all of the talk about a Climate Change Bill or a Financial Reform Bill. Just stop it. You guys aren’t smart enough to come up with anything that will really work, even if there was a problem. Let’s focus on creating jobs, and then after we get some tax base built back up, then, and only then, can we talk about anything else.

Are you ready Washington? I’m going to give you the simplest and most straightforward jobs program you’ve ever seen. Give every small business ($100M in revenue and less) a $5000 rebate for every new hire that they employee for a minimum of 6 months. There, nothing complicated, no mental gymnastics, just plain and simple. Take the group that hires the most people and reward them to do a lot of it.

Now, I can hear the cries of the budgetary hawks, “Where are we going to get the money for this?” Okay, here is where the math and accounting skills come in, so for those in Washington I’ll go slowly. Right now, we the taxpayers are paying people on average $250 per week in unemployment. That comes to $6000 for 24 weeks, or 6 months. So, what we will be doing is paying employers to hire people with the same money that would have been used for their unemployment. Oh my, goodness, I’m a genius…Not! This idea is just basic common sense that one of our contributors came up with months ago.

Wait there’s more…not only will we be saving $1000, but it won’t cost taxpayers $5000 because the people that get hired will be paying taxes. It’s almost like the taxpayers will be getting interest on their investment before they pay for it. Think about what this could do for the consumer led economy.

So, I have one question…Why haven’t we seen this bill brought in front of the House? Why hasn’t one Congressperson made mention of this? I’m baffled!

Understanding the Federal Budget

The two video's below discuss the basics of the inflow and outflows from the Federal Budget.  It is necessary to understand these before you can make an informed decision on Tax Reform.  In future posts I'll cover different options of Tax Reform.






If you have any questions please comment here or send them to info@thefranklinparty.org ..thanks.

Tax Stock Trades

Reps. Peter Defazio (D-OR) and Ed Perlmutter (D-CO) are proposing a 0.25 percent tax, or $0.10 per share tax, on the sale and purchase of financial instruments such as stocks, options, derivatives, and futures. The real problem is that the tax would effectively end U.S. dominance of financial markets.

We live in a highly competitive financial world where initial public offerings (IPOs) migrate to London when the process becomes prohibitively expensive or lengthy here. Do you really think this tax wouldn't drive trading to a location that was less expensive to transact business? Major U.S. financial institutions are already planning. The NYSE, EuroNext, OMX, and CME all have developed relationships in areas outside the jurisdictional reach of the U.S. Congress. If it means $50billion to $200 billion per year in cost differential between staying put or going overseas, do you think that the exchanges will sit by as their business is stolen offshore?

If this bill is approved, Congressmen Defazio and Perlutter will not be adding to our economy, but instead will be killing jobs and tax revenues. Can you say unintended consequences?

Homebuyer Tax Credits - Ouch!

Russell George, Treasury Inspector General, ran an audit on the Homebuyers Tax Credit and found $500M in fraud. Here is just some of what he found.

• 582 children under 18 years of age were given the tax credit
• 3000 non-residents were given the tax credit
• 53 IRS employees falsely claimed the tax credit

The IRS doesn't even require documentation that you bought a home . Not only is this a horrible job by the IRS, but these people should be prosecuted. The non-residents should have their green cards taken away, if they have them at all, and the IRS employees should go to jail.

And they wonder why we don't trust the idea of a government run program?

Reference #1
Reference #2

It's always about Jobs!

I keep hearing from the left that the stimulus package will save us, but which stimulus package are they referring? The first one had almost no impact at all. The second one has bailed out State deficits for the moment. Now they are talking about a third one.

The right is saying no more stimulus packages, but they provide no clear direction. They talk about tax cuts, but with the enormous spending that has gone on since the turn of the century we only have so many options before our treasuries become junk bonds.

Why not have some real courage? Jobs are the only thing that will let us catch up to the runaway deficit. That means real jobs, not government jobs. Jobs created and supported by the capitalistic free market. So, you ask me; how can we create jobs in this economy without throwing money at it? The answer is simple - make this the most attractive place in the world to own a company.

0% corporate tax will make all the difference. Currently, corporate tax revenues account for less than 20% of the total taxes collected. That is less than the uncollected personal taxes. It is also far less than the amount of taxes which are illegally avoided. Think of it, the United States will once again be the best place in the world to base a global corporation. It will also bring jobs back to the U.S. in droves as money is repatriated.

Don't underestimate repatriated earnings. More jobs are lost to other countries because multi-national companies are financially forced to spend their profits over there versus bringing it back into the U.S. to be taxed. These numbers are greater than the overused complaint of cheaper wages. 0% corporate tax will repatriate money and bring back jobs. Imagine other countries outsourcing to the U.S....that would surely boost the economy by employing more people who will pay taxes...more than compensating for then lost tax revenue.