I figure most folks don’t realize what their Federal taxes pay for and where they go. All they think about is paying less. Welllllll…are you REALLY prepared to do without many of the services that we all depend on and use everyday? Think about it. Think back, if you were around then, or talk to those that were, to the late 50’s through the early 70’s. Ask how things are remembered. Were big projects done? Were jobs good and plentiful? Weren’t banks pillars of the community? Didn’t public schools educate? Didn’t technology grow by leaps and bounds?
The answers all would probably be yes. Taxes were twice as high as they are now. Cities, counties, states, and the federal government had funds and covered their bills, even with the Vietnam war. Most cities didn’t need income taxes, or high property taxes or sales taxes. Same with counties. States might have wanted added funds and had a low income tax.
Then the federal tax cutting started and all the budgets got tighter. New York City felt it first. It went bankrupt in the mid-70’s.
Federal income taxes have always collected funds, then doled them out to states, counties and cities that requested funds for projects and items such as schools, mass transit, police, fire, parks, etc.. When you cut federal taxes, you place added burdens on the local governments to raise revenue to keep services at their current levels, much less improve them.
If you want better local roads, better local schools, more police and fire, lower property and sales taxes, then we need to raise the federal income taxes, especially on the wealthy, and close all the loopholes that allow the wealthy and large business to pay less tax than a janitor….or no tax…or get a refund…GE and Exxon getting refunds…billions of dollars in refunds. And no taxes paid.
In a future post, I’ll give you my proposed tax rates. Of course it would mean revamping the ENTIRE tax code, but it’s needed and overdue.
Face the truth, sad as it is, most of us won’t get to make enough to be considered wealthy. The vast majority will be, hopefully, middle-class (if it survives this current attack on it). That’s what MADE America what it is…the middle-class. Those that work hard, strive to do better, just want to get fair deal at work and in life. Right now, it’s vanishing. Costs are rising and pay isn’t…unless you’re part of the wealthiest 5%…they increased their income almost 200%. Something’s wrong there.
It’s time to stop and take a good look at just exactly what do you want from government. Do you want to continue things as they are? Do you REALLY want many of the government services to be privatized? Are you REALLY willing to PAY MORE for what you’re receiving now. Remember, government isn’t concerned with making a profit and keeping shareholders happy. Government exists to provide us with the services we need at cost…not cost plus profit. And when government needs to have private companies do work, it asks for lowest bidder. Of course, there is a base bid that is set by government based on the average costs and time needed for the proposed work.
Read history books. Insurance companies ran fire departments that ONLY put out their insured building. Companies had their own police forces that did most of the police work. There were no standing armed forces. What local police there were, were ill-equipped and small. Roads were dirt or gravel. There were no labor laws, 10-12 hour days were normal. No OSHA. Children were found more often in factories than school. Tenements were basic city housing for most. Cities were mostly slums. Vice was rampant. Homelessness was common. Do we really want to go back there?
It’s time to raise federal taxes and stop playing games and dreaming and deal with reality.
Sidelined Buddah 