Showing posts with label taxes. Show all posts
Showing posts with label taxes. Show all posts
10:31 PM
GDP could decrease by 0.5% and 90% of Americans taxes will go up. Some analysts have reduced their GDP growth below 2.0%.
Infographic from technology-in-business.com
4:48 PM
Maybe Wall Street should pay attention to Main Street. The consumer confidence index this week dropped to its widest margin month-to-month since August 2011. Eric Jones of TD Securities said on Friday, February 1, "That was the best negative print on GDP I have ever seen", attributing weakness in the -0.1% 4th quarter to slower defense spending. Main Street sees a double-dip recession as a real possibility. The Fed in confident that the asset purchase program will be successful.
The Conference Board's index decreased to 58.6 as released this week and actually saw December's number revised down to 66.7, the worst reading by American consumers since November 2011.
Americans who make less than $500,000 per year will see an increase of 1% to 1.4% in their annual effective tax rate as a result of the payroll tax increase. Americans are expected to pay $205 billion more in 2013 than in 2012.
Consumer spending increased 2.2% in the fourth quarter. Manufacturing got a boost as business invested in capital goods like computers and trucks. Total business investment surged 12.5%.
The Conference Board's index decreased to 58.6 as released this week and actually saw December's number revised down to 66.7, the worst reading by American consumers since November 2011.
Americans who make less than $500,000 per year will see an increase of 1% to 1.4% in their annual effective tax rate as a result of the payroll tax increase. Americans are expected to pay $205 billion more in 2013 than in 2012.
Consumer spending increased 2.2% in the fourth quarter. Manufacturing got a boost as business invested in capital goods like computers and trucks. Total business investment surged 12.5%.
8:48 PM
The stock market's gains seem emotional to me. I know optimism is good. "Think positive" is a popular theme. We are positive going into a new year. We should be. Our journey through an ever-changing economic landscape is just beginning. Not every dollar going through our economy goes through Wall Street. But the Wall Street click has a good pulse on what consumers are doing. The market optimism has gained after the fiscal cliff drama has closed.
But what is really coming down the middle-class economy staircase?
We are going to be taxed more. The employee portion of Social Security tax withholding goes up to 6.2% from 4.2% on January 1, 2013. Employers have until February 15th to make the change from the previous rate, but the IRS bulletin on the topic instructs employers to make up any difference due from late adoption by March 31, 2013.
Approximately 79.1% of all U.S. households make less than $100,000 and are therefore subject to the entire impact of the Social Security tax. How much less will these households be taking home? Assuming a household makes $50,000 per year, that's $1,000.
Companies that rely on the middle-class consumer are going to face new challenges. However these challenges are going to exhibited in the market when they hit home, not before. After all, we're having too good a time.
But what is really coming down the middle-class economy staircase?
We are going to be taxed more. The employee portion of Social Security tax withholding goes up to 6.2% from 4.2% on January 1, 2013. Employers have until February 15th to make the change from the previous rate, but the IRS bulletin on the topic instructs employers to make up any difference due from late adoption by March 31, 2013.
Approximately 79.1% of all U.S. households make less than $100,000 and are therefore subject to the entire impact of the Social Security tax. How much less will these households be taking home? Assuming a household makes $50,000 per year, that's $1,000.
Companies that rely on the middle-class consumer are going to face new challenges. However these challenges are going to exhibited in the market when they hit home, not before. After all, we're having too good a time.
10:21 PM
Boehner for, Cantor against. Cantor wants tax cuts.
Link to the story
from breitbart.com
Link to the story
from breitbart.com
LIVE: House voting now on #FiscalCliff legislation; Rep. John Boehner votes yes. Tune in to BTV:
12:49 PM
- Obama and Boehner pick up talks where they left off.
- A big drop in the stock market sends a message.
- The government goes off the fiscal cliff.
- No deal for at least six weeks.
- Boehner calls a House vote on what President Obama wants.
- A partial deal is struck.
- Stock markets hang in there and President Obama and Congress think the fiscal cliff isn't so bad.
Obama has dropped his proposal to extend a temporary cut in Social Security payroll taxes paid by 163 million workers. Republicans want that tax to go back up.Obama is offering to reduce cost-of-living increases for Social Security recipients. Republicans have been seeking this as a key to long-term deficit reduction. Obama continues to reject the Republican plan to raise the eligibility age for Medicare from 65 to 67. Boehner now says raising the eligibility age is not essential. Obama and Boehner both propose raising taxes on dividends and capital gains from 15 percent to 20 percent.
CNBC source story #2
11:08 AM
Charts from Center on Budget and Policy Priorities
The first $2 trillion is the easiest. Now the second $2 trillion. Bowles-Simpson gets $2.6 in new revenues from the expiration of the Bush tax cuts. Capital gains and dividends would be taxes as ordinary income.
President Obama said today that the meeting with Congressional leaders went well and he is positive a deal can be reached. The debt ceiling will not be part of a substantive agreement. Mitch McConnell said the meeting went well. The deadline is Sunday the 30th.
Source story for this article from theatlantic.com
The deficit dynamic can not be handled with just revenue (tax) increases. That's why we are already over the cliff.
9:10 AM
Remember Ted Knight's famous line in the movie Caddyshack?
"You'll have nothing and like it!"
"You'll have nothing and like it!"
This story reminds me of that. President Obama playing Judge Smails.
Link to story:
Obama to Boehner: 'You Get Nothing
http://www.theblaze.com/stories/obama-to-boehner-you-get-nothing-i-get-that-for-free/
Republicans offered tax revenue.
---
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8:12 AM
A coalition has been formed to put an end to the fiscal cliff. This includes Henry Kissinger and Jame Baker. Both with Secretary of State credentials. Deficit reduction was a key in there message.
Link to the story:
15 Leaders Urge end to Fiscal Cliff
Leaders want spending under control.
Link to the story:
15 Leaders Urge end to Fiscal Cliff
Leaders want spending under control.
2:48 PM
Momentum toward a solution has broken down.
The Obama Administration has said no deal without a tax increase. The Capitol rank-and-file has been silent on avoiding the gridlock. Tax rates, spending reduction and farm policy still hang in the balance. Geithner and Boehner said the fiscal cliff fall off may be unavoidable.
Link to the story on Politico
Link to the story on Politico
9:59 AM
Sources: Moody's Analytics, Tax Policy Center. By Bonnie Berokowitz, Karen Yourish and Laura Stanton - The Washington Post.
Link to story.
8:05 AM
A new Rasmussen poll has Bill Brady, Republican for governor at 44% to Pat Quinn's 37%. Pat Quinn's office released news that he plans to raise taxes by 67%! The governor was quick to downplay the news as a staffer's gaffe.
Bill Brady pledged to not raise taxes and is standing by that pledge.
Bill Brady pledged to not raise taxes and is standing by that pledge.
9:01 AM
We have a $9 billion dollar budget hole and spending is going up: about 45% since 1998. The population has only grown about 4%. We have a spending problem. The Illinois Policy Institute is offering liberty-based solution policies.
The Economic Reform Agenda was announced by the Institute and State House Republican Leader Tom Cross on March 11th. The policies include a 3/5 majority votes on tax and fee increases (I agreed with this as a state senate candidate in 2008) and a Stimulus Watch Act, requiring all programs started by the stimulus funding must end when funds are no longer available.
As a result, the Illinois Policy Institute has become the leading pro-taxpayer policy voice in Illinois. Key information is also available from them regarding state public policy.
Download the latest edition of the Institute's publication here: The Compass
Illinois Policy Institute Policy Points
The Economic Reform Agenda was announced by the Institute and State House Republican Leader Tom Cross on March 11th. The policies include a 3/5 majority votes on tax and fee increases (I agreed with this as a state senate candidate in 2008) and a Stimulus Watch Act, requiring all programs started by the stimulus funding must end when funds are no longer available.
As a result, the Illinois Policy Institute has become the leading pro-taxpayer policy voice in Illinois. Key information is also available from them regarding state public policy.
Download the latest edition of the Institute's publication here: The Compass
Illinois Policy Institute Policy Points
1:30 PM
There was a front page article in the Rock Island Argus/Moline Dispatch on Friday, October 24, 2008 titled: "Don't tax, just spend". An interesting take on the way folks polled feel about taxes and the current programs going on in Illinois.
A poll released on Thursday the 23rd by the Paul Simon Public Policy Institute showed people don't want more taxes, but do not want a cut in spending in 90% of the programs. Fewer that 1 in 4 want reductions in education, public safety, natural resources, public pensions and welfare. 78% said they do not want an increase in the sales tax and do not want services taxed.
State Representatives Lisa Dugan, D-Bradley, said duplicate services are a big culprit. I agree. We need to look at state programs to see if any agencies are running the same programs. If so, cut one. We have to bring spending in line to truly attack the budget crisis and ending duplication of services is a good way to start.
A poll released on Thursday the 23rd by the Paul Simon Public Policy Institute showed people don't want more taxes, but do not want a cut in spending in 90% of the programs. Fewer that 1 in 4 want reductions in education, public safety, natural resources, public pensions and welfare. 78% said they do not want an increase in the sales tax and do not want services taxed.
State Representatives Lisa Dugan, D-Bradley, said duplicate services are a big culprit. I agree. We need to look at state programs to see if any agencies are running the same programs. If so, cut one. We have to bring spending in line to truly attack the budget crisis and ending duplication of services is a good way to start.
10:01 AM
The Mercer County Fair went very well. The traffic in the Merchant's Building was excellent this year as we "worked" the Republican booth. Most comments I received were those about change in state government. People know that state government in Illinois isn't working right and are concerned about higher taxes and the loss of functionality from their taxpayer dollars.
The picture above from left to right: Bob Vickrey, Mercer County Board member and Mercer County GOP vice-chair, Marty Edwards, Warren County Sheriff, Mike Bertelsen, Mercer County Treasurer, County GOP Chair and candidate for the State Senate 36th District and Lewis Wiley, candidate for Mercer County Coroner.
8:03 AM
The Henry County Fair is off and running! I was there again on Thursday and met another great group of folks. Their big concerns is fixing state government with NO NEW TAXES! I understand that message and heard it loud and clear. The picture above is myself and State representative Don Moffitt. I talked to Don about the budget and asked about the revenue streams proposed to balance it. He said those revenues won't have the backing of the House Republicans and most likely the state legislature will be called back into special session. I'll keep you posted!In talking with farmers, they told me their crops look "pretty good" and that the rains could hold off. Last night we got more rain along with some wind.
9:24 AM
I went to the Henry County Fair in Cambridge yesterday evening. I met many people and they sure were friendly. The fairgrounds were really in good shape. The Republican booth was very well attended. State Representative Don Moffitt was there along with Terry Patton, Henry County State's Attorney, Rich VerHeecke, Henry County Treasurer and Dave Doebbels, Henry County GOP Chairman.
I'm planning on going again this evening. This time I'm going to see some of the exhibits. The support for our county fairs starts in our own communities.
The folks I talked to are in tune to what is going on with our state government. They are concerned about the future, as am I. We all are. The financial issues have to be addressed and we need to keep taxes flat for job growth and expansion. The budget clock is ticking, obviously, however Illinois needs new PRIVATE SECTOR jobs now! The services industry needs new customers, but that's tough with more and more jobs leaving Illinois.
Solutions are needed and needed now! Stay tuned!
I'm planning on going again this evening. This time I'm going to see some of the exhibits. The support for our county fairs starts in our own communities.
The folks I talked to are in tune to what is going on with our state government. They are concerned about the future, as am I. We all are. The financial issues have to be addressed and we need to keep taxes flat for job growth and expansion. The budget clock is ticking, obviously, however Illinois needs new PRIVATE SECTOR jobs now! The services industry needs new customers, but that's tough with more and more jobs leaving Illinois.
Solutions are needed and needed now! Stay tuned!
1:29 PM
Steve Hunley of The Chicago Sun Times had an article for today's edition which summed up the displeasure of Illinois residents with state government. The breakdown of the state government falls mainly with the Governor, but he had help, namely from House Speaker Mike Madigan and Senate President Emil Jones, the leaders of both chambers of the legislature. We now know what one-party rule brought to Illinois: undeserved pay raises, an unbalanced budget and more bond debt.
The consensus was for voters to wait until 2010 to rid Illinois of a "tumor", as Speaker Madigan so affectionately called the Governor in his memo to Democrat House candidates. But voters are finding out that the future is now, and they can do something about one-party rule in Illinois on November 4, 2008.
That is VOTE REPUBLICAN. Steve mentioned that could be a hard sell in Illinois. But perhaps not. A year ago the message for the Republican Party was nowhere to be found. Today the message is getting clearer by the day. Bring good, efficient government back to Illinois with decreased business fees and taxes. Also we must remember the best way to raise money IS NOT to spend it.
I am a candidate for the Illinois Senate in the 36th District. If elected I will call for a major, independent auditing firm to conduct a comprehensive audit of state government for waste, fraud and abuse. I would sponsor legislation to call for the Governor to present the proposed budget to the legislature at least 30 days before it could be voted on. I support the three-fifths majority vote of both the House and the Senate before a tax increase can be sent to the Governor.
House Republican Leader Tom Cross has called for this "super majority" as far back as April of 2005.
The consensus was for voters to wait until 2010 to rid Illinois of a "tumor", as Speaker Madigan so affectionately called the Governor in his memo to Democrat House candidates. But voters are finding out that the future is now, and they can do something about one-party rule in Illinois on November 4, 2008.
That is VOTE REPUBLICAN. Steve mentioned that could be a hard sell in Illinois. But perhaps not. A year ago the message for the Republican Party was nowhere to be found. Today the message is getting clearer by the day. Bring good, efficient government back to Illinois with decreased business fees and taxes. Also we must remember the best way to raise money IS NOT to spend it.
I am a candidate for the Illinois Senate in the 36th District. If elected I will call for a major, independent auditing firm to conduct a comprehensive audit of state government for waste, fraud and abuse. I would sponsor legislation to call for the Governor to present the proposed budget to the legislature at least 30 days before it could be voted on. I support the three-fifths majority vote of both the House and the Senate before a tax increase can be sent to the Governor.
House Republican Leader Tom Cross has called for this "super majority" as far back as April of 2005.