Wed Nov 21, 2012, 08:01 PM
sheshe2 (19,143 posts)
The Conservative Whiny Diaper Tantrum Continues....Or as the Diaper Soils!
So very much more at the Link!
We’ve all known a kid who upon losing a board game would freak out, hurl the game across the room and storm off while shouting something like, “This game sucks anyway!” The modern permutation of this unhinged sour grapes tantrum is to chuck a video game controller at the TV. (I sheepishly raise my hand: guilty as charged on the latter.)
Absent legitimate business concerns, what else do we call this behavior other than a tantrum?
Speaking of profits, if the president gets his way and taxes are returned to the Clinton-era levels for incomes above $250,000 for families and $200,000 for individuals, reports are coming in from various small business owners that they inexplicably intend to sabotage their revenue streams in order to keep incomes under the $250,000 threshold. For example:
Kristina Collins, a chiropractor in McLean, Va., said she and her husband planned to closely monitor the business income from their joint practice to avoid crossing the income threshold for higher taxes outlined by President Obama on earnings above $200,000 for individuals and $250,000 for couples.
Ms. Collins said she felt torn by being near the cutoff line and disappointed that federal tax policy was providing a disincentive to keep expanding a business she founded in 1998.
“If we’re really close and it’s near the end-year, maybe we’ll just close down for a while and go on vacation,” she said.
It’s shocking that they’re successful business people, given their total ignorance of how taxes work. At the very least they ought to fire their accountant. But, once again, I don’t think this has anything to do with reality and everything to do with acting out like spoiled, petulant children.
Here’s how the tax code really works. If the Bush tax cuts expire on income higher than $250,000, the slightly higher tax rate will only apply to income over $250,000 — not the entire sum of $250,000. In other words, if the Collins family earns $251,000 next year, they will only pay a higher marginal tax rate on $1,000, not $251,000. And that doesn’t even take into consideration various deductions and tax credits that would cumulatively give the Collins family a lower effective tax rate (the process by which Mitt Romney or Warren Buffet pays a tax rate in the range of 15%).
So these people are deliberately restraining their revenue potential because they’re pissed about the election. In my video game metaphor, this is not unlike bashing yourself in the head with a controller instead of hurling it across the room.
0 replies, 331 views