Are Americans taxed enough already? The answer may surprise you.
Unsurprisingly, April 15 is a day dreaded by much of the American people. Not only is it tax day, it’s also the Tea Party’s favorite day to protest.
A recent CBS/New York Times poll shows that a majority, 55 percent to be exact, of Tea Party activists find the amount of income tax they pay unfair. Ironic, since about 47 percent of Americans don’t pay federal income tax at all, according to Fox News, of all sources. So why is it that Tea Partiers are livid at the Obama administration?
The nation’s eyes were on Boston on April 14, as the city held a Tea Party rally that drew thousands. Sarah Palin was among the celebrities in tow.
“We need to cut taxes so that our families can keep more of what they earn and produce and our mom-and-pops then, our small businesses, can reinvest according to our own priorities,” Palin said in a speech to her supporters, according to the Associated Press.
Palin, who seems to be the sweetheart of the Tea Party movement, is misunderstanding the facts. Over the past year, the Obama administration has passed many different measures that leave more money in people’s pockets — and it was largely done without the help of Palin’s party. The stimulus bill, which contained a large tax cut, passed in the House with not a single GOP vote and only three in the Senate.
According to the Pulitzer Prize wining website, Politifact.com, President Barack Obama and the Democrats have passed 25 separate tax cuts with limited Republican support. These tax breaks target individuals and businesses.
One of the cornerstones of the American Recovery and Reinvestment Act of 2009, or the stimulus bill, was tax relief; in all it contained $288 billion in tax cuts. Individuals received a tax credit of up to $400, while married couples collected a tax credit of up to $800. The Refundable First-Time Home Buyer Tax Credit helped people realize the American dream by offering them up to $8,000 in tax credit to invest in a home.
Even the controversial health care bill contains a massive tax break. Families that live on an income of up to $88,200 will be eligible for the health insurance tax credits. Businesses saw six different tax cuts specifically aimed at them including one that excluded 75 percent of capital gains from taxation and several that encouraged them to pursue energy efficiency.
There is something taxing about the situation, and for once it is not Washington. My brain is vexed when I try to understand Tea Partiers’ uproar over Obama’s tax policies. According to the CBS/New York Times poll, 44 percent of Tea Partiers make less than $50,000 a year — a substantial number of them benefit from the Obama administration’s tax policies.
This is a far cry from the “socialist agenda” and “tax and spend policies” this president has been accused of. Before another tax rally is held by Tea Partiers, I encourage them to look at them to look at the cold, hard numbers.
Reach Andrew at andrew.hedlund@asu.edu
