American Shareholders Association

Corporate Income Tax Payments Down 13%

This according to the latest CBO Monthly Budget Report.  Corporate income tax payments are down 13% from this time last year, meaning that corporate profits are continuing to fall.

CBO Releases New Estimates of Tax Increases

The bottom line: if Congress doesn't extend any of the expiring tax cuts (AMT patch, "extenders" package, Bush tax cuts, etc.) there will be a cumulative $3.9 trillion tax increase over the next decade. 

That's $13,000 for every man, woman, and child in the United States.

Clearly, that can't happen.  But it will if Congress does nothing.

Republican Summary of House Dem Budget

ASA has obtained a copy of the House GOP's critique of the House Dem budget.  Good talking points and reading.

News Roundup: Free Trade and Tax Cuts the Answer

Two quick items from the web today:

First, the Heritage Foundation has a good piece on free trade agreements, and how they lead to economic growth in both the short- and long-term.

Second, IBD points out the idiocy of raising income taxes on domestic energy companies, while cutting them on a socialized energy company owned by Venezuelan strongman Hugo Chavez.

Effective Total Tax Rate Falls For All, For the Poor Most of All

Class warfare devotees always like to point out tax cuts for the rich, ignoring the effects of payroll and excise taxation, etc.  Greg Mankiw has put together a chart which should silence all that.  When the effective average tax rate is considered--taxes paid divided by income--and when payroll and excise are thrown in, the results are interesting.

Tax rates have come down in the 1979-2005 period, but most of all for those in the lowest income quintile.  This is especially true for families with children.  Since the Bush tax cuts, the same effect has happened--tax rates have come down for all, but especially for those in lower income brackets and those with children.