Warren Buffett for President? Read on

Buffett/Secretary taxes

I received one of those forwarded emails recently that I usually delete without reading but when I noticed Warren Buffett’s name in the headline I took notice.  I am a big admirer of Mr. Buffett because he is one of us; the simple folk who try to keep this insane country headed in the right direction.  When Buffett said he shouldn’t pay less taxes than his secretary, I thought there would be a major rush to sign him up for the nation’s number one job.

The "Big Guys" discuss money

But the cagey investor knew, as most of us progressives do, that we have a great President in Barack Obama and all he needs is some support.  Hence, the “Buffett Rule” was born and the man told the President he could run with it and he did.  It is well known by most that this tax on millionaires would make only a small dent in the deficit, but it is the nature of the inequity between what the wealthy pay in taxes and what the simple folk like you and I do.

Mitch McConnell

Senate minority leader Mitch McConnell, a Republican, poop pooped the idea when it was introduced and even some Democrats were soft in their support.  But the American public was solidly behind the concept.  A Gallup poll in April found that 60 percent of Americans supported the proposal, including 63 percent of political independents.  Chuck Schumer, a Democratic Sen. from New York said it’s “proof positive” the GOP is on the defensive over taxes.

So it’s agreed that Barack Obama is the one for November.  So what else could Warren Buffett do to help the President in his re-election?  In a recent CNBC interview he claimed, “I could end the deficit in 5 minutes.  You just pass a law that says that anytime there is a deficit of more than 3% of GDP, all sitting members of Congress are ineligible for re-election.”

How the Buffett Rule works by Warren Buffett:

In another Gallup poll taken in February, Congress was at a record-low of 10 percent, down from 13 percent in January alongside another previous low of 11 percent.  Congressional approval averaged only 17 percent in 2011.  With all of these facts in the books, it was only natural that the financier would come up with some proposed legislation of his own.  His idea is the “Congressional Reform Act of 2012.”  Here are the sections of his bill.

1.    No  Tenure / No Pension.

A Congressman/woman collects a salary while in office and receives no
pay when they're out of office.

2.    Congress (past, present & future) participates in Social
Security.

All funds in the Congressional retirement fund move to the
Social Security system immediately. All future funds flow into                 
the Social Security system, and Congress participates with the
American people. It may not be used for any other purpose.

3.    Congress can purchase their own retirement plan, just as all
Americans do.

4.    Congress will no longer vote themselves a pay raise.
Congressional pay will rise by the lower of CPI or 3%.

5.    Congress loses their current health care system and
participates in the same health care system as the American people.

6.    Congress must equally abide by all laws they impose on the
American people.

7.    All contracts with past and present Congressmen/women are void
effective 1/1/12. The American people did not  make this contract with

Congressmen/women.

Warren Buffett comments that “Serving in Congress is an honor, not a career.  The Founding Fathers envisioned citizen legislators, so ours should serve their term(s), then go home and back to work.  Right now there is 90 percent of the country that would agree.

Did CBS’ “60 Minutes” bolster Pres. Obama’s tax on wealthy?

My suspicious mind has gotten me in trouble before, but don’t you think it might be just a little more than coincidental that "60 Minutes" combined Barack Obama’s interview this past Sunday with billionaire Warren Buffett?  The Warren Buffett who said he thinks millionaires should pay their fair share of taxes, supporting the President’s plan to raise revenue through a fairer share from the wealthy.  The Warren Buffett who engendered backing from other fellow patriotic millionaires to ease the plight on middle income Americans through fairer taxes.

Warren Buffett with Pres. Obama 

The President announced recently that “some of the wealthiest” pay a considerably smaller rate as a percentage of their taxes than those with less income.  Specifically, 25 percent of millionaires pay a tax rate that is below that of the middle-class.  There are even some billionaires with a tax rate as low as 1 percent.  With Buffett’s approach, some 25 percent of the very high income group could be affected.  Grover Norquist has been squirming since Warren Buffett started his crusade, and must have lost his dinner after the CBS “60 Minutes.”

This whole brouhaha results from the fact that many rich Americans’ incomes come from tax investments that are taxed at a lower rate than the average Joe and Jane’s salaries.  When you combine that with additional perfectly legal tax loopholes, these tycoons’ tax rates dip even lower.  Many of us get tax breaks such as mortgage interest deductions, savings for retirement and capital gains or losses.  But it is entirely possible that we will have to give up these shelters in response to raising taxes on the wealthy to balance out the inequity.

Obama has stated that the rich can chip away at their tax burden and that is “the height of unfairness.”  So enter the Buffett Rule named after billionaire Warren Buffett who has made it clear to Congress that the wealthy should be taxed more.  His appeal continues to fall on deaf ears because no one is willing to cross Norquist and the pledge the GOP made to him to raise no taxes.

In a recent survey by CBS News/NYT, the question was asked to the American public, “Should million-dollar households get tax increase?”  Here are the results:

          All     Reps    Dems Inds

Yes    65%  38%      80%    68% 

No      30     59         16       25

With an overwhelming majority of people wanting this tax increase, even 38 percent of Republicans, it is hard to understand how the GOP can stick to their pledge.  Their excuse that it will slow the economy has been refuted by some top economists due to the long-range nature of the tax increase, and the only other opposition would be the fear of taxing those Republicans who donate the most to their reelection campaigns.

 

President Obama put it simply on “60 Minutes;” the GOP took a look at an economy in the tank, created by George W. Bush’s administration and his rightist minions, and decided to do nothing during Obama’s four years until they could elect their own president.  From the ilk of the current Republicans running in the primary, they made a bad decision.  But hopefully the American voter won’t forget this scheming chicanery in 2012.

Read more here.