December 5, 2011

Star Parker Nails It: ‘The Payroll Tax Cut Is Just Another Welfare State Scam’

Filed under: Economy,Soc. Sec. & Retirement,Taxes & Government — Tom @ 3:57 pm

Read the whole thing.

Here are some key paragraphs:

If the point was helping get our economy back on the road to growth and prosperity, the payroll tax holiday has been a failure.

But if the point of the payroll tax holiday is not to reduce government interference in our lives but to keep it, grow it, and strengthen the decided movement of the last three years to turn our nation into a welfare state plantation, it’s a great idea.

And that is really what is going on here and why President Obama and his Democrat colleagues on Capitol Hill love the idea.

Unlike our income taxes that government takes for general revenue and unspecified spending, the payroll tax is earmarked and specified. It pays for Social Security.

A cut in income taxes, even if not accompanied with an equivalent cut in government spending, puts the pressure for such cuts in place and carries with it the prospect of reduction of government interference in our lives.

But there is no such possibility with the payroll tax. When the tax was reduced “temporarily” last year from 6.2 percent to 4.2 percent, were working Americans asked to agree to an equivalent cut in their Social Security benefits that that payroll tax pays for?

Of course not.

… Cutting payroll taxes earmarked for a Social Security system that is already bankrupt is no way to run a country and no way for people that are allegedly free and responsible citizens to live.

And using a payroll tax holiday as a back door plan to turn Social Security into a middle class welfare program does not bode well for our nation’s future.

If the point is to fix Social Security, let working Americans keep their payroll tax and use it to fund their own private retirement account – an idea that three of four Americans under fifty favor.

The “progressive” goal is to totally de-link retirement contributions from retirement benefits and lifetime income. There’s been more than enough of that already.


1 Comment

  1. See, this is why whenever something that looks like a tax cut or tax relief is championed by liberals/Democrats it pays to be suspicious.

    Comment by zf — December 6, 2011 @ 12:59 am

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