Hey! I think I finally figured it out!
Obama’s tax plan will work—some taxpayers may get a large tax reduction…and here’s how it goes down:
Obama sends 95% of the taxpayers a check for $500 apiece (even the 45% who paid less than that in taxes last year). Then he levies higher taxes on the 5% who are “rich” (and own the large businesses where the taxpayers work).
So far so good, you still with me? O.K.
Now Business Guy, who owns National Widget Co., isn’t going to absorb the brunt of the new tax, so he adds the “cost of doing business” to the Widgets that we all have to buy.
So Joe Average, who works on the loading dock at Nat-Wid (as the employees affectionately refer to the company) , goes to Widget-Mart to get his daily Widgets with his $500 check—and it’s all spent on the increased price of the Widgets.
After a while consumers cannot pay for the increased cost of the Widgets, so they buy less of the product. National Widget loses money with the decrease in sales, so Business Guy has to let go of Joe Average.
Now Joe has no job, no income—ergo NO TAXES!! Now that’s a tax cut!!
With Joe paying less taxes, Obama’s government has less revenue, so he has to raise the taxes at National Widget some more, and guess who gets the axe? Yeah, Eleanor, the secretary (who is also Joe’s wife).
Now they both have a huge tax cut!!