Dem Tax Hikes Haven’t “Worked” for Small Biz and Working Families

Delusional Democrats Claim Their Policies “Worked” But They’re Still Pushing More Job-Destroying Tax Hikes to Follow the Trillion Dollar Tax Increase in ObamaCare

• Despite three and a half years of economic failure that burdens American families, President Obama made the astounding statement yesterday that “we tried our plan—and it worked.”
• Apparently the Democrats’ idea of policies “working” is tax hikes and burdensome regulations that put small businesses out of business. A new CBO report this week found that tax hikes under ObamaCare are now up to $1 trillion.
• However, ObamaCare’s job-destroying tax hikes are just the beginning. Now Democrats want a huge new tax hike on small businesses to continue feeding their spending addiction, even though economists say their tax hike will only make life harder for working families.

Despite three and a half years of economic failure that burdens American families, President Obama made the astounding statement yesterday that “we tried our plan—and it worked”:

OBAMA: “WE TRIED OUR PLAN—AND IT WORKED”: “Just like we’ve tried their plan, we tried our plan — and it worked.  That’s the difference.” (“Remarks by the President at a Campaign Event,” The White House, 7/25/2012)

THEN AGAIN, OBAMA ALSO THINKS “THE PRIVATE SECTOR IS DOING FINE”: (Zeke Miller, “Obama: ‘The Private Sector is Doing Fine,” BuzzFeed, 6/8/2012)

AND THAT SMALL BUSINESSES AREN’T RESPONSIBLE FOR THEIR OWN SUCCESS: “ ‘If you’ve got a business — you didn’t build that.  Somebody else made that happen,’ [said Obama].” (Kerry Picket, “Picket: (Video) Obama: ‘If You’ve Got a Business—You Didn’t Build That. Somebody Else Made That Happen,” The Washington Times, 7/15/2012)

Apparently the Democrats’ idea of policies “working” is tax hikes and burdensome regulations that put small businesses out of business. A new CBO report this week found that tax hikes under ObamaCare are now up to $1 trillion:

$1 TRILLION IN OBAMACARE TAX HIKES OVER 2013-2022: (Douglas Elmendorf, “Letter to the Honorable John Boehner,” Congressional Budget Office, 7/24/2012, p.6)

OBAMACARE’S TAX HIKES ARE ALREADY TAKING A TOLL ON SMALL BUSINESSES AND JOBS:

NFIB STUDY: 150K SMALL BUSINESS JOBS COULD BE DESTROYED BY OBAMACARE’S HEALTH INSURANCE TAX: (“NFIB Research Foundation Study: Health Insurance Tax to Cost 125,000 to 249,000 Private-Sector Jobs,” NFIB, 11/9/2011)

AT LEAST 14,500 JOBS OR AS MANY AS 47,000 JOBS COULD BE DESTROYED BY OBAMACARE’S HEART ATTACK TAX: (Michael Ramlet, Robert Book and Han Zhong, “The Economic Impact of the Medical Device Tax,” American Action Forum, 6/4/2012)

13,303 SMALL- TO MEDIUM-SIZE MEDICAL DEVICE FIRMS IN U.S., OR 91% OF ALL MEDICAL DEVICE COMPANIES COULD BE AFFECTED: (Michael Ramlet, Robert Book and Han Zhong, “The Economic Impact of the Medical Device Tax,” American Action Forum, 6/4/2012)

INTERNATIONAL FRANCHISE ASSOCIATION: “3.2 MILLION JOBS AT FRANCHISE BUSINESSES CONTINUE TO BE PUT AT RISK”: “…the law is unworkable, unaffordable and wrong for our country’s small business owners who continue to struggle in a still sluggish economic climate… 3.2 million jobs at franchise businesses continue to be put at risk due to the employer mandate provision, thereby discouraging and disincentivizing the creation of new jobs and business expansion.” (“High Court Ruling Puts Jobs at Franchise Businesses at Risk,” International Franchise Association, 6/28/2012)

NATIONAL FEDERATION OF INDEPENDENT BUSINESS: OBAMACARE IS “RESULTING IN JOB LOSS AND CLOSED BUSINESSES”: “…small-business owners are going to face an onslaught of taxes and mandates, resulting in job loss and closed businesses. We will continue to fight for the repeal…” (“Supreme Court Ruling Limits Freedom, Strengthens Government,” National Federation Of Independent Business, 6/28/2012)

NATIONAL COUNCIL OF CHAIN RESTAURANTS: OBAMACARE “WOULD DO SIGNIFICANT HARM TO JOB GROWTH AND THE ECONOMY”: “…the law would do significant harm to job growth and the economy… Many chains have indicated they will have no choice but to cut back on workers’ hours or close restaurants in order to avoid the penalties.” (“Chain Restaurant Industry Laments Supreme Court Decision,” National Council Of Chain Restaurants, 6/28/2012)

CONGRESSIONAL BUDGET OFFICE: OBAMACARE TO DESTROY 800,000 JOBS: QUESTION: “…that means that in your estimation, the health care law would reduce employment by 800,000 in 2021; is that correct?” DOUGLAS ELMENDORF, CBO Director: “Yes.” (Remarks from Douglas Elmendorf, House Budget Committee Hearing, 2/10/2011)

However, ObamaCare’s job-destroying tax hikes are just the beginning. Now Democrats want a huge new tax hike on small businesses to continue feeding their spending addiction, even though economists say their tax hike will only make life harder for working families:

FEDERAL RESERVE CHAIRMAN BEN BERNANKE: IF DEMS GET THEIR WAY “RECESSION WOULD OCCUR EARLY NEXT YEAR”: “The Congressional Budget Office has estimated that, if the full range of tax increases and spending cuts were allowed to take effect–a scenario widely referred to as the fiscal cliff–a shallow recession would occur early next year…” (Bernanke testimony before the Senate Banking Committee, Federal Reserve Web site, 7/17/2012)

TAX HIKE WOULD BE A $201 BILLION HIT TO THE ECONOMY: (Robert Carroll and Gerald Prante, “Long-Run Macroeconomic Impact of Increasing Tax Rates on High-Income Taxpayers in 2013,” Ernst & Young, July 2012, Appendix C)

710,000 JOBS COULD BE DESTROYED BY DEMOCRATS’ TAX HIKE PLAN: (Robert Carroll and Gerald Prante, “Long-Run Macroeconomic Impact of Increasing Tax Rates on High-Income Taxpayers in 2013,” Ernst & Young, July 2012, Appendix C)

1.8% DROP IN WAGES: “Real after-tax wages would fall by 1.8%, reflecting a decline in workers’ living standards relative to what would have occurred otherwise.” (Robert Carroll and Gerald Prante, “Long-Run Macroeconomic Impact of Increasing Tax Rates on High-Income Taxpayers in 2013,” Ernst & Young, July 2012)

JOINT COMMITTEE ON TAXATION: 940,000 SMALL BUSINESSES TO GET HIT BY DEMOCRATS’ LATEST TAX HIKE: “Congress’s Joint Tax Committee—not a conservative outfit—estimates that in 2013 about 940,000 taxpayers will have enough business income to meet Mr. Obama’s tax increase threshold.” (Editorial, “Off the Tax Cliff He Goes,” The Wall Street Journal, 7/10/2012)

MORE THAN HALF OF NET BUSINESS INCOME WILL BE HIT BY HIGHER TAX RATES UNDER OBAMA PROPOSAL: “And of the roughly $1.3 trillion in net business income, about 53% will get hit with the higher tax rates. This is because millions of businesses report their income as sole proprietors and subchapter S corporations that file under the individual tax code.” (Editorial, “Off the Tax Cliff He Goes,” The Wall Street Journal, 7/10/2012)

OBAMA’S NEW TAX HIKE WOULD HAVE SOME SMALL BUSINESSES PAYING HIGHER TAX RATES THAN GENERAL ELECTRIC AND J.P. MORGAN: “So Mr. Obama wants these businesses to pay higher tax rates than the giant likes of General Electric or J.P. Morgan. Does that qualify as ‘tax fairness’?” (Editorial, “Off the Tax Cliff He Goes,” The Wall Street Journal, 7/10/2012)

TAXMAGEDDON WILL COST AVERAGE FAMILY $4,138 IN 2013: (“Taxmageddon Costs Average Family $4,138 Next year,” The Heritage Foundation, 6/14/2012)

U.S. IS ON TRACK FOR FOURTH STRAIGHT YEAR OF TRILLION-DOLLAR DEFICITS: “The U.S. budget deficit grew by nearly $60 billion in June, remaining on track to exceed $1 trillion for the fourth straight year.” (“U.S. Government Records $904.2B Deficit Through June,” Associated Press, 7/12/2012)

$5.24 TRILLION INCREASE IN NATIONAL DEBT SINCE OBAMA TOOK OFFICE: (“The Daily History of the Debt Results,” Bureau of the Public Debt, Accessed 7/16/2012)