National Sales Tax Coming Soon

The Obama Administration has truly lost there mind when they are thinking about a national sales tax on the American people. President Obama is following the Canadian model of the Goods and Services Tax that is used to pay for there socialized health care system. The White House and there advocates say that there are few options on the table that can generate the revenue the nation will need to advert a fiscal calamity. At the White House earlier this year a group of economist or tax experts pleaded with Treasury Secretary Gienther to consider a Value Added Tax. There is growing awareness of fundamental tax reform Sen. Kent Conrad North Dakota said in a interview. I think a VAT and high income tax have got to be on the table. A Value Added Tax is a transfer of goods and services that ultimately borne by the consumer. This tax would increase the cost of everything from soda to eggs. It is a regressive tax, falling heavily on the poor. But Advocates say that it can be offset by using the proceeds to pay for health care for every American a tangible benefit that would be highly valuable to low income Americans. Liberals dispute the notion. You could pay for it regressively and have people at the bottom better off, maybe. Or you could pay for it progressively and they would come out better off said Bob McIntyre nonprofit Director Of Citizen For Tax Justice, which has a health care financing plan that targets corporation and the rich. The White House official said a VAT is unlikely to be in the mix as a means to pay for health care. The VAT is popular with academics and controversial with policymakers. said Kenneth Bear, spokesman foe White House Budget Director Peter Orszag. Meanwhile, former Federal Reserve Chairman Paul Volcker, chairman of a task force Obama assigned to study tax system has given his tentative support for a VAT. Finally, everybody knows about the long-term budget problems understands that the federal government needs a new source of revenue and the VAT is the number one candidate. President Obama and his minions will have to tax everybody to pay for his new American style socialism. The middle class and poor actually thought that Obama could pay for all his pet projects by just taxing the rich.

OBAMA SOCIAL SECURITY CRISIS

The Bush Administration warned the Democratic Congress four years ago that Social Security and Medicare Trust funds were running out money, Majority Leader Harry Reid and Speaker Nancy Pelosi Sneered at President Bush saying that they were trying to destroy Social Security. Harry Reid made a comment when the Bush administration tried to present a plan "Today the report that the so-called Social Security crisis only in one place the minds of Republicans. In reality the program is on solid ground for decades to come. The Obama administration is telling us that Social Security and Medicare is fading faster under the weight recession heading for insolvency years sooner than expected the government warned Tuesday. Social Security will start paying out more benefits than it collects in 2016 a year sooner than projected last year and the giant Trust fund depleted by 2037 four year sooner trustees reported. Medicare is in worse shape. the trustee the program for hospital expenses will payout more benefits than it collects in this year, just as it did for the first time in 2008. The trustee that the Medicare fund will be depleted by 2017, two years earlier than projected in last years report. The trust fund which exists on paper form in a filing cabinet in Pakersberg West Virginia, are bonds that are backed with the full credit and faith of the Federal government, but not any actual assets. That money has been spent on other parts of the government. Therefore, to redeem the trust fund bonds, The government would have to borrow in public debt markets or raise taxes. Treasury secretary Giethner the head of the trustee group said that the new reports were a reminder that the longer we wait to address the long-term solvency of Medicare and Social Security the sooner the challenges and the harder the options will be in the end. The President Bush warned Democrats but they did not believe him.

OBAMA,DODD,GEITHNER "PHONY OUTRAGE"

The White House should be ashamed of the "Phony" outrage that President Obama and Treasury Secretary Timothy Geinther is showing over the AIG bonus scandal. This Administration knew about the bonuses last week and did not tell the American people until the scandal was reported by the media. The bonus part of the scandal is that Treasury Secretary Geinther was one of the architects of the AIG bailout plan and he says that did not know anything about the bonus provisions in there contracts. President Obama said that Timothy Geinther was important selection to his Administration because he knew all the Wall Street players who started this crisis and he could help fix the problem. The President and Treasury Secretary Geinther are starting to become the economic team team that could not shoot straight. The Treasury Secertarty gave AIG a extra 30 billion dollars without any strings attached so, they could give out bonus to there failed "London Derivatives Unit" that lost 40 billions dollars and almost destroyed the company. This "Clown" Geinther is one of the most incompetent public servants I have ever seen and he has only been on the job for two months. I personally believe that Geinther should resign and President Obama should name a new Treasury Secretary but who wants to work for a incompetent President who believes in Socialism. There is a underlying story to this scandal because there was a provision that Sen. Olympia Snowe of Maine tried to put into the Dodd Amendment saying that corporations taking money from the federal government could no pay out more than $100,000 in bonuses to there company employees. This provision was stripped out of the Dodd Amendment at the last minute in the Conference Committee. The key question is who took out the provision so that AIG employees could get there bonuses. The biggest campaign recipients from AIG is Sen. Chris Dodd and President Obama and were the doing a favor for the failed company. Finally, the American people find out that Sen. Chris Dodd stripped the provision out of the stimulus bill because Treasury officials asked him to do it because, they thought the AIG contract bonuses were legal. Sen. Dodd also, said that the White Economic Adviser Larry Summers and Treasury Secretary Timothy Geinther knew about the bonuses weeks ago. The Democrats are starting to turn on each other because Sen. Wyden of Oregon is blaming Secretary Geinther for the AIG bonuses scandal. The Republicans are calling for Treasury Secretary Geinther to resign because of his incompetence in trying to handle this financial crisis. The Obama administration in the first two months has shown a level of incompetence that I have never seen in my lifetime and this is suppose to be the CHANGE WE ALL CAN BELIEVE IN.