Tax Guru – Ker$tetter Letter

Hoary economic fallacies (Jack Kemp) – The left-wing propagandists so hate the idea of people having any control over their own money that they continue to distort the reality about tax rate cuts. Lower rates increase economic activity, increasing overall tax revenue. It’s a fact proven by real life and anyone who claims otherwise is nothing but a liar, not to be trusted.

State spending (Rich Lowry) – State Rulers such as in the PRC, who are looking at record budget deficits, are trying to make everyone feel sorry for them and reach the only logical (to them) conclusion for a solution – higher taxes. As many of us have been pointing out for years, these financial crises have nothing to do with too few taxes. They have everything to do with out of control spending.

They believed the Clinton hype of the late 1990s that he had eliminated all economic cycles and that the stock market would rise by 20%+ per year until the end of time, resulting in an endless stream of capital gains taxes. I know it sounds idiotic now, in hindsight, that anyone would believe such crap; but they did, and they ramped up big spending programs to utilize that neverending stream of cash.

It wasn’t just the States who fell for that garbage. It’s the same logic that the Clinton gang used to project record Federal budget surpluses that the Left wants us to believe have now been squandered by the Bush tax cuts.

Bush Cites the Cost Of Tax-Cut Repeal – The evil DemonRats are still trying to roll back the cuts that have already passed.

If deficit hawks were serious, they’d curb spending

Tax Amnesty — A Win-Win for Everybody – This idea comes up every ten years or so. It’s a tough sell to people who have been paying their taxes all along. Of course, it does seem to be a trend to reward lawbreakers who can go long enough without being caught, such as the millions of illegal immigrants that are most likely going to be awarded citizenship in the near future.

Finishing Off the Death Tax – The Marxist class warriors will do everything they can to prevent this from happening.

Australians pay too much in tax, report finds – Very similar to the situation we have here in the USA. Tax rules are so complicated that most people end up paying more than they should be.

Dotcom exiles turn up at new charities – Putting their experience to good use.

The WSJ has a very interesting story of a corporate accountant with WorldCom who made the entries, under orders of her bosses, to artificially inflate the book income. Even though the idea to do this wasn’t hers, she will be doing some prison time for just following orders.

It is definitely a tough spot for middle and low level employees to resist pressures to do illegal things. I saw a lot of this during my time as a internal auditor, investigating various fraudulent activities. If reporting these illegal things to the corporate audit committee or Internal Audit department doesn’t do any good, the only smart move is to quit. When the house of cards collapses, you can be fairly certain that the top dogs will have stashed enough away to take care of themselves and will leave their underlings hung out to dry.

Link Between Death, Taxes Ending – Hopefully, this will come true, if it can make it through the Senate, which is still mostly controlled by RINOs and DemonRats; so it will be a very tough fight.