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EDITOR OF REDSTATE

Make the Payroll Tax Cuts Permanent

I never thought I would see the day, but Democrats are outmaneuvering Republicans on a tax cut — the payroll tax cut. They want an extension again. Let’s understand that the Democrats don’t serious want to help the working-class. They are admitting the working-class is no longer part of their coalition.

But they do want to score points against the GOP and, like clock work, the GOP is throwing the ball into the Democrats’ basket for them.

Republicans are arguing that another extension will (A) further undermine the solvency of social security and (B) not actually be pro-growth because it leaves uncertainty in the system over whether or not it will happen again.

Right now the Democrats are out flanking the Republicans on the payroll tax cut. It’s like the FEMA disaster stuff. Right as images are on every television in America showing houses destroyed by hurricanes, the GOP decides it needs to offset FEMA spending with cuts or else.

I have never understood the GOP’s willingness to stand on principle only during suicide missions.

The Republican Party is the party of tax cuts. The Republican party believes that temporary tax cuts subject to congressional renewal schemes are not pro-growth because of the uncertainty they leave.

So instead of going along with the Democrats’ efforts to temporarily extend the payroll tax cuts, the GOP should make them permanent. In fact, the House of Representatives should pass a very clean piece of legislation doing nothing but making the payroll tax cut permanent.

Just do it. The Democrats want to nibble away at the GOP on the tax cut issue. Force feed them a permanent cut.

“But wait,” you say. “That will undermine the solvency of social security.”

So.

If you really think there is a social security trust fund and it is solvent, you really need a reality check.

A permanent tax cut is pro-growth in a way temporary tax cuts are not. The real fight here will be on unemployment benefits. This fight is just a distraction, but one the GOP will get hung up on. So go big or go home.

At the same time, a permanent cut would accelerate the time table at which social security must absolutely be fixed. The GOP will always support the temporary tax cut because they cannot stand for the Democrats to outflank them on that issue. So they should instead one up the Democrats and fight to make the cut permanent.

That will put the Democrats on their proper and natural side — opposing tax cuts.

COMMENTS

  • davesinsanantonio

    a bad horror movie. You know the person on the screen is going to open that door. You want to scream at them, “DON”T OPEN IT!!!”, but you know they will anyway. And, they will die in some horrible fashion.

    How can the so-called “leadership” be so stooooopid???? Why do they insist in giving the Dims who want to destroy this country so many easy victories??? What is wrong with them?????

    And, why won’t they listen to us??? They are just as deaf to us as the bumbler on the movie screen! They were hired to represent US, and they seem to think they were hired to represent the Dims!!!

    Why do we keep re-electing them?????

    The only thing that will make them respond is literally tons of mail, telegrams, emails, and phone calls. Let’s flood the switchboards and pack their in-boxes. Let’s yell at them so loudly on this that they will be able to hear us even though they have their heads stuck up their butts. We have to wake them up and shake them up.

    We the People are still in charge of making it work!!!!!

  • blcartwright

    NBC reporter in DC, for out local Pa station, covered this issue that the Democrats want to extend the cut on “a certain payroll tax”. Never in the segment, neither the reporter no the anchor uttered the words “Social Security”. They want to make the Republicans look petty and against working folks, but the other message I got is that they were afraid if people knew that payments into Social Security were being cut, they’d ask “So were is the money for my retirement supposed to come from?”

    I suppose I agree with your assessment. SS is either going to crash or we are going to fix it. I’d rather not tinker, but make wholesale changes. So have the GOP get on board and go that step further that will cause the Dems to pause – make the cuts permanent.

  • renl57

    Yesterday I pointed out that the Dems are counting on the GOP to respond reflexively and negatively.

    That’s not how you win at poker–and politics is a poker game, not a boxing match.

    We should be doing the same thing. Not punching away but using the Dems’ own arguments against them.

    If they want a payroll tax cut, instead of opposing it we should see their bet and raise them.

  • gunsrus

    was playing “blame the victim” with the under-employed.
    He came up with some straw dog argument that was patently false, claiming that people were using it as a paid vacation.
    The claim was that the unidentified people from a southern based “heavy” Manufacturing company, who were trained by the company would not return to work because they still had some wonderful unemployment benefits.
    If this representative was even remotely familiar with the system he would know that the refusal to return to work will terminate your claim immediately.
    If this man wants to research the unemployment issue I would suggest he or his staffers visit a claims office instead of repeating BS he’s heard at a cocktail party.

  • jussmartenuf

    Why do we keep electing them? Because we are stooopid. We keep listening to the billionaires via stooopid congresspeople they have bought and own. We stooopidly think everything the opposing party says is lies when it is not. We keep stooopidly shooting ourselves in the foot instead of kicking our stoopid representatives out. Louie Gohmert in East Texas is about as stooopid as one human can be and i bet we send him back to congress again because we stooopidly hate Obama. Hatred blinds us and blocks logic. We stoooopidly do not want healthcare for all our fellow citizens? Do we hate them too? Why do we stooopidly defend billionaires who pay less taxes then we do? Do we love them more than our fellow citizen?
    We need to be jussmartenuf to do what is right for us, not what is right for the billionaires, at 99% we should rule, yet the 1% rules us and has us voting against our own self interest, because they keep us hating instead of thinking.

  • nathanalbright

    …will the Republicans in Congress listen?

  • myuncletom

    Something I can agree with Erick “Rick Perry is my hero” Erickson on. The R’s should call their bluff and then we will see who is for the middle class.

  • geoph

    But all expiring tax cuts permanent.
    Probably too much to ask for a permanent solution to the Doc Fix, but both are winners for the GOP.

    The way the Dems can play the Republicans’ reflex response is downright Pavlovian.

  • geoph

    But all expiring tax cuts permanent.
    Probably too much to ask for a permanent solution to the Doc Fix, but both are winners for the GOP.

    The way the Dems can play the Republicans’ reflex response is downright Pavlovian.

  • supergirl2911

    Really like the succinctness of repubs only going to stand on principle on suicide missions. Loved it! We should I think be the party of common sense. Maybe I’m wrong.

  • sadams

    Where do you stand on the payroll tax cut. Do you agree with the President, or with Bernie Sanders?

  • cwfoster

    During a stint of unemployment befoe finding my current job a couple of years ago (for the record, it was 2009, and I was unemployed from May16-July 27, amazing what you can do if you are motivated, and put as few restrictions on where and what you’re willing to do as possible) I overheard this exchange between two people outside the Virginia Employment Commission brach where I was living then.

    “Hey, you looking for a job?”
    “”Not really one I’d actually get hired for, just getting enough applications in to keep my checks coming”

    So the key is, if you want to sit around and draw unemployment, just keep applying for jobs you know you either aren’t qualified for, or only marginally qualified for. Or state as a desired salary a high enough figure that they wont consider you because you’re unrealistic. There ARE enough people out there who WANT a job that there are a million ways to shoot yourself in the foot, and remain on the unemployment rolls from the self inflicted wound, and not run afoul of the active hunt requirements.

    On the minus side, my current employer is looking to shed 400-600 Jobs by the end of January (Defense Contractor), and as I am in a union represented position (don’t throw stones, it’s not a Right to Work State) and I am #7 from the bottom of the seniority list, I’m sweating hard.

  • darl444

    it will all lead to increasing the “Tax the Rich” campaign, since there will be even less revenue going in the “SS fund”, and will further the demand. It clear the Democrats have no math skills, especially to balance the federal budget. Just another scheme to buy the votes.

  • hitthedeck

    If America falls for the Democrats baiting of reduced payroll tax it will be another con. They won?t tell you that social security is six trillion in the hole and this cut will only increase the down fall of social security. This move is merely a move to soften up the impact of the Obama care premiums that will out price the payroll deductions in the long run. The Democrats will probably merge social security in with the Obama care later on so they can put the bite on seniors for more Obama care deductions. Payroll taxes are for people that have a job and they are not complaining about paying as long as they can work. This is another dollars for votes gimmick.

  • hitthedeck

    Justnotsmartenuf-sounds like you are hating to much and not thinking! Better start voting for people that can do thinking for you, but don’t vote for a politician.

  • http://www.hakubi.us/ Neil Stevens

    It was such a help for me this year, as it also cut the abominable Self Employment Tax. Make it permanent.

  • acat

    it will force some ugly truths about social security and medicare out into the open sooner.

    Cut the payroll tax!

    Mew

  • cbartlett

    about Louie Gohmert in East Texas. He and Ted Poe and a handful of others in the House are the ONLY ones who are holding the conservative line. Louie may sound a little hick sometimes because of his accent, but the man is extremely smart, educated and pretty much hated by most of the GOP establishment in Washington because he consistently fights them when they get progressive. He (like Rick Perry) advocates taking responsibility & power away from the federal goverment and get it back to the states. He has been overlooked for leadership positions on committees simply because he refuses to play the games. He was chosen to give a speech to encourage the new Tea Party freshmen class elected in 2010 because he is one of the few that shares their values. Louie is the one Republican that I WILL vote for again. All of the others are going to have to prove their conservativism to me.

  • carolynr

    What about all those people on SS…do we create another sub-set of welfare…and the taxpayers bite that? What do we say about all those people that paid into it? While many are outliving the paid in portion…what about those that have not? WHY NOT FIX THE THING NOW…and stop the BS. At least give the people nearing retirement a chance to save. For those on it…what do we have…the new financial death panels?

    Perry had a plan…Ryan had a plan…and nobody … including the TPM is opening their mouths. If we do not fix this now…NOBODY will have anything. Yet…everyone is an expert. Yes, I have saved money, yes, hopefully the pension will continue if the private company is not bankrupted by Obama along with all of them. However…should I tell hubby with a heart condition…it’s time for both of us to go back to work…and if you die in the meantime…well, we don’t have to worry about it…we’ll be dead. I know this sounds like whining…and we are in much better shape than others…but what about ALL these people who have failed to save anything because they believed the BS in DC? What about all those people who lost 3/4 of their savings in the stock market/Tarp thing. They saved…and they are afraid of the NYSE because they don’t trust anyone.

    So…yeh…I would be one of those people, if I were in my 30′s or 40′s saying…do away with it. But…no matter how you slice it…in fact…IF YOU SLICE IT (SS)…then you are still paying out to keep these people going through food stamps and assistance. The houses they own…they have to sell…and there is no market for it…so there is nothing. Does anyone see that this thing needs to be fixed for ALL GENERATIONS…yet all I hear out of the Dims…I meant to spell it that way…is we won’t take your SS away. Why…they want the elderly vote. FIX THE BLANKY…BLANKY THING NOW. BTW…Who has the plan for that…the policy…Perry…but we better vote on debate performance rather than our future.

  • swamphermit

    Good ideas! Make them permanent, and somehow use it to promote privatization. Remind them that ‘W’ wanted something like this back in 04-05 and then thank them for finally coming around.

  • jussmartenuf

    The reason he is hated by the gop establishment dislikes him is because he is dumb as a rock. A birther who doen not even understand you must be a US citizen to be president. He is a gamer himself.
    You are the reason daveinsanantonio above is so frustrated.

  • geoph

    This is what I was told, it doesn’t matter that those FICA taxes are not collected even though (in theory) they are what fund SS. Any shortfall from decreased collections are just made up through increased borrowing.

    As this still makes no sense to me and fails the smell test – I accepted it as Washington policy.

  • hitthedeck

    This guy is probably a government employee! They can stay home and collect unemployment without a creditable excuse to report for work. Mainly because they wouldn’t be missed anyway. The government work force today is so inflated that fifty percent of government could stay home and the other fifty would finally have enough work to fill an eight hour day.

  • lastgopinillinois

    The democrats ALSO want to increase TAXES on the wealthy along with the payroll tax cuts as an offset. That is why the Republicans are backing off.

  • drfredc

    I suppose if the ultimate goal is to make Medicare and SS go bankrupt sooner, then by all means make the payroll tax cut permanent. Why stop there? Just do away with it all together and pay for SS and Medicare out of the general fund, which is pretty much the direction we’re going anyways.

    Alternatively, one might take a modestly more sane approach. Allow those who wish to take the payroll tax cuts to fund their own HSA and Retirement plans with that money. Sure, SS & Medicare will still end up broke, being paid out of the general fund. However, as time passes more and more of the population might have their own HSA and retirement plans so they can get by without taxpayer entitlement supports.

    Just saying — if it’s a crisis, take advantage of it, don’t just bend over and take it like the LOSERship…

  • texasref

    Hurry up and run for Congress already

  • sgtcajones

    and Medicare/caid how do we continue to pay for them?

    I see this as the ultimate move to redistribute wealth. Unlesss we reform SS and Medicare/aid, they still have to be paid for only now a substantial portion of those who will benefit will no longer be paying for these benefits if the tax cut is made permanent.

    Progressives will no doubt want to pile even more taxes on the makers so the takers can have their benefits.

    Republicans just want the tax cut to be paid for with other cuts; I agree.