BY U.S. SEN. DANIEL INOUYE, D-HI – I come from very humble beginnings. We did not have a lot growing up but we always had what we needed.
My mother and father worked very hard to provide for our family and you can be sure they paid their fair share of taxes on their living wage.
In the nearly 50 years that I have served in the United States Senate, I have watched the very rich and their supporters in the Congress whittle away at the tax code to the extent that today the average tax rate paid by the highest earning Americans has fallen to the point that one in four taxpayers with an annual income greater than $1 million pays less than millions of working middle-class families.
How can that be?
We are making very important decisions about how we cut and spend government funds and it will go a long way to re-establishing fiscal fairness in this country if the very wealthy pay their fair share to support government services and initiatives.
I can’t believe that in all those years in the Senate, you are still uninformed when it comes to income taxes. You, like Obama, create strawmen to fit your arguments.
In your example, a single person with $1 million in taxable income in 2011 gets hits with a tax rate of 35% for income over $379,000. That seems pretty fair, don’t you?
If that taxable income was all dividend income, it gets hit with 15%. But dividend income represents corporate earnings to shareholders that has already been taxed once at the corporate rate of 35%. Thus that 15% rate is actually double taxation.
If you mourn the loss of the 70-90% marginal rates from the 60s and 70s, and want them back, also then bring back the deductions available at that time, like all types of interest to be deductible with no limit, no floors on miscellaneous deductions, and other provisions like 5-year income averaging, and loss carrybacks.
Oh, and don’t forget the 85% dividend exclusion rule. At least today, you get 15% of 100% of dividend income. Back then, you had 90% on 15% of dividend income. Which yielded more taxes?
Tell it like it truly is, Senator. Don’t lie.
Well said, but this is just the tip of the iceberg. I have been supporting you for the 50 years that you’ve been representing Hawai’i and for the first time, I have to say I am very disappointed in your choices of late.
kudos fidelity……your comments are right on. Dear Dan, what the hell have you been doing in DC all these years. I’m old and I don’t remember you ever coming out about reforming the terribly unfair tax code…………but now that it suits the Dem narrative here comes “everybody needs to pay their fair share”. Okay what about the half of Americans who pay NO federal income tax at all. How fair is that Mr Senator?
Good comments Fidelity.
I’d add that the Democrats’ efforts to raise taxes is pure politics insofar as the monies raised would barely dent Obama’s spending plans — and would result in additional job losses.
I like Dan Inouye as a person, but he needed to retire years ago. Case was right, Hawaii needs staggered seniorities in the Senate, not two very elderly guys who will be leaving the Senate one way or the other at nearly the same time.
Hopefully, Hawaii will have enough sense to send Lingle to DC to replace Akaka. Case will not get the Dems’ nomination because Inouye can’t move past Case making reference to the obvious (the need for staggered seniorities) when Case ran against Akaka last time around. And Mazie has gone way, way past the highest post for which she has the capabilities — she peaked as Lt. Governor.. Oh, and btw, Hawaii is destined to be shoved back from the federal trough for an indefinite interval once both Inouye and Akaka are gone. And in the former’s case, he won’t be here to see it, so what the heck?
I agree with you about Akaka .. he’s done very little for our state. Of late, Senator Inouye’s choices have been so wrong, especially for the people of Hawai’i. Because of Obama’s lies, arrogance, greed, and doing whatever he can to take America down by selling us out, I am no longer a Democrat. That is where the problem lies .. the Division of parties .. what happened to “United” States of America??? And, to top it all off, Senator Inouye is in agreement with the rail system that is going to ‘huli’ and Abercrombie and Peter are delusional if they think this project is going to cost under $6 billion .. try double that. It is NOT going to work!!!
Hawaii’s lack of leadership is going to bury us in debt, third world infrastructure and little to no ag lands left.
I will never again vote for any politician who has served for 2 terms or more. If our elected officials won’t pass term limit legislation, then we must do it ourselves at the polls until they get the message.
What’s good for the President is even better for our Congress, State and locally elected offices.
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