TAX POLITIX
The Politics of Taxes
Romney and Roger Stone: Ridiculous
It’s really sad that Mitt Romney went off the deep end with regard to the commuting of Roger Stone’s sentence. Trump’s timing was definitely politically stupid and over the top. However, presidential pardons and commutations are often self-serving and inexplicable. Although Roger Stone was convicted of a relatively minor infraction of lying about something that was not of major significance, even that conviction was suspect because of clearly stated bias of the lead juror that should have led...
Support Black Lives Matter, But Not BLM
The concept of black lives matter is a reasonable expression of sentiment for people who are trying to ensure equality and equity. The problem is that the concept, “black lives matter” shares the same name as the legal entity “Black Lives Matter.” But Black Lives Matter is an anti-capitalist, anti-semitic organization whose policies are anything but helpful to black people as a whole. Indeed, they call themselves a “member based abolitionist organization,” focusing on abolishing “capitalism”,...
Separation of Church and State
There is nothing in our Constitution about the “separation of church and state.” This phrase is often wrongly used as shorthand for the Establishment clause found in the first amendment, which states: “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof.” What that plainly states is that the government will not prefer or establish one religion over another or restrict the practice of religion. Many people who use the phrase “separation...
The Economic Tipping Point
Are we past the tipping point for economic reform? I would argue that Obama’s budgets and spending accelerated the deficits beyond repair. Some people will go back to Reagan and say that the deficit and the debt ballooned during the Reagan Administration and they will blame it on his tax cuts. But what is actually true is that the tax cuts generated a large increase in revenue, and the only reason why he had deficits was that the Democrat-led Congress increased spending even over the increased...
Looting and Lawsuits
Everyone remembers ACORN, the community organizing group that engaged in voter fraud and operational irregularities (among other things). Their shadiness was brought to light in 2009 and became the subject of multiple investigations and civil lawsuits which inevitably bankrupted the organization. This was the right thing to happen. Civil lawsuits may very well be the key to getting the looters and rioters under control in the absence of government leadership. Don’t focus on arresting the...
Michael Hendrix and Reopening NYC
I am a long-term supporter of the Manhattan Institute and participate in their events and webcasts regularly. Heather MacDonald, Steve Malanga, and Nicole Gelinas are three of my favorite people. But Michael Hendrix seriously dropped the ball as moderator of the discussion on “Planning for the City’s Reopening” several weeks ago. Given the current pandemic and civil unrest, exploring how business can reopen is a laudable topic; however, the actual discussion was immensely disappointing. He...
Police Culture Problem
The police have a PR problem and a culture of cover up and it’s finally being talked about. On the one hand, the police have millions of contacts with the public over a given year and the vast majority of interactions are fine, even dull. But sometimes you have bad police and sometimes you have a bad interaction (including, though not limited to, a shooting). However, almost never do you see the police admit that they messed up. George Floyd’s situation was unique in that they admitted the...
CEI and the Jones Act: America Last
One of my favorite topics is the Jones Act, a little-known maritime law that has a big impact shipping goods. I have written extensively on it before, so I was delighted to see the Competitive Enterprise Institute publish a paper on the topic since the Jones Act has been in place for 100 years now. Below is the Executive Summary, and then a link to the full paper. It is a must-read for understanding why the Jones Act needs to be abolished. "The Jones Act requires any ship traveling between...
Another Obama Stupidity: Forgiving Student Loans
It is clear, from any economic sense, that compensation paid in the private sector is more beneficial to society than that paid in the public sector. This is because amounts in the former is controlled by people risking their own money making sure it is maximizing output for a given input. (It also works for charities funded by people parting with their own hard earned money). Federal state and local governments and government funded not-for-profits are less good for society, and they normally...
We Need MLK
Martin Luther King’s vision was of a colorblind society. Slowly but steadily, in the years since his death, we have worked to make that legacy a reality, culminating in the election of an African American as President of the United States. Yet what should have been a high point for race relations in this country was instead undermined by the very person who could have embodied MLK’s vision. The Obama administration from top to bottom started looking for race in everything, from...
TAX
Tips
Rick Santorum’s Tax Plan
The only reason why I am mentioning this plan is the sheer ridiculousness of its foundation. In his editorial in the Wall Street Journal today, Santorum announces that he will pay for his tax plan by "repealing ObamaCare and all of its associated...
Global Economy Now Affecting US Job Market
From the AP: A sagging global economy has finally caught up with the United States. Nervous employers pulled back on hiring in August and September as China's economy slowed, global markets sank and foreigners bought fewer U.S. goods. Friday's...
Taxpayer Advocate Report: Some Say Filing Season Was “Worst In Memory”
Every summer, the Taxpayer Advocate releases one of two annual reports to Congress. The summer report is the "Annual Objectives Report" which seeks to identify and work on priority issues for the upcoming Fiscal Year. The Taxpayer Advocate, Nina...
The IRS’s Growing Role as “Rules Interpreter”
A recent article by the National Review brought to light how the IRS has taken on the role of “rules interpretation” in recent years, which is beyond its scope as the nation’s tax collecting agency. The most notorious example of this new role is...