Showing posts with label IRS budget cuts. Show all posts
Showing posts with label IRS budget cuts. Show all posts

Sunday, February 15, 2015

Neolib Hack Robert Samuelson: Determined To See Oldsters Eating Cat Food!











"What's happening is simple: Spending on the elderly is slowly overwhelming the rest of the federal government" - Robert Samuelson

Well, seems that columnist Robert Samuelson is at it again, beating the drums for elderly austerity and more money for the war machine. It seems this guy never gives up. He's thoroughly Neoliberal after all, having committed himself for years (even in a response email to me some 7 years ago) that no one ought to be receiving money just for breathing. (As most seniors do).

In his latest screed ('The Twisted Priorities of a Graying Nation') we're informed "government is being gutted" and "priorities are being skewed" by a reckless,  profligate over-spending on the elderly. Meanwhile, spending is behind on "vital activities" like defense and financial markets - he references their "regulation"- but if you've read any of his past articles it's really about their expansion, i.e. using further globalization such as the TPP. He and we know the GOOps will never allow more genuine financial regulation, especially as they already killed what was left of Dodd-Frank  in the 2014 end of year spending bill. (This was via a poison pill amendment that was stuck in the spending bill, enabling the banks to once again use FDIC monies to back up their risky trades - leaving us open to another 2008-style meltdown)

As usual he harps on the CBO projection that annual federal spending will grow by $2.6 trillion or 75 percent from 2104 to 2025 and "almost 90 percent of the increase comes from three sources: Social Security, health spending and interest on the federal debt."

Why he includes Social Security is mystifying for a number of reasons, including that Social Security. has never added to deficits given its payroll taxes essentially more than fund its outlays. Right now, in fact, the size of the S.S. Trust Fund is at $2.74 TRILLION which exceeds the $2.6 trillion Samuelson cites as federal spending for S.S., healthcare and interest on the debt! And we're not even including  as S.S. revenue  the taxes on Social Security income which none of these austerity nabobs factor into the mix. Namely, that up to one third of your Social Security benefits can be clawed back once you exceed a specific threshold. Why do none of the austerity fetishists mention that? Well, because it inveighs against their "entitlement" cutting agenda!

Meanwhile, a large part of health care spending is on prescription drugs, a little problem that could easily be remedied by allowing Medicare to do what the VA does, and bargain for the lowest drug prices with PhRMA.   As for the large federal interest on the debt, any moron could have informed Samuelson that the main reason for that is too little income, as in revenue - for all the spending that's being done - mainly on the military since 2001 (When ol' Gee Dumbya decided to cut taxes instead of increasing them when he commenced his "war on terror" - that's now sucked up 13 years and nearly $4 trillion)

Samuelson goes on to whine about "the degradation of government"  and points to the National Institutes of Health "losing nearly 25 percent of its purchasing power" in the last decade. Well, whose fault is that, Maestro? It's the fault of the Repukes who cut the NIH (as well as CDC) budgets which money they preferred to spend instead on military toys like the F-35!

In the same breath he also reports:

"The Internal Revenue Service blames budget cuts and reduced staffing for delays in mailing refunds and responding to taxpayer questions"

But again, this wasn't incepted by Social Security but by the Repukes cutting the IRS budgets as "payback" for what they believed to be singling out right wing groups for greater scrutiny, i.e. when claiming any tax exempt status under Internal Revenue code 501(c)(4). As a result, the 'Pukes cut an additional $346 million from the taxman's budget - virtually tying the IRS' hands to assist taxpayers or to expedite refunds. See e.g.

http://brane-space.blogspot.com/2015/01/if-youre-late-getting-tax-refund-thank.html


Samuelson then rightly wails about the "national parks being hit..since 2010 their funding has decreased by 12 percent in inflation-adjusted dollars and the backlog of deferred maintenance has topped $11 billion."

Again, this awful, deficient funding situation has nada to do with Social Security but the same House Republicans and their cruel austerity punks who also de-funded the SNAP food stamps program in 2013 and want to do the same again now. Don't blame the favorite scapegoat of Social Security but rather a bunch that has its own priorities askew and would ten times rather spend on defense and war toys (now taking up 6.3% of GDP) than domestic programs - including out infrastructure which is falling apart.

Instead of lying his ass off about the need to cut Social Security - making it a red herring for Neoliberal austerity groups like "Fix the Debt" he ought to applaud the program's expansion which - if effected- could ameliorate the ongoing low aggregate demand problem that's keeping our economy down. The solution then is not less senior capacity to spend, but MORE! The more senior spending on goods, services - even health care- the more money infused to create more jobs!

But never mind, Samuelson and his ilk won't be satisfied until the elderly are on a permanent cat food (or kibbles) diet!

See also:

http://brane-space.blogspot.com/2011/05/is-robert-samuelson-for-real.html

and:

http://www.smirkingchimp.com/thread/richard-eskow/60951/the-republicanclasswars-new-front-social-security-for-the-disabled

Friday, January 23, 2015

If You're Late Getting a Tax Refund Thank the Republicans!



Two years ago I posted about the erupting hysteria from the Right regarding the IRS singling them out for far more detailed screening of their 501(c)(4) applications - for reduced taxes - compared to "social welfare" groups, their political counterparts.

Under the criteria set for 501(c)(4) groups:  the degree to which they can claim tax exempt status hinges on the extent to which they are not embroiled in political opportunism, partisan political attacks and self-styled political hackery. Does anyone seriously believe the Tea Party groups qualified? Groups that have viciously attacked Obama and his administration from the get-go,  to the extent of toting loaded weapons to public meetings on his Affordable Care Act, and painting him as Hitler or a Nazi ?

The IRS was simply acting on the evidence. Thus, it requires no jumps in latent popular IQ to grasp why the IRS would invoke a more lengthy and detailed application form for these rightist groups. And bear in mind again, they are obliged to scrutinize more such types specifically because of the tax code's own requirements!

But the Reepos -  like beaten, feral dogs-  weren't happy. They waited and nursed their perceived victimization and grievances until they could rule congress again and bring out the budget -cutting knives. And so it came to pass when they increased IRS cuts to $346 m  for the budget year ending Sept. 30  with the most recent bill passed. Many Tea Partyers have actually declared this is their "revenge".

But one may rightly ask WHO is the "revenge" really on?  In fact, it will be on the American taxpayers themselves, but why be surprised when the first target of the Reeps has always been 'We the People'.

According to IRS Commissioner John Koskinen, these budget  cuts will force the IRS to reduce taxpayer services and other functions. The number of audits will also decline, possibly costing the government an additional $2 billion or more in badly needed revenue - when the spending already outpaces revenue intake by nearly 16 to 1. No nation can long survive with such income imbalance.

Worse, the agency may even be forced to shut down and furlough workers as noted by a Denver Post article (IRS Cuts Leave Little Help For Filers'). More immediately painful, according to Nina Olson - the IRS National Taxpayer Advocate- fewer than half of the usual 100 million filers to be able to get through to enlist help. That includes low income taxpayers who may need assistance with the Earned Income Tax Credit.

Lastly, taxpayers expecting refunds may have to wait a few extra weeks to get them, especially paper filers.

Apart from the 'pukes getting revenge for the tough IRS scrutiny 2 years ago, there is also a matter of taking aim at the Affordable Care Act ("Obamacare") and using IRS budget cuts to starve the ACA's tax aspects of the needed oversight. (Those who refuse ACA participation are required to pay a tax penalty - so the IRS is required by law to help implement the health program in this way.)

Have problems this tax season? Be sure to write Johnno Boehner and thank him for what he and his Reeps have done to the IRS - and to the taxpayers of this country!