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Tue Oct 16, 2012, 11:19 AM

OUCH.. CNN money' Romney's tax plan lacks reality'

Even under the most generous economic assumptions, Mitt Romney's tax plan simply doesn't work.
By Cyrus Sanati
FORTUNE -- With the federal budget closed as of September 30, we now have the final numbers on how much money was spent and raised by the federal government in the 2012 fiscal year.

These fresh numbers give some insight as to the trajectory of the federal budget deficit and can help us gauge the impact Mitt Romney's ambitious tax plan could have on the nation's precarious fiscal situation. Unfortunately for the Romney campaign, when you dig into the numbers, it looks like he will need a magician, not an economist, to help him implement his tax cuts if he is serious about sticking to his word to cut and balance the budget anytime in the next decade.

Romney has been able to coast through much of the election season without really having to explain how his tax plan adds up. But since September, his campaign has been under increasing pressure by both the media and the Obama campaign to reveal how it intends on cutting taxes and balancing the budget at the same time. Under pressure, the Romney campaign revealed a major missing piece of the puzzle last week, announcing that he would cap itemized deductions at $17,000 per taxpayer. But even with that piece of data it is going to be difficult to make the numbers work.

At the center of his fiscal plan is a bold 20% across-the-board tax cut for all Americans. Romney would also cut taxes on dividend and capital gains to almost nothing for people making below $250,000 and bring the corporate tax rate down to 25%. At the same time he promises to balance the federal budget, which, as of Friday, showed that the federal government ran another $1 trillion-plus deficit for the fourth year in a row. He plans on balancing the budget in the first year in office, while also maintaining full funding for some of the biggest government entitlements like Medicare and Social Security, and increasing spending on the military.

snip.... more at the link
but I like the title.


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Reply OUCH.. CNN money' Romney's tax plan lacks reality' (Original post)
Ichingcarpenter Oct 2012 OP
senseandsensibility Oct 2012 #1
Ichingcarpenter Oct 2012 #2

Response to Ichingcarpenter (Original post)

Tue Oct 16, 2012, 11:21 AM

1. Will the people on the air on CNN mention this? Will candy

address it tonight in the debates?

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Response to senseandsensibility (Reply #1)

Tue Oct 16, 2012, 11:28 AM

2. I wonder how many inane questions she'll ask

She has the pick of the questions, I'm betting on at least three will be ask that will make the nation groan.

I want one on global climate change, women's reproductive rights and other pertinent issues.

I'm expecting fluff and sensationalism.

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