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Anonymous
Anonymous asked in Politics & GovernmentElections · 1 decade ago

Just because Obama calls the "$500 per worker" a tax cut, is it really a tax cut?

Until Obama proposed this idea, didn't we always refer to this as a "tax credit"? Haven't we always historically reserved the term "tax cut" to a reduction in the tax RATES? You don't think this might be a slick trick to make people THINK he's delivering on his promise to cut taxes, do you? Hey, anyone can say he gave us a "tax cut" if he's allowed to define ANYTHING he does as a "cut."

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  • Anonymous
    1 decade ago
    Favorite Answer

    tax cuts and tax credits are totally different things but the average taxpayer doesn't know that.

    Cuts will cut the taxes. The taxes due are still affected by limitations, etc... Credits are better and actually decrease the tax you are paying. Then there are non-refundable credits and refundable credits.

    With refundable credits you can have zero tax liability and still get a refund (that's how 40% of people Obama promised money to will get a refund). Non-refundable only brings the liability down to zero - no refund.

    This is all politics and Obama is trying to sound wonderful and people don't have a clue as to what he's saying. BTW, the tax info is correct - I prepare tax returns!

    Source(s): Obama is a DWEEB!
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  • 3 years ago

    all of them have been the bush tax cuts. Bush gave the middle type one or 2 tax cuts and the wealthy six or seven. (One on each earnings bracket they pay and extra cuts on investment earnings). Obama became against extending the bush tax cuts on the better earnings brackets. He did no longer help those. He purely supported the tax cuts that the middle type AND the wealthy might are transforming into to be. yet republicans threw a temper tantrum whilst they found out he did no longer intend to boost the extra bush tax cuts, on millionaires and billionaires. Then republicans threatened to stop tax cuts for the middle type until eventually the wealthy have been given greater suitable extra tax cuts (the bush tax cuts) prolonged.

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  • Anonymous
    1 decade ago

    How is this different from the Bush "stimulus" check that you received? Who cares what they call it. They are going to "cut" our taxes when the government is already spending more than we can afford.

    I didn't receive a stimulus check and I'm sure I won't get this tax cut either. It will phase out for the higher income workers so what is the point of me worrying about it. Maybe I should get myself knocked up with 10 kids so I can take advantage?

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  • It is what he says it is.

    It's quite simple. Working families (middle class= making up to 75,000 a year) will see a larger paycheck because of this. WHHHHHY? Because the taxes withheld by the government will drop.

    If that isn't a TAX CUT, then i don't know what is. It's not a substantial cut but it's a start.

    Stop trying to spin this..people are smarter than that and Obama is smarter than you. Lol

    I love your questions ;)

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  • Anonymous
    1 decade ago

    I wont get jack because I make too much. But the guy that pays NO taxes gets $500 how fair is that? I could use an extra $500 too! Especially since I have to give over 1/3 of my gross pay to the government!

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  • 1 decade ago

    After eight years of having the conservatives get whatever they want and the liberals whining about it, it's kind of refreshing to hear conservatives crying for a change. And conservatives crying over a tax break (or cut or refund or credit or whatever) -- I thought I'd heard it all!

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  • 1 decade ago

    No.

    But the term 'tax cut' sounds better than 'welfare' or 'income redistribution' - both of which are more accurate terms for taking money from those who pay taxes and handing it out to those who don't pay taxes.

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  • Anonymous
    1 decade ago

    Bush gave me and my wife 1600.00 as workers in a rebate. What this fool has offered up comes to about $10.00 a week of my own money.

    If it ever comes to pass, I will take that ten bucks and stick it in a coffee can just to make sure there is no stimulus from it at all.

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  • 1 decade ago

    If you don't pay taxes how could you get a tax cut.

    You don't. It's just wealth redistribution.

    As for getting it back by filing your taxes. Thats just a joke. You are essentially still lending that money to the government so that they can spend it, loan it, and erode its value. Yet when you file your taxes they will pay you no interest for that loan they forced you to give them.

    Sounds like a bad investment to me. Forego giving your money away in anticipation of a tax return. Withhold your tax payments and pay your tax at the end of the tax year. That gives you a year to stick that extra money into CDs and money market funds and lets you earn the profit that the government was going to steal from you.

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  • Anonymous
    1 decade ago

    Yes. If I pay an amount in taxes one year and pay less the next year, then it is a tax cut. It is real simple.

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