After Obama’s first year in office, federal spending reached 25.2% of GDP, the highest in this country’s history. With two wars underway, Bush’s full 8 years averaged increased spending of 19.6% of GDP. Lauded fiscal wizard Bill Clinton, with no wars, averaged 19.8% after two terms in the White House (read it here). If you think Obama’s first year spending was Bush’s fault, read on. Barack Obama is the biggest spender…ever.
Democrats continue to “blame Bush” for debt and deficit. George W. Bush is blamed for the spending in the 2009 “Bush” budget (fiscal year October 2008 – September 2009) which Bush DID NOT SIGN after his own budget submitted to a completely Democrat Congress for that time period was reworked under the control of Nancy Pelosi and Harry Reid. Bush’s budget proposed a 3% increase in spending. By the time Pelosi, Reid and Democrats, et al were finished with it, spending increases soared to 17.9%. The budget was NEVER presented to Bush for signature and Democrats ran the government with continuing resolutions until Obama took office in January 2009. Obama then signed the Democrat budget. G. W. had nothing to do with that monster. Tuck this info away and use it when you are in the presence of your liberal in-laws.
The previous administration, or President, proposes a budget. The previous Congress approves a budget. And what Congress approves can be radically different from what the President proposes…
As Hans Bader reported on May 26 for the Washington Examiner, the budget approved and implemented by Pelosi, Obama and the rest of the Congressional Democrat majorities provided for a 17.9 percent increase in spending for fiscal 2009!…
Bush’s fiscal 2008 budget (October 2007 – September 2008) called for making permanent his his first-term tax cuts. Military spending swelled to $624 Billion, up $24 Billion from 2007. Note that the 2008 budget was the FIRST TIME EVER that war costs were added to the annual budget, rather than being represented solely in a supplemental appropriation. So, there’s that.
With the Bush 2008 budget, the deficit was expected to reach $400 Billion in 2012. Instead, under Obama – without a federal budget, the deficit for 2012 is expected to be $1.17 Trillion by September 2012. According to the Congressional Budget Office (CBO), as a share of the nation’s output (gross domestic product), the $1.17Trillion is higher than any deficit between 1947 and 2008.
By October 2011, Obama, in less than three years, had increased the federal debt more than the total of all presidents – George Washington through George H. W. Bush – combined.
This $4.212-trillion increase in the national debt means that during Obama’s term the federal government has already borrowed about an additional $35,835 for every American household–or $44,980 for every full-time private-sector worker. (According to the Census Bureau there were about 117,538,000 households in the country in 2010, and, according to theBureau of Labor Statistics, there were about 93,641,000 full-time private-sector workers.) Source: CNS News
Next year, under President Obama’s policies, the top tax rates of virtually every major federal tax are already scheduled to increase under current law. That is because the Obamacare tax increases are scheduled to go into effect, and the Bush tax cuts expire, which President Obama proposes refuses to renew for singles making over $200,000 a year, and couples making over $250,000. President Obama is now proposing on top of that the Buffett Rule, which would increase tax rates on capital gains and dividends even further. Counting that, next year the top tax rate for capital gains would increase by 100%, the top tax rate on corporate dividends would increase by 100%, the top two income tax rates would increase by nearly 20%, and the Medicare payroll tax again for singles making over $200,000 and couples making over $250,000 would increase by 62% (under Obamacare).
This is all on top of the corporate income tax rate, which counting state corporate rates is nearly 40%, the highest in the world now, except for the socialist one party state of Cameroon.
Under the Buffett Rule, America’s capital gains tax rate would be the fourth highest in the industrialized world.Based on historical precedent, these tax rate increases are unlikely to raise anywhere near the revenue projected by CBO, meaning even higher future deficits and debt.
Recall (wink, wink):
After Obama’s first year in office, federal spending reached 25.2% of GDP, the highest in this country’s history. With two wars underway, Bush’s full 8 years averaged increased spending of 19.6% of GDP. That lauded fiscal wizard Bill Clinton, with no wars, averaged 19.8% after two terms in the White House (read it here).
When the new tax under health care reform is added to the expiration of the Bush tax cuts, in 2013:
• The top tax rate on ordinary income will rise from 35% to 43.4%—an increase of almost 25%
• The top tax rate on capital gains will rise from 15% to 23.8%—an increase of almost 60%
• The top tax rate on dividends will rise from 15% to 43.4%—an increase of almost 300%
• The estate tax exemption will drop from $5 million to $1 million and the estate tax rate will rise from 35% to 55%—an increase of over 55%
Congress need not pass a single piece of tax legislation in 2012 for these tax rates to take effect in 2013. They will happen by default.
Karen at The Lonely Conservative expands on the “Taxmaggedon” coming to the Middle Class courtesy of Obama, and she has the details of the $900 Million the IRS will spend to ready for grabbing your share of ObamaCare costs from your bank account. The biggest spender in world history will move out of the White House in January 2013 and start spending again as we fund the Obama Library of Failed Hope, Change and Socialism.