ABC: Tax Plan May Not Pass

[Kathianne]

One reason? People lose incentive to 'work hard' for other's benefit:

http://abcnews.go.com/Business/Economy/story?id=6975547&page=1


Upper-Income Taxpayers Look for Ways to Sidestep Obama Tax-Hike Plan
President Would Slap More Taxes on Those Who Make Over $250K to Fund Health Care

By EMILY FRIEDMAN
March 2, 2009 —

President Barack Obama's tax proposal  which promises to increase taxes for those families with incomes of $250,000 or more -- has some Americans brainstorming ways to decrease their pay, even if it's just by a dollar.

A 63-year-old attorney based in Lafayette, La., who asked not to be named, told ABCNews.com that she plans to cut back on her business to get her annual income under the quarter million mark should the Obama tax plan be passed by Congress and become law.

So far, Obama's tax plan is being looked at skeptically by both Democrats and Republicans and therefore may not pass at all.

"We are going to try to figure out how to make our income $249,999.00," she said.

"We have to find a way out where we can make just what we need to just under the line so we can benefit from Obama's tax plan," she added. "Why kill yourself working if you're going to give it all away to people who aren't working as hard?"...

[sgtdmski]

Is this any surprise, why work hard to make more money when the government will only take more of it. I refuse to work any overtime, because when I do, I see less money in my paycheck because the Federal Government taxes overcome income more heavily than it does regular time monies.

This is only common sense. Some will not be able to reduce their salaries, but instead they will find other ways to reduce their tax burdens. I always find it funny how the Democrats fail to remember their past, recall the Luxury Tax that imposed higher taxes on Yachts and Diamonds, what did the rich do??? They quit buying both, causing massive layoffs and higher unemployment in this industries.

I work as a traveller, and as such, my compensation is a lot higher than a full-time employee, including in my compensation is housing and transportation. Since this is considered income over a certain money threshold, I only work 7 - 8 months out of the year. Buy doing this I reduce my tax burden and I deprive many facilities desperately in need of my services access to my services.

dmk