Tuesday, January 13, 2015

FROM THE HAVES TO THE SOON TO HAVES

Finally the Democrats (not Republicans) are fulfilling the promise to share the wealth held by the "haves" to the "soon to haves" (as Republicans put it) which will probably have to wait until 2016 to see it happen.


Senior Democrats, dissatisfied with the party’s tepid prescriptions for combating income inequality, are drafting an “action plan” that calls for a massive transfer of wealth from the super-rich and Wall Street traders to the heart of the middle class.

The centerpiece of the proposal, set to be unveiled Monday by Rep. Chris Van Hollen (D-Md.), is a “paycheck bonus credit” that would shave $2,000 a year off the tax bills of couples earning less than $200,000. Other provisions would nearly triple the tax credit for child care and reward people who save at least $500 a year.

The windfall — about $1.2 trillion over a decade — would come directly from the pockets of Wall Street “high rollers” through a new fee on financial transactions, and from the top 1 percent of earners, who would lose billions of dollars in lucrative tax breaks.

The plan also would use the tax code to prod employers to boost wages, which have been stagnant for four decades despite gains in productivity and profits.

“This is a plan to help tackle the challenge of our times,” Van Hollen said, previewing a Monday speech at the Center for American Progress. “We want a growing economy that works for all Americans, not just the wealthy few.”