This article deals with Mitt Romney and the taxes he pays. Near the end the article says, "Mr. Romney and other Republican candidates have not only opposed higher
taxes on the wealthy, but also favor maintaining or expanding the
relatively low rates for capital gains and investment income, breaks
that Republicans and others favor as a way to spur investment and reward
risk-taking but which critics say have fed the growing wealth gap."
"Those reductions in taxes on investments began with a deal between Bill
Clinton, a Democrat, and Mr. Romney’s chief rival for the Republican
nomination, Newt Gingrich, then speaker of the House. They accelerated
under President George W. Bush, who cut taxes on dividends and capitals
gains to their current levels, and survived a push by Mr. Obama and the
Democratic majorities in Congress in 2010 to restrict tax advantages for
financial managers. Indeed, if Mr. Romney became president and won
approval of his own tax proposals he would pay less in federal taxes
than he would under current law."
What do you you guys think about Romney's taxes? Do you or do you not believe it's hurting the economy/ Should the wealthy have higher taxes? Do you believe Republicans (as referred to in the article) favor lower taxes to "spur investment and reward risk-taking" or do they just care about their own personal wealth?Also, what does this issue mean for Romney as a candidate, if anything?
The government's role is to balance the economy. Currently, something needs to be done to create more revenue for the government so it can find its way out of this deficit. The wealthy can afford pay a little extra in taxes. However, capital gains and investment income taxes should not change. This creates a disincentive for investment and saving. If someone makes money from investing, it is just because they know how to use their money, and they should not be punished for this. To help adjust the wealth gap, the poor should save a little more and invest a little more. Creating more taxes for investment income and savings, discourages them from doing so.
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