Reject Bush's Plan to Eliminate the Tax on Stock Dividends|
2003-01-24, 7:51 p.m.
The United States economy is in real trouble, and the Bush Administration is proposing a tax cut that won't help, will mainly reward many of its donors and will cause the deficit to mushroom for decades to come.
In a move that stunned most political observers, Mr. Bush has proposed to cut taxes by an estimated $300 billion over the next decade by eliminating income taxes on dividends paid by companies to investors. This measure alone accounts for half of Mr. Bush's total plan. According to the Center on Budget and Policy Priorities, nearly two-thirds of the financial payoff from this tax cut would go to the top 5% of the population, whose average income is $350,000. If this was not so completely skewed, one might think the proposal is a satirical version of class warfare.
With the states facing huge budget deficits and the long-term unemployment situation not improving, we need an immediate boost to the economy and the job market, not a drawn-out plan that will primarily benefit the rich and wealthy.
It is true that investors in the stock market have lost literally hundreds of billions of dollars from dotcom fantasies and out and out fraud, but such problems require strengthening the SEC and prosecuting corporate crime, not enriching the investor class.
Urge your senator to reject the elimination of taxes on stock dividends and to promote a plan for economic recovery that is immediate and puts funds into the hands of those who will put them to good use without delay.
"Let us rise up tonight with a greater readiness. Let us stand with a greater determination. And let us move on in these powerful days, these days of challenge to make America what it ought to be. We have an opportunity to make America a better nation." - Martin Luther King, Jr.