Of course! Where would we be without that Capital Gains write off or the one for your new yacht (business purposes don't ya' know) and even that childcare credit come April 15th each year? Corporate tax breaks, deductions for solar panel and other energy efficient installations, the list goes on and on..........all tax "incentives" to encourage money flow, business growth and spending...right?
In fact America loves it's tax breaks, especially the very rich who are able to benefit from the majority. It's gone even so far as rewardinglarge corporations with tax breaks to even do business in the U.S. As an example, Starbucks receives a tax break for roasting their coffee beans here. Seriously? Wait a minute. That's part of "manufacturing", isn't it? We may as well give U.S. Steel a break for having it's own smelter (please don't suggest that one - they'll probably lobby for it!)
Well that what they basically consider an "expenditure" the same as when the government issues a "tax holiday" for Corporations to repatriate funds from overseas and not taxing the interest earned on tax-free bonds. Those again are "expenditures", gimme's, tax breaks so it shouldn't come to anyone's surprise to see this report by the bi-partisan Congressional Budget Office which shows the U.S. "spends" more on tax breaks than Social Security, Medicare of Defense Spending.
What's disgusting is everyone agrees the tax code is overly complicated yet generation after generation fails to step up to the plate with a true overhaul. *sigh* Oh well. Another election will approach and I'm certain it's candidates will be all over this report pointing fingers at one another. We may as well read it now and avoid all the fact-checkers come 2016.
This rant inspired by TheAtlantic
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