Obama to delay enforcement of Obamacare mandate

The Obama Administration will delay enforcement of key provisions of the wildly unpopular “Affordable Care Act”, known as Obamacare, until 2015 in response to mountains of complaints from companies nationwide regarding its strict reporting requirements and coverage demands.  For the next two years, businesses will not be punished if they do not provide health care coverage under the tenants of the new law.

According to officials, the delay is to help the administration simplify reporting requirements.  Not so coincidentally, delaying the law’s enforcement until 2015 also allows mid-term elections to proceed without the burden of democratic politicians defending the law and its ramifications to businesses and employment in key battleground states.

The law hits smaller businesses the most.  It requires that businesses with more than 50 employees provide health coverage based on a series of eligibility requirements.  The corruption-prove Internal Revenue Service has been tasked with the implementation of the law, demanding that businesses submit substantial paperwork to satisfy the new regulations.

Libertarian Party: Don’t investigate the IRS, abolish it!

no_irsAs politicians in Washington D.C. scramble to take best advantage of the IRS debacle over targeting conservative and Tea Party groups for extra scrutiny, the Libertarian Party has upped the ante and is calling for the elimination of the Internal Revenue Service altogether.  Forget the investigation…just get rid of it.

“We must abolish the IRS and end any need for a regulatory agency that snoops into people’s private lives,” said Libertarian party Executive Director Carla Howell.  She added that our federal government needs far fewer resources to address their constitutionally-authorized obligations.  “We don’t need an income tax, and we certainly don’t need the IRS,” Howell added.

If elimination were to be discussed, now would be the time.  Officials within the IRS refuse to admit what they know and when they knew it.  It is more clear than ever that corruption exists in all levels of government, and the IRS is quickly turning into a prime example of how rampant uncontrolled power and unaccountable government employees really are within our federal bureaucracy.  How much more evidence do Americans need before they stand up for their own rights and call for an end to one of the more historically corrupt entities of the federal government?

Once again, the Libertarian Party is the only party calling for an end to political corruption.  Neither the Republicans nor the Democrats have called for the elimination of the IRS, opting instead to maintain the abuse of so many American’s tax dollars and an insanely complex and punitive system of taxation.

“Individuals, businesses, and political organizations will all be safe from government interrogation and free to express their political views. It will dramatically increase the wealth of the private sector and inspire hundreds of billions of dollars in investment in small businesses and American jobs,” Howell said.

Ron Paul: The IRS itself is the problem

“What do you expect when you target the President?” This is what an Internal Revenue Service (IRS) agent allegedly said to the head of a conservative organization that was being audited after calling for the impeachment of then-President Clinton. Recent revelations that IRS agents gave “special scrutiny” to organizations opposed to the current administration’s policies suggest that many in the IRS still believe harassing the President’s opponents is part of their job.

As troubling as these recent reports are, it would be a grave mistake to think that IRS harassment of opponents of the incumbent President is a modern, or a partisan, phenomenon. As scholar Burton Folsom pointed out in his book New Deal or Raw Deal, IRS agents in the 1930s were essentially “hit squads” against opponents of the New Deal. It is well-known that the administrations of John F. Kennedy and Lyndon Johnson used the IRS to silence their critics. One of the articles of impeachment drawn up against Richard Nixon dealt with his use of the IRS to harass his political enemies. Allegations of IRS abuses were common during the Clinton administration, and just this week some of the current administration’s defenders recalled that antiwar and progressive groups alleged harassment by the IRS during the Bush presidency.

The bipartisan tradition of using the IRS as a tool to harass political opponents suggests that the problem is deeper than just a few “rogue” IRS agents – or even corruption within one, two, three or many administrations. Instead, the problem lays in the extraordinary power the tax system grants the IRS.

The IRS routinely obtains information about how we earn a living, what investments we make, what we spend on ourselves and our families, and even what charitable and religious organizations we support. Starting next year, the IRS will be collecting personally identifiable health insurance information in order to ensure we are complying with Obamacare’s mandates.

The current tax laws even give the IRS power to marginalize any educational, political, or even religious organizations whose goals, beliefs, and values are not favored by the current regime by denying those organizations “tax-free” status. This is the root of the latest scandal involving the IRS.

Considering the type of power the IRS excises over the American people, and the propensity of those who hold power to violate liberty, it is surprising we do not hear about more cases of politically-motivated IRS harassment. As the first U.S. Supreme Court Chief Justice John Marshall said, “The power to tax is the power to destroy” – and who better to destroy than one’s political enemies?

The United States flourished for over 120 years without an income tax, and our liberty and prosperity will only benefit from getting rid of the current tax system. The federal government will get along just fine without its immoral claim on the fruits of our labor, particularly if the elimination of federal income taxes are accompanied by serious reduction in all areas of spending, starting with the military spending beloved by so many who claim to be opponents of high taxes and big government.

While it is important for Congress to investigate the most recent scandal and ensure all involved are held accountable, we cannot pretend that the problem is a few bad actors. The very purpose of the IRS is to transfer wealth from one group to another while violating our liberties in the process. Thus the only way Congress can protect our freedoms is to repeal the income tax and shutter the doors of the IRS once and for all.

A nation of taxation: How tax complexity crushes your freedom

A copy of the US tax code. (left)

Taxes. Who doesn’t love to gripe about how high or how unfair our taxes are in the United States? The problem, however, doesn’t just lie in how much we are taxed (too much) but also the reason why we are taxed – and those reasons are not always what you think.

The government devotes a significant amount of effort into fooling you to believe that you are not paying as much in taxes as you truly are, not to mention obscuring how much everyone else is paying (or not paying as the case may be) in taxes. If you had any doubt as to the web of tax code complexity, one only needs to look at the number of pages in just our Federal Income Tax Rules — a staggering 73,608 pages as of 2012 (according to the Cato Institute). Yes, you read that right - 73,608 pages.

Now, compare that number to the mere 400 pages it took in 1913; surely this suggests our basic method of obtaining money (working and investing) has drastically changed in the past 100 years,  Thus, we need more laws to fairly capture that — right?

Just consider this: due to the sheer complexity of the federal income tax, complete with deductions, credits, penalties, exemptions, different schedules, filing status’ and other variables, no one is sure of what anyone else is paying. Worse yet, in order to comply with our current federal income tax, Americans can expect virtually no privacy. Your business has no privacy. There is a price tag attached to everything, and everyone, in your life. Then there’s the rising cost of compliance by spending time filing, or paying someone to file, your returns. Even then, are you ever sure that you did it 100% correctly?

Often heard is the story of how Al Capone was brought down. Everyone assumed he was guilty of racketeering, extortion, and murder — but there was no solid evidence that would result in a conviction in a court of law. In the end, the District Attorney’s office turned to the IRS and caught him on tax evasion. That story is always told as if it’s karma or a badge of honor by the justice system for being creative instead of what it truly is: the scary reality that if you can’t honestly convict someone of a crime, you can always fall back on the convoluted and invasive income tax code to arrest them. Are you really sure of every return you’ve filed in the past seven years?  Are you truly confident in its accuracy?

And that’s just one form of taxation the government levies.  Other ways the government taxes the individual:

  1. State income tax
  2. Local income tax
  3. Employee social security tax (your employer pays the other half)
  4. Employee Medicare tax (your employer pays the other half)
  5. Property taxes
  6. Road toll charges
  7. State sales tax
  8. Driver’s license renewal fee
  9. TV Cable/Satellite fees & taxes
  10. Federal telephone surtax, excise tax, and universal surcharge
  11. Federal inheritance tax
  12. Gas/electric bill fees & taxes
  13. Water/sewer fees & taxes
  14. Car Registrations
  15. and the list goes on and on

Between the complicated big taxes, the myriad of small taxes, and the literally endless list of fees (which are taxes) — does anyone here actually know what exact dollar amount they are paying in total? How about specific amounts to the federal, state, and local governments? Is your Medicare tax higher or lower than your state income tax? How about an idea of what your neighbors pay?

Couldn’t come up with an exact figure for any of it? Neither could I and the government likes it that way. Politicians love complexity in the system because it confuses Americans into assuming their tax liability is correct.  Furthermore, they want you to think someone else is getting away with not paying their fair share (the rich?) and we should raise their taxes – but remember, you are also getting away with something, so you should continue to vote for them. They play this game from the very poor to the very rich and no one is immune. So that percentage of income tax you think you pay is, in reality, a small portion of the overall tax burden you contribute to on a daily basis.

When all is taken into account, the average American pays nearly 30% of their total income in taxes through all the various income, sales, and other taxes levied by the federal, state, and local governments. That means if you started working on January 1st, you would not start earning money for yourself till nearly the end of April. (http://taxfoundation.org/tax-topics/tax-freedom-day) You pay more for government than you do on housing, food, clothing, and gasoline combined.

You may have noticed that the federal income tax only makes up about 1/3 of that 30%, or about 10% of the total. If it weren’t for all the deductions and credits, this would be much higher and the average American family would be paying something more akin to 35-45% in total taxes — which naturally would have a horribly deadening effect upon our economy. This is well known by politicians and is the reason behind why they put these deductions there in the first place. So the real question becomes not why they are putting the deductions in place but why are our tax rates so high that we need these deductions and credits to function? The answer is simple: to fool you and let them continue to hike your taxes up higher and higher in vague and confusing ways to continue the ever-expanding government of dependence.

Not mad enough? Part 2 will cover the abuse of our tax code and why congress imposes all these taxes — and it’s not always just about the money.