“Buffett Rule” Really a Tax on Manufacturers

By April 10, 2012Taxation

President Obama spoke at Florida Atlantic University today to discuss the so-called “Buffett Rule” that would significantly raise taxes on American job creators. Unfortunately, his comments continued the class-warfare rhetoric that has come to define nearly all of his efforts regarding our tax system.

Nearly two-thirds of manufacturers file as individuals, and the proposed tax hike on businesses will have a seriously harmful effect on them. The President is selling this proposal as a tax on millionaires, but it’s really a tax on manufacturers.

Businesses need certainty in the tax code so they may plan for the future. Pushing for job killing tax increases only serves to throw our economy into disarray and creates yet another road block to growth. The President’s proposal is extremely unlikely to get through Congress and would hardly make a blip on the radar when it comes to our national debt.

The President needs to stop pitting American’s against each other and instead embrace comprehensive tax reform that the NAM has vigorously supported through our Four Goals for Economic Growth.

Join the discussion One Comment

  • Gary Shapiro says:

    I share your sentiments…but actually it is worse.

    As CNN, AP and even NPR report, the proposal affects very few people and will riase very little money. NPR today said 217,000 households will have to pay on average $190,000 more. It only applies to passive income, not earned income.

    The tax code today favors passive income as it is invested in factories, facilities, government bonds, etc. All things which creat economic grtowth and jobs. Raising the taxes means their will be less activity in these areas and money wil flow to non-income produciong assets like real estate, art, diamonds, etc.

    What a blantantly crazy proposal that will produce only enough revenue to pay down a few days of our deficit but will have the side effect of hurting jobs and investment. This Administration is the most anti-business and irresponsible government of my lifetime.

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