Under Obama, the top rate on long-term capital gains would rise from 15 percent to 20 percent. Romney, on the other hand, plans to keep that tax at its current rate.
Obama often likes to say he plans to cut taxes on the middle class. Lately, it seems as if his two favorite words are “middle” and “class,” but doesn’t seem very interested in what he plans to do for anyone else.
Unlike the president, Romney plans to cut taxes across the board. Romney plans to make permanent, across-the-board 20 percent cut in marginal tax rates. This directly contradicts the lies coming from the left, claiming Romney will cut taxes for the rich while raising them for everyone else.
Additionally, for those making less than $200,000 a year, Romney plans to eliminate taxes on interest, dividends and capital gains.
To make American businesses more competitive on a global level, Romney plans to cut the corporate tax rate to 25 percent, and he will repeal the corporate Alternative Minimum Tax.
Several economists will argue that lowering taxes actually increases revenue to the government, so Romney’s tax plan makes sense. When taxes are higher, people begin moving their money overseas and stop spending and investing here in America.
If that money is spent and invested here within our borders, it is taxed. If high taxes lead people to halt that, and they stop using their money here, then revenue drops. It’s as simple as that.
The choice between the two candidates is very clear. If you believe raising taxes will magically stimulate the economy, and if you believe the government has somehow proven itself to be responsible with our money, then you would like Obama’s tax policies that raise tax rates and keep already high rates at current levels.
If you’re like me and you believe cutting taxes on all levels will increase consumer purchasing, investment and job creation, then Romney’s tax plan is the plan for you.
If we want to get this economy back on track, we must create an environment where people want to spend and invest because they aren’t being taxed left and right. That is what will get our economy moving again, and Obama doesn’t want to lower taxes to do that.