Many times I see articles in the media about the economy, markets or government spending which demonstrate a clear lack of understanding by the reporter. It is understandable since finances are a subject about which many people have little knowledge, and reporters are no different. Nevertheless, it still surprises me when a media outlet that supposedly concentrates on markets and the economy shows ignorance about these subjects. Today, I came across this article by something called The Fiscal Times in which the reporter laments the passage by the Senate Finance Committee of certain tax provisions as loopholes and corporate giveaways. Here are some of these big breaks for corporate America that are the subject of the article:
1. Extension of the deduction for a certain portion of college tuition -- are we to take seriously someone who thinks that helping middle class families send their children to college is a giveaway?
2. Six different credits or deductions to help reduce the cost of renewable or less polluting energy sources.
3. Provisions that help families refinance their homes even after the fall in the market price of the properties, and other provisions that help first time home buyers afford new residences. This is hardly a loophole for big business.
4. Provisions that help encourage investment in new plant and equipment across America in order to promote job growth. These provisions help all investments.
5. Provisions that promote fairness in the tax code. For example, allowing people who live in states that have sales taxes rather than income taxes to deduct those sales taxes just like the people in the other states deduct income taxes.
Amazingly, out of the supposed $127 billion in breaks and loopholes that Fiscal Times denounces in the article, less than one billion could properly be described that way.
They should send someone at The Fiscal Times to college to study economics. Maybe then, the publication could at least come close to understanding the American economy and tax system.
1. Extension of the deduction for a certain portion of college tuition -- are we to take seriously someone who thinks that helping middle class families send their children to college is a giveaway?
2. Six different credits or deductions to help reduce the cost of renewable or less polluting energy sources.
3. Provisions that help families refinance their homes even after the fall in the market price of the properties, and other provisions that help first time home buyers afford new residences. This is hardly a loophole for big business.
4. Provisions that help encourage investment in new plant and equipment across America in order to promote job growth. These provisions help all investments.
5. Provisions that promote fairness in the tax code. For example, allowing people who live in states that have sales taxes rather than income taxes to deduct those sales taxes just like the people in the other states deduct income taxes.
Amazingly, out of the supposed $127 billion in breaks and loopholes that Fiscal Times denounces in the article, less than one billion could properly be described that way.
They should send someone at The Fiscal Times to college to study economics. Maybe then, the publication could at least come close to understanding the American economy and tax system.
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