Senator Fred Thompson: tax increases will have a devastating effect on the economy

Urgent Letter from Senator Fred Thompson

 

Dear Fellow American:

President Obama and the Congress have a nasty habit of doing exactly the wrong thing at exactly the wrong time.

Here's the perfect example.

Our economy is as weak as a kitten, crawling out of a horrible recession and Congress is on the verge of letting the Bush tax cuts expire.

Yes, it's true. On Dec. 31 of this year, all of the Bush tax cuts will expire completely in one fell swoop.

Sen. Fred Thompson

Unless Congress acts, those tax hikes are going to hit like a ton of bricks.

When the Bush cuts expire, income tax rates will rise by 10 percent or more for every tax bracket.

Capital gains taxes will rise by one-third, and the top rate on dividend taxes will almost triple.

These tax increases will have a devastating effect on the economy.

They will crush jobs, deliver a fresh dose of misery to small business owners, and if you're wondering whether or not your taxes are going to go up, here's your answer:

If you pay taxes, your tax bill is going up — way up!

Liberals in the Obama administration say they just want to increase income taxes for the "rich." But Obama forgets that the "rich" include the most productive, most successful, and most entrepreneurial wage earners in the country.

If he raises their taxes, they will simply spend and invest less.

Even Federal Reserve Chairman Ben Bernanke has testified before Congress that this is not the time to raise taxes — the economy is simply too fragile.

Many in Congress agree. Even three leading Democratic senators came out and said the Bush tax cuts should be fully renewed, even for those who are making high incomes.

These Democrats understand that raising taxes in the middle of a recession is a recipe for disaster.

President Obama doesn't get it. He is simply unwilling to take practical steps to protect the economy and reassure the markets.

I fear that unless Congress and the president act promptly, many investors may sell their stocks and bonds to lock in profits at lower rates this year, sparking a major market decline next year.

Clearly, the public wants to keep the Bush tax cuts. When they were implemented in 2001 and 2003 after the 9/11 attacks and the dot-com crash of the '90s, they helped jump start the economy.

Some say that we need to worry about the deficit, and we should raise taxes to close this staggering burden to the economy.

The deficit is a real problem. But it wasn't caused by the Bush tax cuts. It was caused by out-of-control spending by Congress.

In fact, there have been three major tax cuts in recent history: the Kennedy cuts of the 1960s, the Reagan "Kemp-Roth" cuts of 1980s, and the Bush tax cuts. All helped spur economic activity and actually increased government revenues.

It's a simple truism of economics: If you tax something, you get less of it; if you subsidize something, you get more of it.

The Obama administration is dead-set on taxing consumer spending, productivity, and investment — while they want to dramatically increase spending on social programs.

Back in 2009, President Obama demanded that Congress pass the largest single spending bill in history — the $787 billion "stimulus" program.

He promised this would propel the U.S. economy and lower unemployment to 8 percent within 18 months.

The Obama stimulus has been a dud. Unemployment continues at almost 10 percent — and is much higher if you factor in all of those who have simply given up looking for work.

My friends, America is in serious trouble.

I don't get involved in many causes, but I feel this so important I have joined with the League of American Voters to support their national petition effort to renew the Bush tax cuts.

I need you to help us get our petition signed by millions of Americans so the League can tell Congress that you fully support the renewal of the Bush tax cuts.

To help our effort to Renew the Bush Tax Cuts — Go Here Now

The League of American Voters is conducting a massive grass-roots effort to extend the Bush tax cuts and make them permanent.

They will be airing national TV ads so that millions will hear the truth about the Bush tax cuts — facts they won't hear from the liberal media.

They will also conduct a major online, print, and mail campaign to wake up America to this massive Obama tax increase that is coming down the pike.

I know you will help.

The League of American Voters and I will deliver hundreds of thousands and hopefully millions of those petitions to Congress.

Help this urgent effort — Go Here Now.

One more thing: I support the League of American Voters, and I hope you will as well with a contribution so that they can reach millions of Americans with our urgent message.

The League of American Voters is a national, non-partisan organization that supports and educates Americans about the importance of limited government and a strong national defense — the principles of Ronald Reagan.

As you may recall, the League was one of the leaders that stopped Obama's public option from passing, which would have destroyed private healthcare in America.

Dick Morris, the Fox news analyst, says "The League is one of the most effective organizations in America. It deserves your support."

Unless we act, the Bush tax cuts will expire at midnight on Dec. 31.

We can stop this from happening, but we need to fight.

And when you sign the petition, be sure to include a contribution to the League of American Voters for for our national TV and media campaign to wake up the American people about the dangers of President Obama's policies.

A donation of $5000 can put our ad on a national cable TV news channel. A $1000 donation lets us buy
several ads in a major TV market. A donation of $500 or $250 will go along way. Even $25,$50, will help the League on this important mission.

And please remember, there's no limit on how much you or your company can donate to this important cause.

When you sign the petition and make a contribution, you'll send a powerful message.

You aren't undertaxed. The government overspends!

That's a message the professional politicians in Washington need to hear right now. With an election coming up fast, a lot of the liberal spenders are feeling desperate — their jobs are on the line.

The long-suffering American taxpayers feel fed up, frustrated, taken for granted, and put upon, and if the politicians let the Bush tax cuts expire on Dec. 31, the outcry is going to hit them right between the eyes.

Here's what I think:

The big spenders in Congress aren't good at listening. But if we deliver hundreds of thousands, maybe even millions, of signed petitions right to their cozy D.C. offices we're going to get their attention!

So let's take care of business and let them know that there's too much government now in all the wrong places, and it will be economic suicide to let the Bush tax cuts expire, effectively sending everybody's tax bill soaring.

Sign your petition right away.

Be sure to include a contribution to the League of American Voters for $10 or $25 or $50 or $100 to keep letters like this one going out and to put our TV ads on the air.

In fact, there's no limit to how much you or your business can donate to the League, so help them on this important mission.

The congressional liberals are hungry for more of your money. Send them a message that it's your money and not theirs. — Please Go Here Now.

Tell them in a loud, clear voice that the government spends too much now; it's always a bad time to raise taxes and to raise taxes in these economic times is just plain stupid.

That's just common sense. Like the Ivy League professor said, "It's not rocket surgery."

Yours for America, 

Fred Thompson 
U.S. Senator 1994 - 2003

P.S. When the government tells you that letting the Bush tax cuts expire is "for your own good," you know it's not. When they insist that "your taxes won't go up, only rich people's will," don't believe them. Take action. Share this letter with all your friends and family in your e-mail contacts list. You CAN make a difference — Please Go Here Now.