The Hill, Bloomberg uncritically reported McCain's false suggestion that Obama would increase taxes on 21.6 million small businesses
SUMMARY: The Hill and Bloomberg News uncritically reported Sen. John McCain's false suggestion in a June 10 speech that Sen. Barack Obama plans to raise taxes on 21.6 million small businesses that file taxes under the individual income tax. However, Obama has proposed rolling back the Bush tax cuts only on "people who are making 250,000 dollars a year or more," and according to the nonpartisan Tax Policy Center, only 481,000 small businesses fall into the tax brackets that would be affected by those increases.
June 10 articles published by The Hill and Bloomberg News discussing Sen. John McCain's speech that day at the National Small Business Summit uncritically reported McCain's false suggestion that Sen. Barack Obama plans to raise taxes on 21.6 million sole proprietorships that file taxes under the individual income tax. However, Obama has proposed rolling back the Bush tax cuts only on "people who are making 250,000 dollars a year or more," and according to the nonpartisan Tax Policy Center's table of 2007 tax returns that reported small-business income, only 481,000 of those returns are in the top two income-tax brackets -- which include all filers with taxable incomes of more than $250,000 -- not 21.6 million.
McCain stated in his speech: "Senator Obama's plans would add to the difficulties of small business in other ways, too. Currently, there are the 21.6 million sole proprietorships filing under the individual income tax. When Senator Obama talks about raising income tax rates on those making over 250,000 dollars -- that includes these businesses as well." The Hill reported: "The heart of McCain's speech and his biggest criticism of Obama's approach to tax policy are rooted in the Democrat's pledge to repeal the Bush tax cuts for those making more than $250,000 a year," and added, "McCain argued Tuesday morning that because there are currently more than 21 million small-business owners filing individual tax returns, they would fall under the category of taxpayers making more than $250,000 a year." Likewise, the Bloomberg article reported that McCain "said Obama's plans would subject 21.6 million small-business owners to income-tax increases." Neither The Hill nor Bloomberg noted the Tax Policy Center's finding.
From the June 10 Hill article:
The heart of McCain's speech and his biggest criticism of Obama's approach to tax policy are rooted in the Democrat's pledge to repeal the Bush tax cuts for those making more than $250,000 a year.
In what amounts to a repeat of sorts of the same tax battle waged between Bush and Democratic nominee Sen. John Kerry (Mass.) in 2004, McCain is charging that Obama's plan to repeal the tax cuts translates into a tax increase for all Americans, especially small-business owners.
McCain argued Tuesday morning that because there are currently more than 21 million small-business owners filing individual tax returns, they would fall under the category of taxpayers making more than $250,000 a year.
From the June 10 Bloomberg News article:
McCain, in his speech, said small business is crucial to creating jobs "in this very tough time'' for the U.S. economy.
"I intend to keep the current low income and investment tax rates,'' he said. "And I will pursue tax reform that supports the wage-earners and job-creators who make this economy run.''
He said Obama's plans would subject 21.6 million small- business owners to income-tax increases.
"Americans of every background would see their taxes rise,'' McCain said.
The Republican mantra for this campaign cycle is "Obama will raise your taxes." There is no qualification to this, just that he will raise taxes. The 2% is never mentioned. Very simplistic, the Republicans are, Mc Cain, surrogates, campaigners and listeners alike, if they all believe that every small business will see an increase.
But then again, what do they have to work with? Huffington Post's article on Mc Cain today illustrated how out of touch Mc Cain is with all the issues here today in the US and how the Republicans are approaching a near panic state. But their standard issue warhawk candidate has a lot to contend with...read Bush 2001-2008.
It's no wonder why they come out with irresponsible stats like the 21 million businesses. It's a Hail Mary pass which is what they have left to work with.
The MSM is not "he said, she said" when it comes to a Democrat's comments. They'll loudly assert the Democrat is wrong and lying, even when (s)he isn't.
Media analysis always fails when bias isn't accounted for. Is the media too soft on authority? Not when the authority's a democrat. Does the media hawk wars for ratings? Not if it's a democrat's war. Does the media fail to follow up on tough questions? Not if they're asking a democrat. Is the media just money-hungry? Not when most of their audience is liberal.
Fact of the matter, Media Matters(very little)... http://www.census.gov/epcd/www/smallbus.html
"About three quarters of all U.S. business firms have no payroll. Most are self-employed persons operating unincorporated businesses, and may or may not be the owner's principal source of income. Because nonemployers account for only about 3.4 percent of business receipts, they are not included in most business statistics, for example, most reports from the Economic Census. Since 1997, however, nonemployers have grown faster than employer firms."
Since Obama wants to increase EVERYONE'S base payroll tax, he hits everybody. And look at the numbers of people employed by small businesses, I figure that those numbers will go down because of the disincentive to enlarge the business. I never got a paycheck signed by someone who was poor.
His plan is a loser for this country.
Oh, really? EVERYONE'S? Care to provide a link for that assertion?
I never got a paycheck signed by someone who was poor.
Proudcon: Are you getting paid by opponents of MMFA for posting contrarian views.
The budget has been wrecked by the Iraqi fiasco, so taxes matter more than ever. The increased bureaucracy also soaks up dollars. It would be nice if all sides in the political milieu could actually reduce spending in low priority items.
I never got a paycheck signed by someone who was poor.
More nonsense for Republicans who don't understand (or hope that you don't understand) basic economics. Where do you think that paycheck COMES from exactly? Chances are you sell goods or services. And chances are you sell them to the 98% of people who's taxes WILL NOT go up under Obama's plan. (*And If you sell to other businesses, chanes are their money comes from such people.) Or, if you sell godds and services to the government, then it comes from taxes. So unless you think money grows on trees, in the backyards of rich people, BELIEVE ME, 'poor people' DO in fact pay your salary.