Obama's new welfare program...I mean tax cuts

Sarah Palin was on Glenn Beck today. She had some really great things to say. Here is my favorite quote:

"GOVERNOR PALIN: See, Glenn, people have got to hear his words, don't just be there at these rallies or anything else. Listening to what he's saying. You have to really, really hear what he is saying. Barack Obama claims that he will cut income taxes for 95% of Americans. The problem is more than 40% pay no income taxes at all. So how do you cut income taxes for folks who don't pay them? What he's going to do is write them a check and call that a tax cut, even though it's really a tax credit. And where is he going to get all the money for all those checks? By raising taxes on America's families and on our small businesses and folks just like Joe the plumber, and Barack Obama is playing with words to hide his real agenda of redistributing the hard earned money of American families and I mean, you've got to hand it to Joe the plumber in Toledo. He's the one who succeeded in finally getting Barack Obama to, in plain speak, explain what his intentions are for these quote/unquote tax cuts."


Here are some of Obama's ideas for redristributing wealth:

- A $500 tax credit ($1,000 a couple) to "make work pay" that phases out at income of $75,000 for individuals and $150,000 per couple.

- A $4,000 tax credit for college tuition.

- A 10% mortgage interest tax credit (on top of the existing mortgage interest deduction and other housing subsidies).

- A "savings" tax credit of 50% up to $1,000.

- An expansion of the earned-income tax credit that would allow single workers to receive as much as $555 a year, up from $175 now, and give these workers up to $1,110 if they are paying child support.

- A child care credit of 50% up to $6,000 of expenses a year.

- A "clean car" tax credit of up to $7,000 on the purchase of certain vehicles.


"Here's the political catch. All but the clean car credit would be "refundable," which is Washington-speak for the fact that you can receive these checks even if you have no income-tax liability. In other words, they are an income transfer -- a federal check -- from taxpayers to nontaxpayers. Once upon a time we called this "welfare," or in George McGovern's 1972 campaign a "Demogrant." Mr. Obama's genius is to call it a tax cut." (Wall Street Journal)