'A look at tax credits and corporate welfare'

from niagara-gazette...........

"While brainstorming ways to overcome the federal debt and future deficits, the U.S. Senate’s Gang of Six came up with the suggestion that American workers give up — either partially or entirely — certain tax exemptions that cover mortgages, health insurance, retirement investing and charitable giving.

That’s all well and good. Income tax credits, incentives and the like aren’t good government due to their inherent unfairness. Some folks even classify them as a form of welfare. They are definitely a transfer of wealth because the Treasury has to overcome the lost revenues from the class of individual afforded financial advantage by transferring the burden of revenue to another.

But, what’s good for the goose is good for the gander. And, that’s where the Gang of Six goes wrong.

It’s not surprising that while tearing into these long-held rewards for the middle class, they only briefly mentioned cutting “some” tax breaks for corporations and were non-specific about what those might be. Considering how specific they were about what benefits should end for individuals, their silence speaks volumes about how the balance of inequity tips further in the favor of the large corporations"...........READ MORE