Live from Music Row Wednesday morning on The Tennessee Star Report with Michael Patrick Leahy – broadcast on Nashville’s Talk Radio 98.3 and 1510 WLAC weekdays from 5:00 a.m. to 8:00 a.m. – host Leahy welcomed the original all-star panelist Crom Carmichael to the studio to discuss the ways in which the Democratic Party intends to crush the middle class.
Leahy: Crom, you want to talk a little bit about Joe Biden’s very bad foreign policy but also now his very bad domestic policy as it regards to Texas.
Carmichael: Yeah. Well, it’s just it’s the Democrat Party and especially the wing of the Democratic Party that now controls the Democrat Party. They truly want to crush the middle class.
Carmichael: They want to crush them to ways. They want to crush them with taxes and they want to crush them with healthcare costs. So I want to read a quote. Somebody sent me this quote of how the Democrats think about Obamacare. There are four steps. Here they go. Number one in order to insure the uninsured we first have to unsure the insured. (Leahy laughs) Number two. Next, we require the newly uninsured to be reinsured. Number three. To reinsure the newly uninsured they are required to pay extra charges to be reinsured. That’s the premium hikes and the increase in the deductibles.
Leahy: Somebody is benefiting and somebody is losing here.
Carmichael: Yes. Yes, number four. Well, it’s the state that benefits mostly. Number four. The extra charges are required so that the original insured who became uninsured and then became reinsured can pay enough extra so that the original uninsured can be insured free of charge to them.
Leahy: There you go.
Carmichael: So let that kind of sink in. That is what Obamacare is and it is what has driven premiums up over $5,000 per family and driven deductibles up over $10,000. If you are unfortunate enough to have two family members who have large healthcare costs in a single year, you are destroyed because of the Democrats’ plan for healthcare.
Now, here’s what Biden wants to do. And he’s very clear about this. Biden wants to increase the tax rate on people making over $400,000 from 35 percent to 39.6 percent. Well, that doesn’t sound all that terrible. But here’s what else he wants to do. He wants to take the cap off of social security for people over $400,000.
Leahy: Oh dear.
Carmichael: That’s 12.4 percent.
Leahy: That’s a lot of money.
Carmichael: That is 12.4 percent. And by the way that 12.4 you pay taxes again on that because that is not a deduction. That’s not part of the tax deduction. If you’re making over $400,000 and you live in New York under Biden’s plan. Your marginal tax rate will go to 39.6 and you’ll be paying 12.4 and you’ll be paying state and local taxes. You’ll be in the 65 percent tax bracket.
Leahy: You know what this reminds me of the old phrase? The beatings will continue until morale improves. (Chuckles)
Carmichael: In the 70s. We had to liquidity crises. And the liquidity crises that we had were due to the very high marginal tax rates. Because people couldn’t do anything. And by the way, Biden wants to move the capital gains tax to the same tax as the income tax.
Leahy: Which is a big increase.
Carmichael: A huge increase that would go from 20 percent to 40 percent.
Leahy: Capital gains is the tax you pay on returns from long term typically long-term investments in creating companies and other things.
Carmichael: Yes, but what it does is it will freeze capital because people won’t sell. They won’t sell an asset for a profit if they have to pay that kind of tax on it. And by the way this the super-rich. Tthe super-rich simply borrow against their wealth. They borrow against their wealth in order to live whatever lifestyle they want. So they don’t pay any taxes. Jeff Bezos and Mark Zuckerberg, they don’t pay taxes. They’re the wealthiest people. And neither does as Warren Buffett as he says.
Leahy: And he’s not volunteering to pay it.
Leahy: They know how to work the system.
Carmichael: But the super wealthy and this isn’t people with high incomes. Somebody making $10 million.
Leahy: You’re talking about people who make well over a billion dollars.
Carmichael: No I’m talking about people over 10 billion. I’m saying the super-wealthy, they are all Democrats.
Listen to the full third hour here:
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