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Tuesday, August 01, 2006
Heather Wilson Votes for Multi-Millionaire Heirs to Get 183 Years of Minimum Wage Income
Paris Hilton and other elite heirs must be partying even harder than before. The Republican-run House of Representatives just voted to allow our wealthiest citizens to avoid the estate tax. Heather Wilson was right there as usual, voting in tandem with the Rove-orchestrated Republicans as she does more than 90 percent of the time.
As cover, the legislation also includes a measure to raise the minimum wage. You read that right. Despite voting en masse for years against a raise in the minimum wage, Heather Wilson and other conservatives suddenly found themselves excited about giving the working poor a raise. At a price, of course -- a dramatic cut in the estate tax for many of their big dollar donors. Even worse, the bill would CUT the minimum wage in some areas by over-riding local minimum wage laws that cover hourly workers who get tips. What a deal! Paris Hilton's tax cut would be coming directly out of the lower wages for tipped workers in California and a number of others states.
Think Progress estimates that:
... the minimum wage hike will increase the incomes of full-time, minimum wage workers by $84 a week, or about $4,368 a year. This would bring their income up to just over $15,000 a year (assuming 40 hours per week and 52 weeks per year.)
By contrast, the heirs of multimillionaires would receive substantially more by way of benefits. Consider the heirs who stand to receive a $10 million fortune through married parents. Under the new proposed law they would receive a tax break of as much as $2.76 million (compared with the 2006 estate tax law.)
Put another way, the heirs of the $10 million estate would get a tax break worth as much as 183 years of the income of a full-time minimum wage earner.
The Albuquerque Journal went right along with Rove's spin on the bill, calling it a pairing of a minimum wage raise and "help for small businesses." Oops, I guess they didn't notice the bill's primary aim of cutting the estate tax to provide more money for those already living the luxury life -- something the Republicans haven't been able to get through Congress on its own (non)merits.
Like other Republican election year charades about such pressing issues as flag burning and the pledge of allegiance, this legislation is phony and designed primarily to drive right-wing voters to the polls this November. By all accounts it has little chance of passing in the Senate and is another in a long line of Republican stunts aimed at spinning cotton candy for their base. Too bad Albuquerque's biggest newspaper is entirely willing to play right along with the hype.
Help elect someone who REALLY supports fair wages for working Americans -- Patricia Madrid. We're only a couple months from election day. Donate. Volunteer. Talk to your friends. Let's send a real friend of the people to Congress from CD1, Paris Hilton (and that Monopoly gent) be damned.
August 1, 2006 at 09:07 AM in Candidates & Races | Permalink
Comments
An editorial in today's Albuquerque Journal towed the Bush/Wilson line. It was pretty disgusting. They wrote, "Under current law, taxes would revert to 55 percent on estates worth more than $1 million after 2011. That's not soaking the aristocracy, but forcing heirs to liquidate a family-built business or a farm to pay the taxman."
Faulty logic, Albuquerque Journal! Stop buying the Rove/Bush/Wilson spin.
The truth from the Center on Budget & Policy Priorities:
"Roughly 99 percent of estates pay no estate tax at all. Among the few estates that do owe taxes, the "effective" tax rate — that is, the percentage of the estate that is paid in taxes — averaged about 20 percent in 2004, according to the IRS, far below the top estate tax rate of 49 percent that these estates faced."
They continue: "The CBO report also found that of the few farm and family business estates that would owe any estate tax, the vast majority would have sufficient liquid assets (such as bank accounts, stocks, bonds, and insurance) in the estate to pay the tax without having to touch the farm or business."
While the *top* rate may rise from 47% to 55% in 2011, as you claim, only the accessively wealthy (read: Paris Hilton) will come close to paying this rate.
Poor heiresses. Poor Paris Hilton. I feel really bad for them. They only get to keep hundreds of thousands of dollars of their parents' hard earned money.
Albuquerque Journal, do your homework before spouting right wing talking points.
Learn More:
https://www.cbpp.org/pubs/estatetax.htm
Posted by: The Urinal's Pissy Logic | Aug 1, 2006 11:00:51 AM
Here is some more that the ABQ Urinal left out: (snip)"The federal minimum wage is explicit that states and local governments are free to create higher minimum wage rates than the federal level for any and all groups of workers. While the federal minimum wage allows employers to pay a lower wage to tipped workers, a number of states have eliminated this so-called tip credit on the assumption that consumers pay tips not to subsidize low-wage employers but to actually reward service.
But the new House bill would preempt those state laws and actually cut wages for tipped workers in states like California, Oregon and Washington where tipped workers would see a lower minimum wage rate imposed compared to what they were guaranteed under state law
This would be an unprecedented move by the federal government to preempt state minimum wage laws. Not only would it hurt tipped workers, it would set a precedent for conservatives to try to preempt all minimum wage rates higher than the federal level".(snip)
Read the full story : "Outback buys Santorum lunch, gets lucky afterwards"@ https://www.attytood.com
Posted by: VP | Aug 1, 2006 12:35:57 PM
That's one of the main problems today, isn't it? The media gives us no information or bad information and it's almost always slanted to protect the interests of big money.
Posted by: Cactus 22 | Aug 1, 2006 12:43:02 PM
I sent Ms Wilson the following FAX, I strongly urge everyone to either Email, FAX, or call her office and express a similar sentiment!Shame on you Representative Wilson, this voting constituent would like to take this opportunity to quote Rep Barney Frank (D-MA) on the subject of your recent support for the tax cut for the wealthiest, and minimum wage bill, because I totally agree that this is: "the most ethically repugnant, intellectually dishonest, morally bankrupt ploy I have ever seen in a legislative body" and as Rep Frank (D-MA) said to House Speaker Dennis Hastert (R-IL) "… apparently shame has become entirely irrelevant to you and your party."
Posted by: VP | Aug 2, 2006 11:53:14 AM