As you ponder the impact of the new state budget and its increased taxes on income and sales (including some types of sales that have not been taxed before), the latest National Review reminds us what we can expect from the federal tax man:
The Democrats have raised the cigarette tax. They have said that they will allow tax rates on dividends, capital gains, and high earners to rise next year. They have tried to impose hidden energy taxes through their cap-and-trade legislation. Their health-care bills raise taxes on hiring ? which is to say, they indirectly raise taxes on employees. Treasury Secretary Tim Geithner was recently asked on ABC whether the administration had any additional plans to raise taxes in order to close the deficit. In response he said nothing about spending cuts, and he declined to affirm (when invited to do so) Obama?s campaign pledge that people who make under $250,000 will not pay higher taxes. (White House press secretary Robert Gibbs says Obama is committed to the pledge.) Geithner added, ?I think what the country needs to do is understand we?re going to have to do what it takes, we?re going to do what?s necessary.? We understand, all right.
