The Widdershins

Archive for March 28th, 2017

Sometimes when presented with esoteric information I find myself thinking, “Why would I ever need to know that?” Without being psychic, there’s a better than even chance you are about to have that exact same thought, because…

This post is about budget reconciliation, the Senate Byrd Rule, and tax cuts.

Stick with me for about 400 more words and I promise everything will come together.

First, a quick story. Let’s say you are an enterprising high school student who, on occasion, visits your parent’s liquor cabinet. The parents, just as enterprising, mark the level of happy juice remaining after they partake. Therefore, fun is calibrated by hash marks running down the spine of the bottle indicating how much happy juice remains to be imbibed.

How does the enterprising teenager cover his surreptitious “borrowing” of fun juice?  A “C” student would use water to fill the bottle back to the hash mark. An “A” student would find the pen used to make the hash mark and just make a new, lower one.

Folks, that’s a synopsis of the federal budget reconciliation act for purposes of tax cuts. I’ll explain.

Being discerning Widdershinners, the velocity with which the Republican American Health Care Atrocity Act (AHCA) moved was worrisome. Why the breakneck speed to alter almost one-fifth of the economy? The reason: Paul Ryan didn’t want anyone to notice the tax cut hash marks were being changed.

What the AHCA did was to lower the liquor bottle hash marks for tax cuts. It changed the tax baseline. The reason this is important is that the Senate rules require any tax cut to end after ten-years unless it is “paid-for” – ergo, the lower the hash mark, the less you have to replace. That’s the Byrd Rule.

The Republicans wanted to eliminate $1.0 Trillion in taxes over the next ten years by repealing the A.C.A. That meant $1.0 Trillion less they would have to replace in “pay-fors” in the next round of tax cuts, which they euphemistically call “tax reform”.

Paul Ryan doesn’t care about health care policy. He cares about tax cuts. The AHCA was merely a means to an end. Ryan, with a complicit White House, was merely figuring out a way to make the coming tax cuts larger and permanent.  He was lowering the hash mark on the liquor bottle so he and his overlords could swill more of that sweet, delicious juice of the tax cut. The repeal of the A.C.A. taxes make the next tax cuts coming through “tax reform” look more affordable.

The chart below demonstrates what a massive redistributive tax cut the AHCA represented. It was redistribution from those least able to pay to the wealthiest collective in the country – the One Percenters.

Why am I taking your time with this? The quest for larger and permanent tax cuts isn’t over.

Ryan and his tax cut swilling cohort aren’t quitting – just like drinkers, nobody likes a quitter. Yesterday, a purloined recording of Ryan cooing to Republican donors surfaced. He promised:

We’re not going to just all of a sudden abandon health care and move on to the rest. We are going to move on with rest of our agenda, keep that on track, while we work the health-care problem. . . . It’s just that valuable, that important.

The anime-eyed granny-starver isn’t giving up. He might announce his grand plan as early as Thursday or Friday. Hell hath no fury like a Republican denied tax cuts. Who would have thought Republicans would seek to cut taxes, end regulation, rollback civil rights, and then for good measure, cut some more taxes? Who’d a’thunk it?

This class on budget reconciliation is now adjourned.

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Blog Archive

March 2017
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Kellyanne Conway’s new job

So similar

Take the kids to work? NO!

3 turds control fate of healthcare for millions

That moment when *your* pussy gets grabbed

You go gurl! h/t Adam Joseph

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