Does McCain Think RONALD REAGAN Was a SOCIALIST?
Govenor Palin recently in New Mexico:
"He claims that he'll cut income taxes for 95 percent of Americans. But the problem is, more than 40 percent of Americans pay no income taxes at
all. So, how can you cut income taxes for folks who don't pay them?
It turns out, the question is the key to Barack Obama's plan since you can't reduce taxes on those who pay zero, he wants the government to send
them a check that's called a tax credit. (boos)"
Ronald Reagan in 1985 speaking about the Earned Income Tax Credit
"Our plan will also mean an historic correction of a problem we've let go on too long -- the increasing tax burden on low- and fixed-income
Americans that's been knocking the bottom rungs off the ladder of opportunity. A compassionate, profamily opportunity society should give a break as
well to those Americans struggling to get by and move up. And that's exactly what we intend to do.
By hiking the earned income tax credit, indexing it for inflation, and practically doubling the personal exemption, we can make sure that the working
families do not suffer under the burden of Federal taxation. Giving a leg up to those struggling to move up is what America is all about. And that's
a top priority of our tax proposal"
When the Earned Income Tax Credit was expanded in the Tax Reform Act of 1986, President Reagan, who signed the bill into law, called the EITC “the
best anti-poverty, the best pro-family, the best job-creation measure to come out of Congress.”
The EITC provides a tax credit to very low-income working families. The credit can exceed federal income tax liability, meaning that some very
low-income families actually receive a check from the IRS.
McCain-Palin: 'Ronald Reagan a Socialist'
It appears that the McCain-Palin team is continuing its disingenuous attacks on Barack Obama's refundable tax credits as 'welfare' and tantamount
Sure the McCain health care proposal relies on refundable tax credits...but we all knew that already.
Instead of being akin to socialism, the idea of giving tax credits to those who haven't paid income taxes is pretty orthodox, even among Republicans.
It was hailed by no less a conservative than President Ronald Reagan, McCain's hero, who supported one of the best-known of such credits, the Earned
Income Tax Credit or EITC.