Replacing the Single Business tax by doubling the sales tax- No, Really. Ask Dick DeVos!

A new report by Fair Economy shows that multimillion-dollar lobbying effort to repeal the federal estate tax has been aggressively led by 18 super-wealthy families, INCLUDING THE DeVOS FAMILY and the families behind Wal-Mart, Gallo wine, Campbell's soup, and Mars Inc., maker of M&Ms. Collectively, the list includes the first- and third-largest privately held companies in the United States, the richest family in Alabama and the world's largest retailer. (report)

The report reveals how 18 families worth a total of $185.5 billion have financed and coordinated a 10-year effort to repeal the estate tax, a move that would collectively net them a windfall of $71.6 billion.

These same people are also behind the move to repeal Michigan's Single Business Tax (SBT). This tax, like the estate tax, ONLY AFFECTS THE HIGHEST INCOME BRACKET. To even qualify to be considered for the SBT a business needs to make over $100,0000.00 in a given year. Like the estate tax this only affects a very small percentage of Michigan residents. What WILL affect us all is the repercussions of these tax breaks for the wealthy. Nationally the loss of the Estate tax will result in even more cuts in programs NECESSARY for average people- drug & medical benefits, roads, fire & safety. Within Michigan the Republican Senate has a plan to make up for the loss of the SBT- DOUBLING the sales tax (or at least raising it to 10%). This would spread the cost among all of us while once again saving the very rich, who often purchase everything they own through tax-sheltered corporations and foundations. Like the Bush tax giveaways, these will benefit ONLY the super rich and everyone else will pay the cost.

Not all rich sign on to this. George Soros, a billionaire, has donated his own money to stop these unfair proposals. "The estate tax should be regarded as just paying back to the country for all the wonderful things it's made possible for the people who have that wealth," said Bill Gates Sr. in an audio statement played at a press conference relating to the report. "I don't think there's any great societal goal being served by inherited wealth. And certainly there's no sensible argument that I can think of for insisting on being able to pass the last penny of $100 million on to your three kids" said Elizabeth Letzler, an investment manager from New York who will be subject to the estate tax, "The current estate tax structure should permit any wealthy household to pass on a legacy of financial security, education and family heirlooms to the next generations." She challenged the families showcased in the report: "Do something spectacular during your life-time investing in the social welfare and well-being of the children and grandchildren at the bottom of the pyramid." Her daughter Stephanie, also in attendance, said, "If keeping the estate tax means a step closer to a debt-free treasury, a step closer to improved health care, Social Security, education, and every other program that makes me proud to be an American, show me where to sign the check." Paul Newman, actor and founder of Newman's Own food company, agreed in a separate statement: "For those of us lucky enough to be born in this country and to have flourished here, the estate tax is a reasonable and appropriate way to return something to the common good. I'm proud to be among those supporting preservation of this tax, which is one of the fairest taxes we have." There ARE still good, patriotic, WEALTHY Americans, but not in the GOP, apparently.

Lastly, let's dispose of the myths used to support these proposals: 1. MICHIGAN DOES NOT HAVE A SMALL BUSINESS TAX. There is no such thing. THE SBT is the Single Busines Tax, a simplified tax structure that replaces the myriad of confusing business taxes that used to exist. This was done at the request of businesses, who said they wanted to simplify the rules but it now looks like they wanted to have only 1 tax so it would be easier to remove ALL taxation from businesses. Without the SBT businesses will pay NO STATE TAX AT ALL. 2. There have been NO- zero- family farms sold due to the SBT. No business lost whatsoever has ever been proven. 3. Michigan ranks far down in the bottom half of states when ranked by tax burden on business.

The SBT is used only to make sure that large companies with major profits do not use tax loopholes to pay absolutely no tax. It sets an alternative- minimum (and minimal) tax that cannot be avoided through accounting trickery. Ask around ---- see if ANYONE you know is unfairly affected by this tax. And while you are at it, ask if ANYONE you know will EVER be affected by the Estate Tax. Being as I doubt any multimillionaire will read this blog, I will confidently predict that no one reading this will have ANY ACTUAL KNOWLEDGE of anyone who will be paying estate tax. And if you are- Congratulations to you. The American Dream sure paid off for one of your ancestors- are you really claiming you have no moral need to help make it real for everyone else?