Taxed Into Oblivion

The Economic Collapse
Aug 17, 2011


In the United States today, we are being taxed into oblivion, yet it is being done so stealthily that most Americans don’t even realize what is happening. Most people are fixated on federal income tax rates, but the federal income tax is only one of the dozens of different taxes that each of us pay each year. The politicians have learned that people get really upset when income tax rates are raised, so they have found hundreds of other ways to raise taxes on us. What most taxpayers in the United States today are facing is “death by a thousand cuts”. When you add up all forms of taxation from all levels of government, approximately 40 percent of all the income in the country is taken in as taxes by government. Large numbers of Americans end up paying well over 50 percent of their income in taxes, and many of them don’t even realize that it is happening. We truly are being taxed into oblivion, and yet the politicians just keep coming back for more.

On all levels, government just keeps growing, and all of this government has got to be paid for somehow. Politicians have become masters at finding ways to tax us so that we won’t even feel it. They have an endless hunger to spend more money, and they depend on us to feed that addiction. Today, the combination of federal government spending, state government spending and local government spending now accounts for a larger share of U.S. GDP than at any other time in our history.

Yes, federal income tax rates were significantly higher 30 or 40 years ago. But virtually every other tax you can think of has gone way up since then or did not exist back then.

Federal income taxes definitely still hurt, but the reality is that where we really get hit is in all of the other taxes that we pay. American families pay Social Security taxes, Medicare taxes, state income taxes, sales taxes, property taxes, death taxes, various excise taxes, gasoline taxes, tire taxes, utility taxes, liquor taxes, telephone taxes and cigarette taxes just to name a few. The truth is that there are dozens and dozens of different taxes that most Americans pay each year, and there are a whole bunch of others that get passed on to us through businesses that we deal with.

Speaking of cigarette taxes, there is legislation in Congress right now that would send taxes on tobacco products absolutely skyrocketing yet again.

I don’t smoke and I never will smoke, but I find the attack on smokers by our politicians to be seriously offensive. If smoking is legal, then leave them alone. Don’t tax them into oblivion just because you don’t like what they are doing.

An excerpt from S. 1403 (The IDEA Full Funding Act) is posted below. You will notice that a portion of this legislation even refers to itself as the “Saving Lives by Lowering Tobacco Use Act”. They are openly admitting that they want to make tobacco so expensive that people cannot afford to use it….


(a) Short Title- This section may be cited as the ‘Saving Lives by Lowering Tobacco Use Act’.

(b) Increase in Excise Tax on Small Cigars and Cigarettes-

(1) SMALL CIGARS- Section 5701(a)(1) of the Internal Revenue Code of 1986 is amended by striking ‘$50.33’ and inserting ‘$100.50’.

(2) CIGARETTES- Section 5701(b) of such Code is amended–

(A) by striking ‘$50.33’ in paragraph (1) and inserting ‘$100.50’, and

(B) by striking ‘$105.69’ in paragraph (2) and inserting ‘$211.04’.

(c) Tax Parity for Pipe Tobacco and Roll-Your-Own Tobacco-

(1) PIPE TOBACCO- Section 5701(f) of the Internal Revenue Code of 1986 is amended by striking ‘$2.8311 cents’ and inserting ‘$49.55’.

(2) ROLL-YOUR-OWN TOBACCO- Section 5701(g) of such Code is amended by striking ‘$24.78’ and inserting ‘$49.55’.

(d) Clarification of Definition of Small Cigars- Paragraphs (1) and (2) of section 5701(a) of the Internal Revenue Code of 1986 are each amended by striking ‘three pounds per thousand’ and inserting ‘four and one-half pounds per thousand’.

(e) Clarification of Definition of Cigarette- Paragraph (2) of section 5702(b) of the Internal Revenue Code of 1986 is amended by inserting before the final period the following: ‘, which includes any roll for smoking containing tobacco that weighs no more than four and a half pounds per thousand, unless it is wrapped in whole tobacco leaf and does not have a cellulose acetate or other cigarette-style filter’.

(f) Tax Parity for Smokeless Tobacco-

(1) IN GENERAL- Section 5701(e) of the Internal Revenue Code of 1986 is amended–

(A) in paragraph (1), by striking ‘$1.51’ and inserting ‘$26.79’;

(B) in paragraph (2), by striking ‘50.33 cents’ and inserting ‘$10.72’; and

(C) by adding at the end the following:

‘(3) SMOKELESS TOBACCO SOLD IN DISCRETE SINGLE-USE UNITS- On discrete single-use units, $100.50 per each 1,000 single-use units.’.

You can view the full text of this legislation right here. Please notice that some of the tax increases are absolutely mind blowing. For example, the tax rate on pipe tobacco is going from 2.8311 cents to $49.55.

  • A d v e r t i s e m e n t

Now that is a tax increase you can really sink your teeth into.

We are seeing “quiet” tax increases like this happen on every level of government all over the United States.

Of course I haven’t even mentioned all of the fines and fees and “registration” charges that state and local governments are hitting us with.

Have you gone to renew your car registration lately? In some states (such as California) the fees have gotten absolutely ridiculous.

Speaking of California, it looks like they are getting ready to target cellphone users once again.

According to USA Today, California is getting ready to seriously jack up the fines for talking on a cellphone while driving….

The state Senate has sent a bill to Gov. Edmund G. Brown Jr. raising the basic fine for a first automotive offense from $20 to $50, the Sacramento Bee reports. For subsequent offenses, the fine would rise from $50 to $100. That’s not the worst of it: by the time state and local assessments are added on, the total for a first offense rises to between $208 to $328. For additional tickets, make that $328 to $528.

Yes, talking on a cellphone while driving is dangerous. But hitting people with tickets of $300, $400 or even $500 is not about safety. It is all about revenue generation.

Right now we are seeing an epidemic of speed traps all over the country. State and local governments are desperate for money, and they see speeders as an easy source of revenue. You can read more about this phenomenon right here.

Speaking of “revenue”, that seems to have become Barack Obama’s new favorite word lately. He seems absolutely obsessed with raising more money for the federal government. The Obamacare law was absolutely packed to the gills with new taxes, but now he wants even more.

Yes, it is true that the wealthy are getting away with murder under our current tax system. I find it highly offensive that many people that make millions of dollars each year are able to find ways to pay much, much smaller percentages of their incomes in taxes than I do.

But raising tax rates isn’t going to solve the problem. Those that are masters at avoiding taxes are going to continue to do so. Meanwhile, middle class Americans and small businesses will continue to get bled to death.

Our current tax system is fundamentally broken and needs to be completely thrown out and replaced.

However, no system is going to work until the federal government gets a handle on its spending addiction.

In the past couple of years, spending by the federal government as a share of GDP has been the highest that it has been since World War II.

You would think that there should be plenty of fat to trim, but as the recent debt ceiling deal clearly demonstrated, our politicians do not intend to significantly reduce government spending.

They are just going to keep borrowing, spending and finding more ways to tax us.

All of this nonsense in Washington D.C. is part of the reason why Americans are so displeased with Congress at this point. According to Gallup, 84 percent of Americans now disapprove of the way Congress is doing its job, which is a brand new all-time high.

The truth is that sending more money to Washington D.C. is not going to “fix” things.

The federal government has multiplied in size over the past several decades, and yet the number of poor people just continues to increase.

Giving the poor more handouts may ease their suffering for a little while, but it is not the solution to their problems. What they really need are good jobs, but our politicians have very busy setting up unfair trade agreements that allow millions of our jobs to be shipped overseas, and they continue to suffocate businesses in this country with mountains of ridiculous regulations.

No, the people that truly benefit when more money flows to the federal government are the fatcats that live and work around Washington D.C.

The past few decades have been a bonanza for government contractors, lobbyists and lawyers in the D.C. area.

According to the Washington Post, those living in the Washington D.C. metropolitan area now have a higher median household income than anyone else in the country….

Washingtonians now enjoy the highest median household income of any metropolitan area in the country, and five of the top 10 jurisdictions in America — Loudoun, Howard and Fairfax counties, and Falls Church and Fairfax City — are here, census data shows.

The signs of that wealth are on display all over, from the string of luxury boutiques such as Gucci and Tory Burch opening at Tysons Galleria to the $15 cocktails served over artisanal ice at the W Hotel in the District to the ever-larger houses rising off River Road in Potomac.

There is a ton of money in the D.C. area. I know. I used to work there. Approximately one third of the GDP of the region comes from spending by the federal government. Even during this recent economic downturn, the Washington D.C. region continues to do really, really well.

So, no, raising taxes is not going to fix what ails us. It would just feed the monster that we have created in Washington.

We are already being taxed into oblivion. Middle class America can’t take much more of this.

We need to change our entire approach to taxation in this country, because right now our tax system is fundamentally unfair and it is not working.

So what do all of you think about our tax system? Please feel free to post a comment with your opinion below….

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26 Responses to “Taxed Into Oblivion”

  1. SWEET, more black market goods. nothing like stupid high taxes to open up new black markets do i hear oppertuinty knocking. Silly obama high taxes mean more gangsters.

  2. Democracy along with out of control geometric progression of population, coupled with “massive” immigration is the fundamental cause of this and many other negative current events confronting US today. It’s the elephant in the room that no-one (well very very few) will acknowledge, even though we are literally walking, driving, living swimming in the huge piles of shit left by this. Very sad that people won’t acknowledge reality.

  3. Taxation is theft by design, especially since most of the time, the American people get nothing back for it. The Federal Income Tax, the most unlawful tax ever created, comes specifically to mind.

    I work around 4 months out of the year, just so I can pay the corrupt federal government to wage war and grant themselves entitlements.

    If they seriously want to fix this economy, they need to START by completely slashing the FIT across the board. That means slashing it to 0%. Abolish it completely. It is unconstitutional, unlawful, and most of all, immoral. People would have alot more money to spend, save, or invest if this tax was taken out, and that alone would stimulate the economy by leaps and bounds. People would have more money, and businesses and organizations would also have more money. And the best part? THEY WOULDN’T NEED TO PRINT ANY MORE MONEY OUT OF THIN AIR TO ACCOMPLISH IT.

    I love how these so-called “conservative” voices are always talking about tax cuts and the like, yet they seldom, if EVER, address the FIT. “Oh, we’ll make some miniscule tax cuts here and there, but we’ll also slap an expiration date on them, just for laughs.” And yet, the FIT continues to slip by year after year, unnoticed, and certainly not contested.

  4. They take our money now also to “invest” it…look how well Salinas, CA. did with the local government acting as investors….


    “The city of Salinas, California is out $540,000 after investing in a “green” car company. It looks like the only green this company was good for was wasting taxpayer dollars. KSBW Action News has the details.

    City leaders wooed Green Vehicles to jump-start the sputtering local company and turn Salinas into an “electric valley.” Donohue and Weir both voiced their high hopes for Green Vehicles.

    The start-up company promised city leaders that it would create 70 new jobs and pay $700,000 in taxes a year to Salinas.

    Green Vehicles was supposed to be up and running by March 2010 inside their 80,000 square-foot space at Firestone Business Park off of Abbot Street.

    Ryan had lofty goals, listing his company’s mission as: “To make the best clean commuter vehicles in the world; To manufacture with a radical sense of responsibility; To engage in deep transparency as an inspiration for new ways of doing business.”

    Green Vehicles designed two vehicles, the TRIAC 2.0 and the MOOSE, which it planned to manufacture.

    On July 12, Ryan wrote a blog post announcing that his company was closing.

    “The truth is that not realizing the vision for this company is a huge disappointment,” Ryan wrote.”

    This is a shame on so many levels it is just not funny. I guess government is the new business leaders and investors. It is hard to believe that some people still think we do not pay enough in taxes. We really need to start paying far less.

  5. It’s called the bologna method… you start with one slice, then another, then you just keep taking one slice at a time until there’s nothing left.

  6. Taxed into oblivion, only if we allow it to happen. As the American Revolution was winding up prior to 1776, the colonist were feeling much oppression and unfair taxation throughout the colonies. The colonist united behind the concept of Taxation without representation. We are facing a similar attack from our government now with the cap and trade issue looming and VAT taxation waiting in the wing. Instead, a new war cry must be initialized for the cause; let this roll about to see if some concur. NO TAXATION WITH MISREPRESENTATION!

    We have with little doubt we have been misrepresented by these evil criminal representatives. We as the people, refuse the VAT tax and any other form of taxation whilst we remain misrepresented. If we do so, we would deny in unison and as a republic, against the tyrrany. How does this measure up as a unified Terminology.

  7. Another little fun fact:

    Congress not only exempted themselves from the HELLthcare law, they’ve also exempted themselves and any family members from having to pay back student loans.

    Aristocracy is alive and well in America.

  8. I want same tax deal that communist are charged when they want to sell something to US,Think about it we live here and are TAXED they dont and are NOT TAXED?

  9. What are taxes for? Well…

    First Lady Michelle Obama’s Servant List and Pay Scale

    The First Lady Requires More Than Twenty Attendants (that’s 22 attendants to be exact)

    1. $172,200 – Sher, Susan (Chief Of Staff)
    2. $140,000 – Frye, Jocelyn C. (Deputy Assistant to the President and Director of Policy And Projects For The First Lady)
    3. $113,000 – Rogers, Desiree G. (Special Assistant to the President and White House Social Secretary)
    4. $102,000 – Johnston, Camille Y. (Special Assistant to the President and Director of Communications for the First Lady)
    5. $100,000 – Winter, Melissa E. (Special Assistant to the President and Deputy Chief Of Staff to the First Lady)
    6. $90,000 – Medina , David S. (Deputy Chief Of Staff to the First Lady)
    7. $84,000 – Lelyveld, Catherine M. (Director and Press Secretary to the First Lady)
    8. $75,000 – Starkey, Frances M. (Director of Scheduling and Advance for the First Lady)
    9. $70,000 – Sanders, Trooper (Deputy Director of Policy and Projects for the First Lady)
    10. $65,000 – Burnough, Erinn J. (Deputy Director and Deputy Social Secretary)
    11. $64,000 – Reinstein, Joseph B. (Deputy Director and Deputy Social Secretary)
    12. $62,000 – Goodman, Jennifer R. (Deputy Director of Scheduling and Events Coordinator For The First Lady)
    13. $60,000 – Fitts, Alan O. (Deputy Director of Advance and Trip Director for the First Lady)
    14. $57,500 – Lewis, Dana M. (Special Assistant and Personal Aide to the First Lady)
    15. $52,500 – Mustaphi, Semonti M. (Associate Director and Deputy Press Secretary to The First Lady)
    16. $50,000 – Jarvis, Kristen E. (Special-2Assistant for Scheduling and Traveling Aide to The First Lady)
    17. $45,000 – Lechtenberg, Tyler A. (Associate Director of Correspondence For The First Lady)
    18. $43,000 – Tubman, Samantha (Deputy Associate Director, Social Office)
    19. $40,000 – Boswell, Joseph J. (Executive Assistant to the Chief Of Staff to the First Lady)
    20. $36,000 – Armbruster, Sally M. (Staff Assistant to the Social Secretary)
    21. $35,000 – Bookey, Natalie (Staff Assistant)
    22. $35,000 – Jackson, Deilia A. (Deputy Associate Director of Correspondence for the First Lady) (This is community organizing at it’s finest.)

    There has NEVER been anyone in the White House at any time who has created such an army of staffers whose sole duties are the facilitation of the First Lady’s social life. One wonders why she needs so much help, at taxpayer expense, when even Hillary, only had three; Jackie Kennedy one; Laura Bush one; and prior to Mamie Eisenhower social help came from the President’s own pocket.

    Note: This does not include makeup artist Ingrid Grimes-Miles, 49, and “First Hairstylist” Johnny Wright, 31, both of whom traveled aboard Air Force One to Europe.


  10. There’s also the highway tax. Just drive through Grand Island in New York and see the troppers pulling people over to extort money. Highway robbery. If your an out of state driver you can’t fight it else it would cost more. Alleged to not be wearing a seatbelt and pushed up against a guardrail causing a dangerous situation of its own and with no time to argue the facts. $100 dollars each. Highway robbery!

    Then there’s the excise tax which is bad enough on its own but when you have a car that has over 200,000 miles on it, it’s not worth anything much, but Boston and in the case of NY (Albany) they don’t factor in milies and the true value. So you have a car with no resale value but the state taxes on a value of $3,500.

    Then there’s the legal system tax, over 50,000 +++ to get divorced unless it’s amicable but the state loves it when one tried to destroy the other using the legal system to do that. The cost is actually far greater and you can’t put a price tag on the children’s lives the system enables to be destroyed all for money like the kids for cash judges in PA.

    I’ve seen how the courts in MA work and the abuse they bring by allowing parents to testify against their own blood and visa versa for stupid things. It’s done by control freaks who are liars and cheats themselves but the courts allow it, to make money. There’s no moral ground.

    If this behavior is not reversed by the legal system then it needs to be shut down in my opinion because it’s causing more harm than good to families and has become abusive itself.

    The courts also garnish people without checking the facts of the person targeted for garnishment and work in union with the DOR’s. All to make money and you pay for this too through your taxes. The Federal government pay the states to garnish people and allows control freaks to do this out of spite. It doesn’t matter if your destroyed because they just put you in jail if you can’t pay and then the taxpayer pays so either way they make their money.

    Jail is big business in this country. We have more people in jail than China at great cost financially and morally.

    Small limited government is the answer and making the founding documents required reading.

    • You forgot about the Suckpreme Court saying that DA’s can lie about us
      and withhold evidence that could exonerate us.

  11. Good article; but it would’ve been better with a detailed breakdown of taxes collected by the Fed’s today versus 30 years ago.

    I read a book called “Red Tape” in the 90′s that took into account the taxes paid by corporations that are passed on to customers in the cost of goods and services. The author concluded, after adding in everything he could think of, that 82 cents of every dollar earned ends up in the government.

  12. You think you’re Taxed to the hilt ? try living in the UK !!!!

  13. I’m glad someone is finally talking about all the new taxes in Soetorocare!! Thanx. I’ve
    been complaining about it for months and AJ didn’t seem to want to talk about it.

    But yall are missing the big picture. The punkiticians ain’t stupid. They’re doing all
    that to cause the people to revolt against the gov – that will give them the excuse
    to declare martial law – then they will suspend the Constitution and make a treaty
    with the U.N. – then they’ll try to take our guns and begin their NWO!!!!!!!!!!!!!!!!!
    That’s what it’s all about!!

  14. The IRS raped me for last year and my tax lady told me to thank Soetoro for that. Of
    course she called him Obama.

    So all you idiots out there that think there’s NO new taxes in Obamacare – go talk to
    a tax specialist before you talk shit to me!!

    • check out
      Its real and it worked for me and thousands of others. never pay taxes again.
      pete hendrickson is a member of mensa he has broken down the irs code and constitutional well as case law. yes i know he’s in jail cuz they beefed up a bogus charge and want to make an example of him and his book, but read the websie and the book “Cracking the Code” It will blow you away.
      Pete is the first person in history to have all of the monies returned to him from unlawful tax, social security, and medicare contributions – but he’s not the only one. seriously check it out.

      • Yes, I know alot about it. Mensa asked me to join them in my younger days.
        I just played the game to stay out of their radar. I’m getting to where I could care
        less about their stinking radar now.
        Thanx, I’ll look forward to checking it out.

      • Thank you for this info. More of us need this advice. When I confront others with the outrageous taxes we are paying, all they say is, What can you do? This attitude needs to change. The above comment from Battle Hymn is shocking, but considering who is holding the position, its understandable. My friend votes Demo only, and thinks they are for the “poor”. Been trying to convince her otherwise, but its a tough battle. Most people are hung up on their “party” without seeing the true light. They are all robbing us. With all the tax cuts coming to programs that are desperately needed, I haven’t heard one of these pols offer to take a pay cut, or have any of their benefits cut either. As we all know, once Botero leaves office, his bene’s are paid for the rest of his rotten life. That needs to end too!

  15. I haven’t paid one red cent in income tax for at least ten years and don’t intend to change my style.
    There are still loopholes. I dropped out of the system. I can’t tell you here for fear “they will” use the information to tighten their spider web. But look for it be creative and don’t feel bad about finding ways to pay those parasites less. They are NOT servants of the public any more they are BLOODSUCKERS, LEECHES and VAMPIRES out to get your every last drop of BLOOD!
    Start fighting back. Government should never be more than 10% of GDP. Preferably less.
    Now it’s close to 50% half of every freakin dollar we make goes to those parasites.
    It’s disgusting!!!!!!!!!!!!!!!

    • No, you’re a criminal that’s what you are. At least I’ve tried to do right. Maybe
      I’m gonna have to become a criminal in the eyes of their law.

  16. This is exactly why we should only be taxing consumption and not productivity. However difficult the initial transition, we really could do it. This would guarantee that the rich get taxed on their big purchases in addition to everything the black market generates. It would also bring billions into our markets from people who have parked their money offshore. The real story on economic collapse isn’t being reported on, it’s what the NWO tried to pull off with the last election.

    Did you know that a military coup d’etat began in 2008 with the introduction of Sarah Palin as John McCain’s running mate?

    Obama is not the president, he’s the acting president. He disappeared for 2 weeks after his election win only to reappear looking exhausted sitting next to John McCain, with a bad poker face, for a press photo shoot. Obama is now a Pentagon puppet. Who did you think writes his teleprompter?

    This is the real story that the media is not and cannot report on. Here’s what Obama, Osama, Biden, Bin Laden, the FBI’s Most Wanted Terrorists, and Sarah Palin had to do with the last election and the military’s overthrow of our government. Search ElectNoMoreSpys.blogspot

    • Really? The same blah blah…he disappeared for 2 weeks…and? so what your point? move on dude

      • How many screen names are you using today “dude?” Other than “battle hymn” you seem to be working day and night here. The point is simple, OBAMA IS A PUPPET FOR THE PENTAGON WHO IS CALLING ALL THE SHOTS AND MAKING SURE HE FAILS MISERABLY WHILE THE REST OF COUNTRY SUFFERS FROM JOB LOSS.

  17. Thomas Jefferson addressed this many years ago; .the Federal Judiciary; an irresponsible body (for impeachment is scarcely a scarecrow), working like gravity by night and by day, gaining a little today and a little tomorrow, and advancing its noiseless step like a thief, over the field of jurisdiction, until all shall be usurped from the States, and the government of all be consolidated into one. When all government… in little as in great things, shall be drawn to Washington as the centre of all power, it will render powerless the checks provided of one government on another and will become as venal and oppressive as the government from which we separated. (1821)

  18. I have not filed federal taxes in 7years and never will again. Screw paying for the illegal wars, illegal aliens, corruption, looting by the military complex, paying fir a police state, or many other issues.

    • Umm, Ichnay on the axtay not being paid. : ). I think you meant to write that your income was so slight, after suffering in this difficult economy, that you fell below the taxable income level, but saw fit not to apply for the EIC earned income credit as a good citizen should do. Ya follow?

      ALWAYS FILE, ALWAYS, ALWAYS, ALWAYS. “They” love paper work regardless of its veracity.

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