Earned Income Credit: Out of Control Welfare

Although it puts lot of bucks in the pockets of recipients, it is an abomination to millions of struggling taxpayers who must pay for it.

To qualify for the Earned Income Tax Credit, one must have a job like most Americans.

If a worker's Adjusted Gross Income (AGI) is less than $43,000, plus and he/she meets citizenship and other qualifications, a small credit applies.

For those who receive the maximum credit, a most generous gift kicks in, compliments of fellow taxpayers. The amount of the credit is determined by income, deductions and dependents.

Always Bear in Mind--GOVERNMENT HAS NO MONEY OF ITS OWN. The only real money government has, comes from PRIVATE SECTOR WEALTH CREATION, paid by business and its employees in taxes and who at the end of each year pay "net taxes", which means after any and all transfers to them from government, they still "net out" a payment beyond any transfer they may have received.

The maximum benefit for the tax year 2009, for EITC recipients is $5657.

Recipients also can get an exemption from much withholding during the year in anticipation of the huge refund he/she will likely receive, by taking advantage of the Advanced Earned Income Tax Credit.

On the downside, millions of hard working taxpayers of modest means, who are not receiving the Earned Income Tax Credit get hit with a stiff tax bill.

Twelve Billion ($12 Billion) Paid Out Due To Fraud and Mistakes

A 2004 report from the Treasury reveals that billions should not have been paid, in the year of the study, 1999. The report reveals that possibly 32 percent of the amount "claimed" should not have been claimed stating:

An IRS compliance study of Tax Year (TY) 1999 returns estimated that between $8.5 and $9.9 billion (27 to 32 percent) of the $31 billion in EITC claimed for TY 1999 should not have been paid.

The updated figure for 2007 is $12 Billion.

Also, certain types of income do not have to be counted as income and the EITC has no effect on welfare benefits.

IRS publication 17 says the following:

"The EITC has no effect on certain welfare benefits. In most cases, EITC payments will not be used to determine eligibility for Medicaid, Supplemental Security Income (SSI), food stamps, low-income housing or most Temporary Assistance for Needy Families (TANF) payments."

For recipients of this bonanza it's great, but it is a typical government program that started out small, now has a huge cost and a huge percentage of the cost is due to waste and fraud.

The fraud is mostly in the form of claiming phony dependents. Those victimology politicians who have large constituencies of EITC recipients will wage a ferocious fight to protect this program no matter how much of taxpayers' hard earned money goes to waste and fraud.

Will we continue to allow this?

Earned Income Credit

Top Welfare Districts in America

#411 3 Rogers R Al

#410 4 Aderholt R Al

#424 7 Davis D Al

#416 8 Renzi D Az

#401 4 Pastor D Az

#422 7 Grijalve D Az

#428 1 Berry D AK

#427 4 Ross D AK

#430 20 Costa CA

#414 17 Meek FL

I would like to urge a specific, overarching goal with a much needed, easily measurable target, simple for voters to measure at the end of every year, but which will have enormous and long, long lasting benefits.

It sets a totally realistic goal, a totally achievable goal and one that if and when achieved, would encompass and demolish many factors of destruction, existing in today's budgeting and spending process.

It would render lobbyists obsolete, force term limits without any legislation, make corruption microscopic, while exploding per capita income and living standards for doing exactly what workers are doing right now.

This happened in the 1920's and in the late 19th and early 20th century-our 2 most explosive periods, with results exactly as described above.

It relies on what we must do, to get them to do what they must do

1. Every single election period seek candidates whose overarching, never deviating from, goal is to reduce federal spending to 17% of the national income (GDP) from the present 24% and soaring, by 2021, sooner if enough conservatives are elected in the House and Senate

2. In phase two reduce that amount to 15%. (1135 characters)

Limited space does not allow for the stats to prove this, but one gives a good indication.

After the Civil War, England was the economic giant of the world-per capita was 1/3 higher than ours, by early 1900, we were 1/3 above them. All government spending totaled 2%.

At the end of the Clinton presidency, spending was down to 18 1/2%, yielding a $200 surplus. This was all due to conservative beliefs, balanced budget, welfare reform, capital gains cut, free trade agreements.

Hong Kong's record of national spending and living standards, is amazingly better than ours.

Americans are not only angry at overspending, millions of new voters are awake, involved and communicating with each other like crazy. The momentum is there like it's never been in my 73 years--nothing close.

This plan needs only for us to show up to every candidate's campaign where we live and let him know the majority we'll oust him immediately if his every vote does not reflect the above target.every public official to be ,

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TAN TABLES 2002

TAN TABLES BY STATE 2004

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