Taxing Bachmann's Logic

The ad infinitum goes something like this:  If cutting taxes causes job growth, then eliminating taxes should cause infinite job growth.  Sadly, that's what President Michele Bachmann thinks is a "great idea."

Her comments on the income tax came in response to a question from Don Gorman, a former New Hampshire state representative from the Libertarian Party. Gorman asked Bachmann to comment on his suggestion to improve the economy: “Put a moratorium on the entire income tax for one year for every citizen in this country and watch this country take off.’’

“That’s awesome,’’ Bachmann responded. “You will be happy to know that a colleague of mine from Texas, [Representative] Louie Gohmert, gave that suggestion.’’

Bachmann said Gorman’s prediction about the proposal’s effect on the economy was on target. “If we would have allowed every American to take that much more money home in their pockets, what would they have done?’’ Bachmann said. “They would have paid their bills. They would have spent it. They would have grown their businesses. They would have grown the economy.’’

We have evidence of course that this is a crock.  There are plenty of major corporations that don't pay income taxes, and they're not exactly helping the economy.  Well gosh, we know what corporations who pay zero taxes do:  they sit on their cash and don't spend it, and don't grow their businesses, and don't grow the economy, and don't hire people.

There's also the fact that eliminating income tax for a year would add to the deficit, big time.

Curtis Dubay, senior tax policy analyst at the conservative Heritage Foundation, said advocates of a tax moratorium in 2009 said it might have stimulated the economy more than a stimulus program, but today the idea of a one-year income tax holiday is not being discussed because of its cost. Without the tax, the deficit would rise from $1.7 trillion to $2.7 trillion this year, Dubay said. Bachmann has been a leading advocate for cutting the debt and deficit. Her campaign did not respond to a request to clarify her stance on the income tax.

A trillion bucks added to the deficit.  Yes, that would qualify as a "revenue problem."  But hey, since Bachmann wants to get rid of the minimum wage and wants as many Americans as possible earning under the amount where they would have to pay taxes on it in the first place, exactly who would this tax moratorium help?

Here's a hint:  not the poorest 50% of Americans.