Mayor Bloomberg Speaks Out Against President Obama’s ‘Buffett Rule’

September 25, 2011 11:58 PM

Mayor Michael Bloomberg and President Barack Obama (file / credit: Spencer T Tucker / Mayor’s Office, Kevin Lamarque-Pool/Getty Images)

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NEW YORK (CBSNewYork/AP) – Mayor Michael Bloomberg dismissed President Obama’s proposal to raise taxes on people who make more than a million dollars a year.

“The Buffett thing is just theatrics. If Warren Buffett made his money from ordinary income rather than capital gains, his tax rate would be a lot higher than his secretary’s,” he said.

“I think it’s not fair to say that wealthy people don’t pay their fair share. They pay a much higher percentage of their income, they have a higher rate than people who make less,” Bloomberg added.

LISTEN: 1010 WINS’ Terry Sheridan reports

President Obama argues that the richest Americans generally pay a smaller share of taxes on their income because of lower rates on investment earnings.

Republicans call the Buffett Rule “class warfare.”

Mr. Obama left the White House Sunday for a Seattle fundraising trip where he told supporters the GOP would cripple America.

Bloomberg also said he thinks President Barack Obama could win re-election next year in spite of the country’s high unemployment rate, citing incumbency as one of his advantages.

“If I were the president, I’d go out there and I’d emphasize the things I have done and I’d say some things haven’t worked and I’m sorry about but I’ll keep trying and I think the president is a very viable candidate and you’re going to have a real horse race here no matter who the Republican nominee is,” Bloomberg said.

Bloomberg was also asked if New Jersey Gov. Chris Christie would be a good candidate for the White House.

“I think he would be a credible, formidable candidate,” he said. “If you take a look at all the Republican field at the moment, there’s a number there who obviously don’t have a chance to influence the dialog or to be the nominee, but there are a number who do.”

But Bloomberg said that he probably won’t endorse a candidate. He didn’t make an endorsement in 2008.

(TM and Copyright 2011 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

Mayor Bloomberg Speaks Out Against President Obamas Buffett Rule

jerseyjoey

Oh Ok folks, let me type this in basic english, fed taxes are not the Only taxes, Again duhh duhh duhh and a big Duh, Lets delve deeper into this great deception supported by the rich tax dodging classes, humm as the one million aire says to another ( why do you think god created CPA’s and tax lawyers HaHaha for the poor) no for the rich cheats whom if you idiots can recall the Gov went after 2 years ago and the swiss banks where turning in for YES tax evasion. So how about state taxes, ciggerette taxes, liquar taxes, Property taxes, SALES TAXES, road n bridge taxes ETC ETC ETC, and we the Other 70% pay that every day, so if you whinning dems or rep rich cant deal with it, Move away we dont need your hoarded money anyway. OMG i almost forgot Bankruptcy 13 11 7 too yet another tool created for all but used by the wealthy.

j

wah, wah… how many cpa’s and lawyers and all their respective employees do the “poor” employ? Your class-hating is stupid.
Luke

From a private citizen perspective, bankruptcy is used far more frequently by the poor and middle class, and it’s not even close.

As far as the other taxes. The rich pay them too, and usually in greater amounts (Well, except maybe the cigarettes). But the one thing that distinguishes those taxes are you have some hand in determining how much you pay. Want to pay less in liquor taxes? Drink less. Want less in property taxes? Buy a cheaper house. Taxes on the rich are arbitrarily set at a higher level because they have more. I’m not saying that it’s wrong. Just that it’s arbitrary.

As far as not needing the rich and their “hoarded money”. That’s just plain short-sighted. Taxes from those hoards generates more income tax revenue than the bottom 40% of taxpayers combined. You need and want that tax base. Because at the end of the day, the rich pay for a lot of services they will never personally consume.

Eliot

Buffet owes over $1 BILLION in back taxes that he refuses to pay, and the government is letting him get away with it! OF COURSE he want to raise taxes; he knows that HE won’t have to pay them!

Tommy

Do you really believe that?

Ben Dover

Yes it is theatrics. Buffet could very easily cut the IRS a check for whatever amount in extra “taxes” he wishes to pay. There is no law that says a citizen cannot voluntarily pay extra taxes.
Kevin Pearson

For once I agree with Bloomberg, which is a shock. It is just theatre because no body gives any chance of this tax being implemented. All this is, is campaign theatre and Buffet getting his exemption from ObamaCare.

Everyone knows that the “superrich” do not pay income tax because they have their assets set up in trusts and tax free munis, and so increases in income taxes doesn’t affect them because they already have their money, but they love to raise income taxes on everyone else so they cannot become rich and join their exclusive “club”

Luke

This is patently false. The super-rich pay taxes. Trusts created for the pure purpose of avoiding taxes are illegal and catch up with you almost 100% of the time. Most of the loop-holes that permitted them were closed long ago, though this does not stop the perpetuation of the myth. As far as raising taxes for everyone else, when’s the last time a low wage earner actually received a tax increase? Especially if you consider the “special credits” that usually accompany any such hike.

As far as the tax-free munis, this deal was struck for the advantage of the municipalities and not the super-rich. If the owners had to pay taxes on them, then the interest rates for the municipalities would be 35% higher due to the people buying them requiring a 35% greater interest rate to keep them whole. It’s basic market math.

bertaggle

why should anyone in america want to work? you are taxed for working!! how can anyone justify that especially in this country where you are supposed to be free. you people need to wake up!!

Vince

It’s too late bert. They’ll be no waking up until the revolution begins.
CantStandMorons

Of course!! We should pay no taxes at all! We don’t need roads! We don’t need Airports! We don’t need ANY of the stuff that the taxes (albeit only a portion of them) go to paying!! Let’s focus only on the waste and pay no attention at all to the good things done with tax dollars because that’s what Americans do! We get our news from talking heads and remain absolutely myopic on the few trees and IGNORE the forest! GREAT IDEA BERT! [/end sarcasm]

Ben Dover

But why spend billions on a forest when It should only actually cost thousands?
Luke

Except for the federal highway system, the majority of these items are funded locally. Most people don’t argue against taxes when they are used for the benefit of all. They usually only argue against it when it is for the benefit of some, and they are not part of that some.

GigaWatts

Outside of a Fair Tax (consumption tax) or a Flat Tax, here’s what I’d suggest. If you are not a retiree, and making your money purely off of Investments (in turn only paying capital gains), then your rate should rise to the income rate of your tax bracket. Otherwise, leave the system already in place. Those who are making income and paying income at the 35% rate, and have investments, should not be charged at the 15% capital gains rate, but instead the normal 15% rate.

Some may reply that retirees should not be paying taxes; however, if they have investments that require a capital gains tax, then that means that those investments are returning income, and just as everyone else can be taxed, just at the lower rate.

bertaggle

no one should be paying taxes on income no matter how it is made!!!!
Kevin Pearson

How do you define retirees? If you are making all of your money purely off investments, then you are a retiree.

That’s what “retirement” means, It means that you have assets generating enough income that no other income is needed. In other words, you have just just changed “jobs” from having a job title bestowed on you by some employer, to being a manager of your own assets

Retirement does not mean that you reach a certain age. That is the government’s idea and it is completely arbitrary.

GigaWatts

So by your definition, Warren Buffett is a retiree? What I mean is that they have retired from the job market, and are now living on their “retirement”.

Kevin Pearson

He still holds a title as CEO – which means he still is an employee and draws a salary, and stills has a secretary and has an office to go to.

And you have a lifer from the Air-Force receiving a military pension but still working as a manager or a foreman.
Or you can have someone retired from one job and own a small print shop on the side. Or a retired journalism professor that owns a small town newspaper, because publishing a newspaper is his passion but the newspaper is his own investment.

See it really isn’t easy to define “retiree”. so your input is pointless

jekyllisland

Actually Kevin since 2008 Buffett has “refrained” from taking a salary as not to appear as greedy in such harsh economic times such as these.

Thus he has no income from wages so he pays zero taxes to the Income Tables and pays only 10% – 15% on income from Capital gains.

Why do you think the guys who ran GM after Obama took over were only happy enough to earn just $1 a year for a whole bunch of stock?

And yes they sold out of it exactly one year later
GigaWatts

Have you mentioned anything on the Capital Gains? No, sure didn’t. Retirees, are those who do not work for a living, and have left the work force, thos who may have invested in something so that they could live off of it otherwise. Those could be paying the Capital gains tax as is, yet those who are still working, yet retired from the military, are still employed, and unless they’re paying capital gains tax, then it has nothing to do with my point.

Even if, as in your example, a retired journalism professor owns a small town newspaper, he is still employed, and paying the standard taxes as is anyway if he is making money off of that newspaper (if not there’d be fraud involved).

My point on the “retiree” portion, is that those folks living solely off of their investments, and are not employed (aka not part of a company, either in their name or otherwise) would be taxed at the regular rate, but those who are, for example, hedge fund managers making money purely off their investments, but still employed, would pay the higher rate for their capital gains. Any additional income they might have would be taxed at the appropriate tax bracket.

Vince

Owe-bama relies on ignorance of the people. There are 235,000 millionaires in this country. They pay 20% of ALL TAXES. They make up only one quarter of one percent of workers in the entire nation. How does that equate to them not paying “their fair share”?

VaDAve

Now let’s not let the facts get in the way of good campaign rhetoric!

windy

1st Question: Does Buffet believe what he is saying or is he looking for an opportunity to make more $$$$?

2nd Question: Buffet & Gates donated over $60 Billion. Did he do this because he believes in the foundation or is he dodging paying taxes by investing in a foundation where he has complete control over the $$ he donated? where he can withdraw it at any time?

Last Question: Buffet started Berkshire that is a conglomerate of corporations that were purchased on the cheap because they were failing but had a strong business model. If Buffet get’s his way, will there be more “buying” opportunities because more small business are being put out of business?

mark

To the first question; it’s a scratch my back, I’ll scratch yours. Millioniare Buffet will rally behind Obama and champion raising taxed on the rich, helping insite class warfare. In return, Obama will not allow anyone to raise the Capital Gains Tax were Buffet really makes all his money. Truely wealthy people are smart and don’t pay that much in taxes. Yes, they may have million dollar salaries but the equity they also get paid is worth more. If they get a million shares of stock worth $100 each and sell them when the shares drop to $99 each, they get to report a tax loss against everything they’ve earned. Sweet, isn’t it!

Luke

That’s not even close to correct. When they receive their grants, they pay their income tax rate against the market value of said stock grants (Stock options are similarly handled.) So when they go to sell the shares for $99/share, that they paid at their 35% rate on the $100/share, they then get to subtract $1/share * 15% LTCG rate from their current tax liability.

Daisy

You’re correct. Mr. Buffet can avoid paying death tax by giving the money to a foundation. If he truly believes that the government can spend our money better than we can, why doesn’t he just leave that fortune to the government?

Luke

Only by giving it to a qualifying foundation. You can’t give it to the foundation for the support of Warren Buffet’s pocket book. As far as being better able to spend his money, I don’t think that’s a statement that ever left Buffet’s lips. He’s only said the rich should pay their fair share of the public burden. You can do that through taxes or by contributing to foundations that work for the public good. Some would argue that the latter is doing far more good.

Josh

48% of Americans pay NOTHING in federal income taxes. Any amount and any percentage is greater than this. These people have no investment in the government, and their mindset is to get as much out of the system as possible without being a productive member of society in any way whatsoever. “Fair share” is just code for the top 10% that funds 70% of our government should be funding the remaining 30% as well.

GigaWatts

I agree mostly, but the only rebuttal is that some of this 48% also includes retirees who have paid their share in… but I do not have the numbers on how much of that 48% are those retirees.
Vince

You’re too generous Josh. The top 10% pay 86% of all federal taxes. The top 5% pay 70%. And the top 0,25% pays 20%. Those are the millionaires.

Harold Lowe

From FactCheck.com

The 10% of households with the highest incomes pay more than half of all federal taxes. They pay more than 70% of federal income taxes, according to the Congressional Budget Office.

Luke

That statistic cuts both ways. They also make more than half of the country’s taxable income.

I may be a birther but at least I’m not a forger

20 years of listening to Rev. Wright will do that to you…
Hank Warren

Endless tax increases for ALL, yet another violation of our rights. Add it to the list of gov’t violations of our rights:
They violate the 1st Amendment by placing protesters in cages, banning books like “America Deceived II” and censoring the internet.
They violate the 2nd Amendment by confiscating guns.
They violate the 4th and 5th Amendment by molesting airline passengers.
They violate the entire Constitution by starting undeclared wars for foreign countries.
Impeach Obama, vote for Ron Paul.
(Last link of Banned Book):
http://www.iuniverse.com/Bookstore/BookDetail.aspx?BookId=SKU-000190526
jerseyjoey

Of course Duhhhh hes a billionaire jew Duhhhhhhhh

gavin

What does Jew have to do with anything?

TheRealKingMax

Correct.

Aside from American Jews being hopelessly and mindlessly linked to supporting communist Democrats obsessed with destroying the United States, I see absolutely no connection in jerseyjoe’s comment..

bertaggle

and you think the repubs aren’t out to destroy america???? wake up!!

JustGettingDumberReading

You moron, Warren Buffet is about as jewish as Mel Gibson! And, for the record to the “RealKing” of stupidity below, pay attention to the news cycle and less attention to the FoxNews ticker and you would see that a bunch of “American Jews” in NY just ousted a Democrat in favor of a republican.

The only “mindless” thing I have read on here is that nobody should pay taxes. How do you think we have the little things that we take for granted like, oh, I don’t know, the POLICE or the HIGHWAYS or the FAA?????? Do you people know anything about civics?

bubbles

Dumber you are the type that would ask in a socialist country “how do you think we have things like food and housing without the government taking all the money we earn?”
Roads and air traffic control are among many things proposed to become privatized including even law enforcement. While I’m not necessarily advocating for all of them here, it is silly for you to assume that they can’t exist without the government doing it.
Nobody paying taxes is a lot less silly than some paying taxes and not others. Besides why should anyone be taxed at all for just working?

Jsmith

Of course Buffett’s statements are all theater.

If he were serious, he’d write a check instead of giving speeches –there’s no rule against paying more.
cv

Obama supporters are all brain dead. Bloomturd is a super rich liberal, like most of the super rich and Obama and his life is the definition of theatrics.
Jack

GET A JOB!!! LAZY LIB!!! GET A JOB!!
taxpayer

Just reading these comments should be clear why we are having economic problems.

The old British union boss when seeing the boss drive a Rolls Royce, remarked that “we will take that car from him!”

The American worker on seeing his boss drive a Cadillac (before it became GOVERNMENT MOTORS) used to say “what do I have to do to get me a car like that!”

The top 10% of earners pay 70% of federal taxes.

Almost 50% of workers pay NO federal taxes!

And look at all the comments of those who so willingly want to put their hands into other peoples pockets.

jerseyjoey

You are leaving out the simple fact that fed taxes are not the only taxes. DFA

Christine Guinn

Doesn’t matter. The top 10% STILL pay more than the bottom 50%, even if you include all other federal taxes.

snapper

Maybe Buffet took a page out of the Treasury Secretary’s playbook and just cheats.

Klaus

I say tax Buffett’s capital gains at ordinary income rates. Plus institute an asset tax on billionaires. A big assett tax, like 90%. And end their tax-exempt sham organizations. They’re not charity organizations, they’re policy-making tax shelters. The world will not end if billionaires are taxed into extinction.

Jsmith

More class warfare.

If you’re truly angry that his secretary pays more than he does, then why not tax them BOTH at the lower rate?

Poor Economics Student

Why would anyone want to work hard to become a billionaire?

I would like to see how much Buffet has paid in his lifetime in taxes.
He paid a lot of money in taxes to get the money that he makes money with(“evil investment income”).

Everyone should research double-taxation

Klaus

You’re never gonna be a billionaire. Work doesn’t get you there. Insider deals get you there. Tax Buffett and Bloomberg into oblivion. Leave the rest of us alone.

Kevin Pearson

You’ll never be a billlionaire because the tax code is set up by super rich Liberal Democrats to prevent anyone from becoming rich and joining their exclusive club

Christine Guinn

If he really feels that he is not paying enough, nothing is stopping Mr. Buffett from writing a BIG check to the IRS! The IRS accepts donations.

JayT

It’s amazing in this country how u can fool the people, claim lies and half truths and dupe at least half of the voters into following u….. sad state.
Jay

You guys are delusional. I’m not a Republican but Obama has done nothing to improve the economy. Zip, zilch, zero. He had a super majority in both houses when he took office and wasted the opportunity. I’m not going to blindly support a guy who clearly has no idea what he’s doing.
RichGetRicher

Ready . . . . this is how the rich keep getting richer and yes, they pay less than a secretary:
Mayor Mike Bloomberg Salary = $1.00 for the YEAR.
(http://en.wikipedia.org/wiki/Michael_Bloomberg#Business_career)

According to 2011 IRS Federal tax brackets are:
10% Federal and
4% NY State so Bloomberg only pay .14 cents a year in INCOME TAXES! A true Genius!

A secretary with a “real” salary, say $50,000 a year pays:
25% Federal
6.85% NY State so she pays almost 32% on a salary of 50,000 which is $16,000 in income taxes. Sucks for her.

Who’s the one getting screwed? Of course Bloomberg is worth $18.1 BILLION but hey, it’s NOT his SALARY. The only thing he has to pay are Long Term Capital gain which are taxed at 15%. Still LESS than your secretary who is getting hit with 25% Federal. (http://en.wikipedia.org/wiki/Capital_gains_tax_in_the_United_States)
ennovy53

any working man who pays taxes and have a mortgage and is a republican is a fool.

steve

Ennovy53: Why is that so obvious to you and me? Why do people seemingly vote against their own self intrests?

Oliver

I am a Republican, with a mortgage, who has probably had times in my life where I’m sure I was poorer than either of you have ever been. I’ve always voted my principles. You probably think that if you don’t have cable you’re on skid row. The truth is that even though some in my family have and would qualify for government assistance, we don’t take it. If you need a mommy and daddy to help you go find one, and don’t turn the government into a parental unit. Principles over self-interests – something the liberal mind cannot grasp.

Steve

Personal responsibility is lost to a liberal…it’s always the other guys fault they are poor.

Jack

Typical Liberal lack of logic. Anyone who pays taxes, doesn’t leach off the government and votes democrat is a fool.

Show me a young Conservative and I’ll show you someone with no heart. Show me an old Liberal and I’ll show you someone with no brains. – Winston Churchill

GigaWatts

I guess that I have no heart, or maybe just developed my brain before I could have… nah, I think that instead I grew up being taught that personal responsibility is an asset, and that there is no reason to USE assistance unless you absolutely have no other choice.

I’m not even 30, and I pay taxes, and have a mortgage, and vore Republican more often then not. Mostly because I look at the facts and purposes behind decisions, not talking points and propaganda (from both sides).

Please open your eyes!

Anyone who uses sweeping generalizations to label individuals a fool is just that.

Do you not get that the democrat and republican parties are hijacked?

Is it not weird to you that Bush and Obama had/have the exact same foreign policies? Is it not weird to you that they both spent money in the same manner?

Is it not weird to you that you have become so indoctrinated to think “right” when you hear/see Democrat and to think “wrong” when you hear/see Republican?

Is it not weird to you that one of our two parties hates abortion but loves killing criminals and that the other hates killing criminals yet sees no harm in letting a mother kill her unborn child? Just one of many inconsistancies as they had to draw arbitrary party lines amongst social litmus tests.

OPEN YOUR EYES!!! PLEASE!!!!

The divisiveness you are exemplifying is exactly what the agenda creaters want! Black/White, Illegal immigrant/legal immigrant, pro-life/pro-choice, blue/red…..ALL DISTRACTIONS

The two party system has taken away much of our actual choice and has blinded most of us(YOU) into fighting amongst ourselves.

Please watch Ferris Bueller’s Day off and learn not to believe in an ism before you believe in yourself. And listen to me wen I say do not believe in an ism before you believe in humanity.

Dont hate someone because they are brainwashed differently then you. Hate the brainwash!
Jsmith

Anyone is doesn’t pay taxes and has someone else paying his mortgage is a democrat.

OK, now where did this exchange get us? Nowhere. We need solutions, not accusations.
mugsy

uuummm, response not needed
Kevin Pearson

So what you are saying is that the 48% that pay no taxes and live in the projects should all be Republican?

roy

Looks like the King of NYC is scared s*h*i*t about having to let go of a couple of millions. For someone who recently upped his fortune another billion he should be paying up… about time.

Oliver

Yes, yes, Roy. I’m sure you had so much to do with Bloomberg’s success that you should get some of his money. When the return on investing in domestic markets is even further diminished, by things such as taxes, and a sluggish economy that the government cripples by taking more money out of, where do “rich” people invest their money? Anywhere but here, or in something that is tax-free, is the answer. Then, everyone’s investments, retirement, etc, go down even further than they have already.

goblin

Uh oh, looks like someone is scared to pay more on his billions.

Oliver

Goblin, do you think that you get to reach into Bloomberg’s bank account? You forget that money has already been taxed. The government doesn’t get to reach into his pocket on that money until he dies and they take about half like grave-robbers. However, I’m sure that you’d support a way to just take money straight out of accounts. Will you scream bloody murder when it happens to you? (Although, I know the chances of you being a productive member of society is probably minimal.)

Dakotahgeo, Pastor/Chaplain

Double, TRIPLE Obama/Biden in 2012!!! No more Bush/Cheney traitors/ TEA-publicans to further ruin our country!!!

Jack

You need to add Socialist Leach to your name. Get a real job and pay your taxes.

PASTOR/CHAPLAIN/SOCIALIST/LEACH
TheRealKingMax

Dakotahgeo, Pastor/Chaplain/Assclown slobbered, “Double, TRIPLE Obama/Biden in 2012!!! No more Bush/Cheney traitors/ TEA-publicans to further ruin our country!!!”.

Dakotahgeo, anyone who supports such a traitorous, destructive chunk of human waste like Obama has NO right to run around calling true Americans “traitors”. YOU ARE THE PROBLEM, and the traitor.

And I treat traitors like any other enemy of my country.

I strongly advise that you go back to your ghetto and SHUT UP.

Bushelfoote

A CHANCE??? The people who ran us all into the ditch are the same people who also wouldn’t sign off on unemployment until they got ANOTHER tax cut….Why do they insist on being called “Job Creators” when that is NOT the case….unless you count all the jobs they’ve created in foreign countries using tax incentives to outsource AMERICAN jobs….Obama is doing good cleaning up the mess he found when he got there…..and we are feeling better…but to me he’s not done yet…..Obama in 2012!!!

midi-man

Agreed Obama 2012. Let him finish and teach congress and the house they had better get along with him and get our country fixed.

Also I need to see how Bloomberg will feel when he get his tax increase. This mad man had made me pay more, now it’s his turn. Only difference is Bloomberg has it to pay I do not.

Jsmith

Sorry — not going to vote for a dictatorship where the president “teaches congress a lesson”.

You are right that you should pay lower taxes, but Bloomberg doesn’t control the federal income tax. Obama does, and he’s cranking it up on all of us who pay.

Luke

Last time I checked, Congress determines the tax rates. Not the president. Congress makes the laws. The president and his branch enforce the rules.
m

You must make bloombergs money since if Obama Passes this bill it will not effect me. I do not make a Million. Do you?

gavin

Aside from the fact that the man pays far more taxes than you will ever pay in your whole life, he gives more money to charity than you will ever make in your life. Stop looking to be a parasite and start helping yourself.

Jack

If Bush ran the car into the ditch, Obama pulled it out …filled it with the American public and ran it off a cliff.
Mikey

Whatever you say, liberal. Just keep ignoring the 110th congress and all the damage they did.

Never mind the fact that when Queen Pelosi took control of the gavel in January 2007, we had 5.4% unemployment and an annual deficit under 400 billion. Fast forward to 2010 and after only 4 years of democrat rule in congress we have over 9% unemployment and an annual deficit of 1.5 TRILLION.

But yeah, you’re right, it’s all that evil Bush’s fault…..