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Mitt Romney and the 1%

Mitt Romney has released some information on his income taxes over the past two years. Turns out he’s paid less than 14 percent on more than $40 million in income. He makes more in one day than most American makes all year, yet he pays a tax rate that is far less than what the vast majority of Americans pay. Keep in mind that Romney’s income rolled in while he did nothing but clip coupons and hit the campaign trail. It suggests that our once progressive income tax has been turned into a farce, where the very rich get away with paying less than bus drivers, construction crews and health care workers. That’s not right, and it’s why the tax laws need to be changed and changed soon.

It’s now obvious why Romney tried so hard for so long to hide his financial holdings. He’s stashed some of his money in tax havens like Luxemburg and the Cayman Islands. He’s even had a Swiss bank account. He says he’s paid taxes on all his foreign holdings, but The Los Angeles Times reports that Romney failed to disclose at least 23 funds and partnerships on his most recent financial disclosure forms, including 11 based in low-tax foreign countries. While he may not have broken any laws by funneling cash into off-shore accounts and companies, Romney has clearly broken faith with the American people. He amassed his wealth by hollowing-out companies, laying off employees, ruining communities and practicing what is kindly called “vulture capitalism.” He left thousands of families in hardship while he accrued hundreds of millions in wealth. He should be ashamed, but if we’ve learned anything over the past year, Mitt Romney has no shame.

Romney, after all, doesn’t hide that he wants a tax code that rewards the 1 percent and makes the rest of us pay far more than our fair share. He’s running for president with a plan to change the tax code to make rich Americans even richer. The Economist magazine describes his plan as “very progressive, by 15th century standards.” Romney’s “help the rich get richer” plan would reduce the taxes of the top 1 percent by more than $170,000, while adding $600 billion to the deficit. He gets defensive when his plan is attacked, just as he gets hot under the collar when people bring up his past career as a corporate raider. He claims that any criticism of his repugnant business practices is an attack on free enterprise. It is not. It’s an attack on ruthless behavior. He claims that his critics are engaging in “class warfare.” It is not that either. If anything, he’s demonstrated the truth in Warren Buffett’s statement about class warfare: “It’s my class, the rich class, that’s making war, and we’re winning.”

Unfortunately, Romney’s not the only candidate out there who is interested in making life easier for the well-to-do. Shockingly, Newt Gingrich’s tax proposals are even worse that Romney’s. He wants to eliminate completely the taxes on capital gains. His radical tax scheme would guarantee that most members of the 1 percent, including Romney, would pay little or no taxes at all. The middle class would be left to pay the country’s bills, including the cost of additional tax breaks for corporations and the wealthy.

Perhaps that’s why the GOP candidates spend their time distorting Pres. Obama’s record, rather than outlining their own hare-brained plans for our country. Rick Santorum goes even farther. He says talking about the middle class is misguided because, get this, it buys into “the class warfare arguments of Barack Obama.” Santorum scolded Romney for using the term in a recent debate: “The governor used a term earlier that I shrink from. And it’s one that I don’t think we should be using as Republicans: Middle class.” And why shouldn’t Republicans talk about the middle class? “There are no classes in America,” Santorum continued. Only a millionaire could believe this.

We shouldn’t be surprised that Romney, Gingrich and Santorum all support the unhinged agenda of their political allies who now control the U.S. House of Representatives. They’ve promised to support radical schemes like the Ryan Budget, which abandons programs that have helped to build and sustain the middle class, including Medicare, Social Security, education assistance, health research and job training programs. They ignore the damage done to the middle class as CEO pay skyrocketed 300% since 1990 and corporate profits doubled. These are the candidates of the 1%, for the 1% and by the 1%. If they have their way, Mitt Romney and the wealthiest people in America won’t have to release their tax returns. They won’t even have to file.

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Gerald McEntee

Gerald McEntee

Gerald W. McEntee is the International President of the 1.6 million-member American Federation of State, County and Municipal Employees (AFSCME), one of the most aggressive and politically active organizing unions in the AFL-CIO. Since 2006, 145,000 women and men have changed their lives by forming a union with AFSCME. McEntee was first elected AFSCME President in 1981 and was re-elected in July 2008 to another four-year term.

As a Vice President of the AFL-CIO and chair of the Political Education Committee, McEntee is a key leader of the labor movement and its political efforts. Under McEntee’s leadership, the federation created its highly successful and much imitated voter education and mobilization program, which increased the number of union household voters to a record 26 percent of the electorate in 2006.

McEntee has long been a leader in the fight to reform the nation’s health care system. He chairs the AFL-CIO’s Health Care Committee and is a co-chair of Health Care for America NOW!, a national grassroots coalition that has launched a $40 million campaign to guarantee quality, affordable health care for all Americans.

McEntee is a co-founder and chairman of the board of the Economic Policy Institute, the preeminent voice for working Americans on the economy. He led the successful fight to stop President Bush’s plan to privatize Social Security, was an outspoken proponent for increasing the federal minimum wage, and is one of the nation’s leading advocates for America’s vital public services.

For his efforts to improve the lives of working families, the Leadership Conference on Civil Rights presented McEntee with its prestigious Hubert H. Humphrey Award in 2004.

Before assuming the presidency of AFSCME, McEntee began his distinguished career as a labor leader in Pennsylvania in 1958. He led the drive to unionize more than 75,000 Pennsylvania public service employees, which at that time was the largest union mobilization in history. He was elected Executive Director at the founding convention of AFSCME Council 13 in Pennsylvania in 1973 and an International Vice President of AFSCME in 1974.

McEntee holds a bachelor’s degree in economics from LaSalle University in Philadelphia. A native of Philadelphia, McEntee and his wife Barbara live in Washington, DC.

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