Archive for 2018

LAURENCE KOTLIKOFF: Did The Supreme Court Potentially Bankrupt Tens Of Thousands Of Small Online Businesses?

Small business is supposed to be the engine of economic growth and the internet is now the engine of small business growth. Today’s Supreme Court’s decision is potentially the engine of small business death. This plus the looming global trade war may be more than enough to pull the plug on our economic recovery.

Yes, we’ve very badly needed to rationalize state-business taxation. But what was and is needed is a system in which a company can file one and only one unified state sales and income tax return, pay one and only one tax bill and then have the states divvy up the proceeds. This will no doubt require federal legislation. Absent such a solution, the little engine that could — small online business — may immediately become the little engine that can’t.

The Powers That Be seem ready to rein in the Internet, whether it’s free speech or free enterprise.

OPEN THREAD: You know what to do by now.

MCCAIN WAS NO FRIEND TO THE TEA PARTY: Judicial Watch Obtains IRS Documents Revealing McCain’s Subcommittee Staff Director Urged IRS to Engage in “Financially Ruinous” Targeting.

The explosive exchange was contained in notes taken by IRS employees at an April 30, 2013, meeting between Kerner, Lerner, and other high-ranking IRS officials. Just ten days following the meeting, former IRS director of exempt organizations Lois Lerner admitted that the IRS had a policy of improperly and deliberately delaying applications for tax-exempt status from conservative non-profit groups.

Lerner and other IRS officials met with select top staffers from the Senate Governmental Affairs Committee in a “marathon” meeting to discuss concerns raised by both Sen. Carl Levin (D-MI) and Sen. John McCain (R-AZ) that the IRS was not reining in political advocacy groups in response to the Supreme Court’s Citizens United decision. Senator McCain had been the chief sponsor of the McCain-Feingold Act and called the Citizens United decision, which overturned portions of the Act, one of the “worst decisions I have ever seen.”

In the full notes of an April 30 meeting, McCain’s high-ranking staffer Kerner recommends harassing non-profit groups until they are unable to continue operating. Kerner tells Lerner, Steve Miller, then chief of staff to IRS commissioner, Nikole Flax, and other IRS officials, “Maybe the solution is to audit so many that it is financially ruinous.” In response, Lerner responded that “it is her job to oversee it all.”

So it seems that, as suspected, the GOP establishment was on the same page as the Obama Administration here.