Under the new health care bill all real estate transactions will be subject to a 3.8% Sales Tax.

ObamaCare New Tax on Home Sales

Sorry if this topic is political related but I think we will face a economic catastrophe if we don't cut spending, restore the value of our dollar and stop inflation.

While I agree with your sentiments, the 3.8% tax is an internet hoax. It's not in the health care law. Plenty of other bad stuff is, though.
You're probably right that your post should be in a different thread. I don't know. It'll probably start a firestorm. I almost wish I hadn't responded...

Read this and get educated about the tax:

JIM FLYNN: Report on new tax causes unfounded angst

2010-07-30 12:36:20
Much to the chagrin of encyclopedia salesmen, the Internet has become a boundless, mostly free, source of information about nearly everything. However, the Internet has also become the perfect vehicle for rumor mongering.
A recent example of this has to do with the new health care-reform act — the Patient Protection and Affordable Care Act of 2010. On March 28, Paul Guppy, vice-president of research at a Washington State research organization, wrote an article appearing in the Spokane Spokesman-Review. In his article Guppy stated there was now in place a 3.8 percent tax on home sales.
“Middle-income people must pay the full tax even if they are ‘rich’ only for a day — the day they sell their house and buy a new one,” he wrote.
Within hours, the article was flying around the Internet, with added commentary about how this sales tax would destroy lives.
Let me try to describe what the new law really does.
To begin, a new chapter — Chapter 2A: “Unearned Income Medicare Contribution” — has been added to the Internal Revenue Code. (In defense of Guppy’s inaccurate analysis, it’s important to note that Chapter 2A, like all the other chapters of the Internal Revenue Code, seems to be written with the specific intent that it should never actually be understood by anyone.) Chapter 2A does create a new 3.8 percent tax to support Medicare. The tax begins in 2013. It applies to “investment income” and affects only individual taxpayers with an income in excess of $200,000 and couples filing a joint return with an income in excess of $250,000.
Now, putting this in the context of the sale of a home, for a married couple the first $500,000 of gain from the sale of a home is exempt. For an individual taxpayer, the exemption amount is $250,000. Once a taxpayer has used up the exemption, the gain from the sale becomes investment income and is subject to a regular capital gains tax of 15 percent. Under the new law, if a taxpayer exceeds the income threshold amount stated above, the 3.8 percent Medicare support tax will also apply.
To give a simple example of how this works: Let’s assume a married couple with an annual income of $350,000 bought their home in 2003 for $400,000 and, because the home is in, say, Aspen, they sell the home in 2013 for $1,000,000. Their investment income from this sale is $100,000 ($600,000 less the exemption amount of $500,000). They will pay $15,000 in regular capital gains tax on this sale, plus an additional $3,800 because of the new Medicare support tax.
To put this matter into proper perspective, since very few people these days sell their home with a gain that exceeds the exemption amount, and since only a small percentage of taxpayers have an income high enough to trigger the new tax, the number of home sales that will be affected by this tax is going to be small.
Here’s hoping Guppy does a better job on his next research project.
—
Jim Flynn is a private attorney at Flynn Wright & Fredman LLC in Colorado Springs. Reach him at jtflynn@fwflegal.com.

http://www.gazette.com/articles/new-102274-become-internet.html

Nothing wrong with the thread as long as everyone remains civil.

We are not going to pull out of this rut in this country by taxing the hell out of everyone and creating a bunch of government red tape that increases the deficit.

Washington has a 1 plus percent unemployment rate.The rest of the country is in the high teens.We are paying for government fat in Washington while they get the benefit.

This is WHY nobody wants to give the government money in the form of higher taxes.They take and take yet do not spend the money wisely.

This is why really wealthy individuals pay few to little taxes.They set up foundations,charitable trusts,etc. to CONTROL how the money is going to be spent.

If I have 100,000 that I would have to pay in tax as income I would much rather give that money away to charities where I knew the money was going to be spent wisely and how much out of every dollar went to the cause.

I still control the benefit of the money that way instead of paying for the pork in Washington.

Look at Paul Mitchell,Bill Gates,Richard Branson,etc. They all do this instead of paying a bunch of taxes. Warren Buffet stated the Rich could afford to pay more taxes than they do.I disagree as others in that it's better to control the giving and use of the money then to give it to the cronies in Washington who couldn't balance a check book if their life depended on it.

I think this has to do a lot with real estate and what happens in the economy affect tremendously to the real estate industry.
I don't think is going to be a small percentage that will be affected with this new tax. Here in Florida, in the last 2 years, have come lot of international and out of state investors to buy properties to rent them out. This will affect all of them and therefore the tenants (which most have lost their homes in foreclosures).

Anyways, I think that is very important the next president in office. This country is bankrupt, we have to cut spending and have to stop destroying the value of the dollar, we need to restore this economy ASAP!

NAR (yeah, i know, but i'm totally serious this time) explains things very well on their FAQ sheet on this.

It is a 3.8% tax on unearned net investment income : rents, dividends, cap gains, & interest income, for peaople w/an AGI of $200k (single) or $250k (married.) Mearly selling a home [u]will not trigger the 3.8% tax.

http://www.realtor.org/small_business_health_coverage.nsf/Pages/health_ref_faq_med_tax?OpenDocument

Again, from NAR and a seperate FAQ (OK they really did a good job, here.) For earned income, salary, wages, and - you guessed it, commissions :

Expect a 0.9% tax on all earned income over $200K (single) and $250k (married.)

http://www.realtor.org/small_business_he...me?OpenDocument

These do not go into effect until 01/01/2013. Obviously there is not a lot of clear understanding of these new tax things, what they're about, when they're going to happen, how they will be applied. Before people really, super start freaking out get educated, talk to a few good accountants, have your clients talk to some as well.

*KT is not any type of CPA, and doesn't play one on TV. But seriously recommends anyone who has q's go see one. The internet does not always have all the answers. Seek professional advice.

Methinks the idea they are angling to tax landlords is a clue to the rest of us that landlordship is likely to increase in a quantum way. 3.8% is the foot in the door. It will be 15% in a decade and only serve to drive rents higher by the amount of the tax.

In the example above, the couple has a good annual income, purchased the house for $400,000 and is selling it for $1,000,000 and is paying only $18,800 in capital gains and Medicare Tax.
I think that the amount in taxes paid (3.13%) is miniscule compared to the gain.

Just another tax that creates government jobs to monitor and enforce a tax that provides new jobs for a bigger government that has to be continued to be supported hereafter and does nothing to rebuild a better America.

And it is a tax the dimwits at the state level will say as long as they are figuring out that tax we will add on a little to be sent to us at the state level so we will have even greater income to waste then we already have by just passing this new bill I'm going to write.

Maybe, after I get that passed I can get the state to fund a new staffer for me to work on my re-election stuff, nothing more important then that, oh, that other state stuff, I'll work on that after I'm re-elected, can't spread myself to thin you know.

I didn't dig through the links, so I am assuming this new tax is to help fund a health care bill as noted by the OP?

I can clear up the health care crisis. Just a warning, this might go very off topic from real estate.

Tax drinks with added sugar or artificial sweeteners. $0.01 per oz. That includes sugar, hfcs, aspartame, and any other artificial sweeteners.

Tax anything with artificial color $0.01 per oz. Food or drinks.

Tax anything with GMO food (soy and corn). Lets just ban GMO food altogether. It's already been proven GMO offers nothing better than non gmo food, and we havent fully studied the side effects of consuming it.

Tax fast food restaurants that serve garbage food. If it's fried then it gets taxed. $.10 per sandwich and $0.05 per order of fries.

If the product contains bleached flour, then it gets taxed too.

Take 50% of the tax and offer it to farmers who use organic methods of growing crops. Take the other 50% and put it towards the health care bill. I shouldn't have to pay so much for organic food.

People should pay more for insurance who have a higher body fat percentage, higher cholesterol, and higher levels of fasting glucose. This will help motivate people to change their diet and eating habits. I'm not talking about a 10% increase, it should be 50% or more.

People who have healthy levels of what I said above will pay much less in the health care. Reward people for exercising and not stuffing their face with Mcdonalds and burger king.

All you need to do is follow the health care issue backwards. People are upset because health care costs a lot of money. It costs a lot of money, because insurance companies have to pay a ton of money from claims. Insurance companies are paying a ton of money, because people are going to the doctor more, and are developing diabetes, heart disease, and other issues. People are developing these issues because of poor diet, exposure to harmful chemicals, lack of exercise, and other contaminants. People are being exposed because of our screwed up food system.

Fix the food system and that fixes the health issue.

Leave the taxes on real estate alone. You know what kind of insurance I have? I pay $55 a month for worst case scenario. If I needed something major done, then i'm covered. If I go to the doctor for the flu i'm paying 100% of the bill. I never go to the doctor because i'm never sick, or sick enough to justify going. I only go for a yearly checkup and to check my blood. I eat healthy, exercise, and use products without cancer causing chemicals.

I disagree. The problem is not what people eat, but what insurance companies charge. The cost charged is disproportionate to the health problem.

Life insurance companies set rates according to such things. Car insurance companies factor risk into rates also.

True, but at whose expense and is the risk comensurate with the cost? I don't believe it is, because I know it can be reduced. Just because the insurance companies charge what they can, does not mean they charge what it's worth.

To the OP, what percentage of your clients whose transaction closed in the past year would be taxed under this new tax? I know for me, it would be a significantly low percentage and I doubt it would hinder those eligible to be taxed from proceeding with their real estate plans.

ARG. This isn't based on a transaction tax. It's based on rents and cr@p like that.

No, not only income properties, but also sales of personal homes that are above the $250,000 (single), $500,000 (married) exemption.
p.s. many states/communities also have a real estate transfer tax on top of it.

I was trying to simplify it per my prior response, which apparently was not read. It has zero to do with selling a home. It has everything to do with unearned income. And the range is $200k and $250k.

It was read, to have an AGI of $200k to $250k in rents after write offs, requires quite a bit of real estate and the increase in taxes is really not much.

this one is gonig to be all over the place as i am short on time and find this subject very interesting

this film in on netflix
http://www.fatsickandnearlydead.com/

diet has a lot to do with health. im not telling, asking anyone to change htier diet....i dont eat that stuff, but there is truth to the documentary.

a 35 year old diabetic with other medical problems due to being overweight is a high cost for insurance companies. they will loose money on him regardless of what his monthly premiums are

medical cost are so high because individuals dont pay them. so they can be more. insurance premiums are so high because the healthy pay for the sick. there is a cycle here.

medical was bundled with employment to overcome wage freezes durring truemans presidency.

before insurance, doctor bills were low enough that an individual could pay them.

then came insurance companies

the7y said, hey people, instead of paying 50 dollars for each trip to the doctor, you couuld pay us 100 dollars a year and we would cover each doctor visit. you now go to the doctor 4 times a year, so you would save 100 dollars by using us.

doctors cought on, so charged higher rates because people did not have to come up with 50 dollars per visit. now the doc charged 55 dollars and passed the bill to the ins companies

the ins companies then charged 110 instead of 100 per year.

the cycle continues.

we have not even gotten into the drug business.

dont blame the drug companies truth is that htey loose a lot of money just getting a drug approved. many drugs dont go anywhere...that gets factored into the cost of the drug that is on the market. they can all charge more because insurance is out htere


drugs dont treat the problem (many times).....drugs fix the symptoms....being healthy is more than treating symptoms as it is treating the problem and healthy diet and excersize is where it starts.

since i went into the marines in 1998 i have yet to miss 1 day of work due to being sick. is it because of diet and excersize? not 100%. Some is just dumb luck, but diet and excersize have a lot to do with it. if i had another 100 pounds on my frame, i am at a higher risk for many different medical issues


a few things to look into...once again, all over the board

dont get your info from any 1 source, look around and get it all and then use logic to deduct what you feel is hte truth. here are a few interesting videos

3 parts to this one...federal reserve...you will recognize many names in this video
http://www.youtube.com/watch?v=8F4IGwuKdUQ
http://www.youtube.com/watch?v=q2Yjoi2_5pw&feature=related
http://www.youtube.com/watch?v=47WM2BhklmM&feature=related


also, do some research into the time when the us gov recalled gold ...yep, you bet they did and then look at what happened after they had it

then you could check out the bundling of healthcare with employment durring truemans presidency. this was put together to overcome wage freezes

Insurance companies charge that amount, because sick people are going to the doctors more and it's costing them more money. What is causing people to be sick? Most of it is their diet and what they are being exposed to. Why am I never sick? Chances are it's because I eat very well and exercise. How much is a diabetic costing their insurance company? How about someone with high blood pressure? both of those people are on meds, and some people are on several medications. Most of those sick people can reverse their disease just by a diet change and getting some exercise. My mom was a type 2 diabetic and had breast cancer. She changed her diet and has been off all meds and no sign of cancer. That is without chemo and radiation as well. The human body has been designed to heal, but it cant do it without proper nutrition and being exposed to toxins every day.

Watch the movie food matters and food inc. Both are on Netflix. Food matters is a better one about meds and our whole health care system.

I agree that diet and exercise play a tremendous role in a person's health; but, it isn't the cure-all.

It wasn't drugs alone that rid me of C.Diff. I learned from a woman online that I had to change my diet to get bacterias back in balance (no amount of yogurt will do that for you folks). Six weeks of changing diet and I was drug-free after 16 mos. of illness. Idiot specialist didn't even have a CLUE as to a diet! I have little faith in the medical profession and it just grows stronger with each visit to one.

But some medical problems can't be changed by diet alone.

I will say, if my s-in-law ate preciously what I ate and in the limited quantities that I ate (I eat normally. She eats like a horse), and cleaned the house and walked here and there all day, she would lose her extreme excess tonnage probably. Her idea of exercise is occasionally walking 50 feet to the mailbox.

Plus, around here, those who don't have medical insurance just trapse down to the hospital emergency room and get it for free because they are not allow to turn ANYONE away!

BpoBill: agree with you 100%!!!!

The point is: this country is broke, bankrupt. We need to cut spending immediately. People are losing their jobs and therefore losing their homes. And Obama doesn't care, he wants to keep spending, Fed bails out Europe, spend money on wars, degrading the value of our currency but again, he doesn't care and he wants to create new taxes like this one? this is ridiculous! can't understand why people want him get re-elected!

Now that you guys are talking about health, you are right on all you have said but I want to add:

Insurance companies try to avoid paying for medical treatments, they hire people to do this! to find any excuse to deny coverage! people have paid for years for insurance and when they need it, they just deny it! a lot of people still dying or getting sicker because this greedy insurance companies just care about the profit while they rip off doctors and patients! that's why we need to get rid of them! they are just the middle man that are taking all the money like parasites! that's why the costs are extremely high! and the malpractice insurance doctors have to pay!


People want health care but what about PREVENTING getting sick? what is the FDA doing for example? you just can watch Food,Inc documentary to know that all the people in control of the FDA has been working in pro of big food industry corporations, they don't care about the health of people! it's just another private company to benefit a few food corporations! the same as the Fed only benefit private bankers! but they suppose to be "government". And this is what people want: more of this corrupted/private "government" just to blindly feel they are getting protected and taken care of the government! when people going to wake up?

How much do you think it costs chemotherapy treatments in south america? treatments that are EXACTLY WITH THE SAME QUALITY as here? for sure 1/3 price of the US! or even less! so you tell me, why it's so RIDICULOUSLY EXPENSIVE here in US? just look at the medicines, you know how much you can pay for an antibiotic in Colombia from a good lab? $25 to $35 a box. Here in US, the same box you have to pay 4 TIMES OF THAT! If I need to do a surgery, it will cost me there around US$3500 includes everything: surgery, a great hospital, anesthesia, post-surgery treatment. Here? that would be like not less than $25000! I remember once I had an emergency with a terrible earache, that was 8 years ago, I went to a hospital and paid $1000 just to get examined and injection! are you kidding me? why is so f.. expensive healthcare here? because insurance companies and the government monopolizes it! we have to take out the control of them, the control of big pharma, and start having direct relationships with doctors, paying them directly, they will be very happy in offering lower prices by getting rid of the bureaucracy of insurance companies, we can pay directly monthly payments for example, to local clinics or hospitals in case of surgeries and costly treatments. There are many options, and competition is a very good thing, because not only brings prices down, but also help to improve the quality of services and the healthcare from health care providers and clinics! we will have the control!

The FDA doesn't give a CRAP about people. The FDA is in the "Big Food" corporation pocket.

Some of the crap that's in our food is just frightening. I really think we are all guinea pigs in some cosmic population control experiment.

Couldn't have said it better!

This has been one of the most informative articles of a country establishing a universal health care system. I wish the US would take a close look at these models (Taiwan, Germany, Canada)and use what works best for us.

http://prescriptions.blogs.nytimes.com/2009/11/03/health-care-abroad-taiwan/

The problem is 2 things:

1) We are BANKRUPT, we are BROKE. We do not have that economic stability to have universal health care like Canada. We need to restore our economy first, restore the value of our currency, cut spending and stop wasting money in worthless wars.

2)Our government is corrupt. They just want to benefit the corporations, private bankers, big pharma, etc. The more control they have, the more slaves we become.

"A government big enough to give you everything you want is strong enough to take everything you have.”~Thomas Jefferson

As was mentioned in the interview, the US spends much more on healthcare than countries who have universal coverage. We can save money by working more efficiently and cost effective and still have universal coverage. It does not have to be inefficient and cost more.
Also, we are not bankrupt or broke, the facts do not support your statement.

actually, while the studies are still ongoing, there have been no benefits to eating organic vs. non-organic foods
http://www.mayoclinic.com/health/organic-food/NU00255/NSECTIONGROUP=2

I think that I would favor regulation of insurance companies. It's too easy for them now to turn someone away (by raising their rates) as soon as they are diagnozed with a long term illness (such as Crohn's disease) even if the said previously healthy individual has been a good payer previously.

Insurance, unfortunately, does not care about your previous financial or health record. You could be healthy all your life, pay your premiums on time, but develop a condition later in life and your rate will sky rocket, very likely pricing you out of insurance coverage.

Here is some info on Crohn's, which basically says that causes of the disease are unknown.

http://www.webmd.com/ibd-crohns-disease/crohns-disease/crohns-disease-causes

In my humble opinion, insurance companies should be regulated and all people should be forced to buy insurance, as that would offset the rates for everyone.

But I'm still on the fence on that one. As I kind of see both sides. I don't like the idea of a national healthcare, or buffet style, HMO type coverage since people who pay for these often pay for things they don't need or don't want. (i.e a single male may not want to have contraception or abortion coverage, as an example). On the other hand, there should be a min level of coverage so that once diagnosed, a person could not be turned away explicity (by outright denial of coverage) or implicitly (by jacking up their rates 500-600 percent)

Organic and non organic isn't the issue as much as just eating whole foods rather than processed foods filled with chemicals and crap. You look at all the obese people around us and you tell me that we don't have a problem with too much processed foods.

other nations comparable to ours that don't have as much obesity generally has a more natural foods diet, less convenience food...more REAL food

Anyone who thinks this tax is a good idea and keeping it on the books where the 545 incompetent people running this country can modify it and make it worse, need some counseling.

I've let my reps know that their failure to start rebuilding America will only lead to doing as much as I can for their opponents in the future and I'm sure I won't be alone in the effort.

But I do have to face the fact that the typical American voter is not to bright, or knowledgeable. Which is why a person has a 85% of being re-elected no matter what their record was.

And the 85% chance of the current white house resident being reelected is just unbelievable to me. I guess being the worst president in history is not a handicap, you just have to keep shucking and jiving and give the big smile and remember to point your figure at the other guys. Yes, I confess I voted for the loser, I thought he would work his tail off and try to establish a record for the first black president worthy of presenting to history. Forgive the pun, he has just provided a black mark.

I dont understand what the debate is. Organic food has little to no pesticides and chemicals than traditional food. Would you spray those chemicals directly in your mouth? Then why eat food that has been sprayed with it?

Do you honestly need proof that organic food is better? Go to the site www.whatsonmyfood.org and type in some vegetables and fruit that you eat. They are pulling their data from the USDA. Lets take green beans for example. http://www.whatsonmyfood.org/food.jsp?food=GB

44 different pesticides are found on the washed green beans that they tested.

Now lets look at apples http://www.whatsonmyfood.org/food.jsp?food=AP

42 different pesticides are found on apples. Thiabendazole is found on 87% of non organic apples, which is a carcinogen. Do you honestly think that's okay? Sure eating one apple isn't going to kill you, but what if you have a child that's drinking apple juice on a daily basis? What if you eat a few apples a day? All of those pesticides add up very quickly. Remember that's only one of the 42 that are found on apples. What about all of your other fruits and vegetables? You might be getting exposed several times a day with several different types of pesticides.

I dont listen to studies or what scientists report. Do you understand how easy it would be for a chemical producing company to pay these people to write certain articles? Here's how I look at it. I want to limit the amount of chemicals and pesticides that go into my body. In order to do that, I eat as much organic food as possible. I buy as much food from local farmers that don't use that crap, and I also grow food in my backyard as well.

Organic food is better for you, your family, and the planet. Trust me on that.

Bingo. Organic cake or fried chicken has the same calories as non organic. The main issue is diet, but non organic foods are causing issues too.

Correct - I'm not saying it doesn't MATTER if it's organic or not - I agree 100% that organic overall is going to be a much healthier choice...and it's a choice I'm trying to make as oftne as possible...

My point was this: eating non-organic whole foods is going to be better than eating all processed foods, junk foods, convenience foods...and it's AMAZING what you would think is "healthy" when it's really not due to a huge amount of sugars in it.

Many people would be surprised to learn that giving your kid 100% fruit juice is probably only MARGINALLY better than a Coca Cola - the sugar content is pretty much the same! And this was besides the whole debacle about arsenic in the juice! LOL

The facts are:
Medicare cost will go up.
Medicare contributions will go up.
Govnmt. will try to limit growth in Medicare spending.
Govnmt. will collect more money from upper income retirees.
Raise the eligibility age.

These basic recommendations are in Obamas and Ryans plan, with the major difference shown below, however, a compromise plan is in the works.

Privatization for Republicans.
Traditional fee for service for Democrats.
p.s. There is no reason for partisan rhetoric, both parties are very much in tune of what's required.

There are people who eat rabbit food all day long and run marathons and drop dead at the age of 35.

There are people who eat the worst stuff known to man,smoke cigars,and drink and live to be 100.

Whether you like it or not we are NOT in control of the big picture.We can help our chances but are not in control.The sooner you accept it the sooner you will let go of the stress and start enjoying life more.

I eat fruits and veggies and also eat the stuff I enjoy and work out.I don't stress out about it.Over stressing has caused people to have more deaths from heart attacks and strokes than many other bad things out there.

I can't control the big picture so I focus on the little picture.How I can make insane amount of money and pay little to zero taxes.

People will view politics based on their income levels and how that block of people is affected by government rules and regs.This is why you have different interest groups for different levels of the population by income.

There are people who eat rabbit food all day long and run marathons and drop dead at the age of 35.

There are people who eat the worst stuff known to man,smoke cigars,and drink and live to be 100.

Whether you like it or not we are NOT in control of the big picture.We can help our chances but are not in control.The sooner you accept it the sooner you will let go of the stress and start enjoying life more.

I eat fruits and veggies and also eat the stuff I enjoy and work out.I don't stress out about it.Over stressing has caused people to have more deaths from heart attacks and strokes than many other bad things out there.

I can't control the big picture so I focus on the little picture.How I can make insane amount of money and pay little to zero taxes.

People will view politics based on their income levels and how that block of people is affected by government rules and regs.This is why you have different interest groups for different levels of the population by income.

There are people who eat rabbit food all day long and run marathons and drop dead at the age of 35.

There are people who eat the worst stuff known to man,smoke cigars,and drink and live to be 100.

Whether you like it or not we are NOT in control of the big picture.We can help our chances but are not in control.The sooner you accept it the sooner you will let go of the stress and start enjoying life more.

I eat fruits and veggies and also eat the stuff I enjoy and work out.I don't stress out about it.Over stressing has caused people to have more deaths from heart attacks and strokes than many other bad things out there.

I can't control the big picture so I focus on the little picture.How I can make insane amount of money and pay little to zero taxes.

People will view politics based on their income levels and how that block of people is affected by government rules and regs.This is why you have different interest groups for different levels of the population by income.

What are the facts that shows the opposite?

So what do you all think will happen to the real estate industry if we go to world war 3? if we continue spending and spending increasing our debt? if we continue with inflation and degrading the value of our currency?

The current credit rating of the United States of America.

As a Canadian I want to see a strong US and I really wish your government could get it's act together and start solving your problems.

It seems to me that your politics is now all about who to elect, and not about finding the best policies for the US.

You are not alone, we wish the same.

Sorry, could you elaborate this please? you mean the credit rating of people? or what credit are you talking about?

We have over $15 trillion dollars in debt and counting, Obama asked to increase the debt even more, he agrees in going to a WW3 which we can't afford, he doesn't care in continue degrading the value of our dollar, people have less purchasing power via inflation because of that, he doesn't care any of this and still spends $4 million in the last holiday vacation. So for me, we need to start cut spending, we can't go to WW3, we need to do high spending cuts asap!

Sorry, could you elaborate this please? you mean the credit rating of people? or what credit are you talking about?

We have over $15 trillion dollars in debt and counting, Obama asked to increase the debt even more, he agrees in going to a WW3 which we can't afford, he doesn't care in continue degrading the value of our dollar, people have less purchasing power via inflation because of that, he doesn't care any of this and still spends $4 million in the last holiday vacation. So for me, we need to start cut spending, we can't go to WW3, we need to do high spending cuts asap!

United States loses prized AAA credit rating from S&P

http://www.reuters.com/article/2011/08/06/us-usa-debt-downgrade-idUSTRE7746VF20110806

What WW3 are you talking about, and what inflation?

CPI
http://www.bls.gov/cpi/#tables

WW3=World War III

Inflation thanks to the federal reserve that bails out private corrupted bankers, printing money out of the blue and degrading purchasing power.

We have in debt more than $15trillion and counting. We can't afford going to war, we can't afford keep sending money overseas. We can't keep spending and spending, borrowing and borrowing money, especially from China our biggest lender and expect going to war against China at the same time. It's unsustainable and ridiculous.

China blasts U.S. over debt problems


China threatens world war 3 if anyone attacks Iran in 2011

China tells USA they are dangerously irresponsible over debts

No one is going to war against China anytime soon. Don't get scared listening to China, N. Korea or Iran, they are full of themselves.
Why are you concerned about WW3 with China, they are sitting on our money and need it for their economy (i.e. buying oil & build up their military etc.).

Did you watch the video? If we go against Iran, China will defend Iran. And Russia also.

Did you watch the video? If we go against Iran, China will defend Iran. And Russia also.

Did you watch the video? If we go against Iran, China will defend Iran. And Russia also.

I can't right now & don't need to, but I'm sure the author is selling lots of books spreading his doomsday theories. (If it's from this guy, Michel Chossudovsky, he's been on this bend for many years and if he keeps writing about it long enough, eventually it might come true)

A economically strong USA is currently part of china's current hundred year plan, you don't dump your best customer until the right time. Defending Iran by saber rattling is just positioning and protecting China's need for more oil in the future without just taking it and the problems that involves.

WW3, can't do it, who is going to feed our war machine, we have been sending most of our industrial output capacity to guess who? But it has been worth it to Walmart stockholders and others. Actually China is more of a capitalistic power to be then we are, and they aren't handcuffed by 545 political hacks trying to run things by committee. The paper dragon is growing a very thick skin.

Maybe we can over power them with e-mail and blogs. My plan, a very very large submarine fleet with enough warheads to cure the world's overpopulation problem.

I found this comment on facebook, I agree with it! what do you think?

Here it is:


"Ron Paul is the only one that warned us of the coming real estate crisis and now the media is trying to black him out or trying to slander him since he is a clear threat to the establishment. However, what is a threat to the establishment is a treat to the working people since it is the working class that have suffered the most by the establishment’s sham that they have pulled over on the consumer. I do not owe it to my clients to lie and to tell them that the market is good when I know that it is not or to tell them that the economy is going upwards just to get them to purchase a higher priced property for me to make more money on. Such would be a violation of my fiduciary duty as well as being immoral and illegal. While it may be ‘puffing’, as they call it in the real estate business, to embellish certain things that are not material facts, it is highly illegal to outright lie to the public and to tell them that the economy is a certain way when we know it clearly is not. The state of the economy is a material fact and must be ‘disclosed’ as being bad if we know that it is bad. This is no different than performing BPOs for banking institutions. If we know the market is depressed and we either lie by omission by NOT saying so, or we lie by commission by SAYING it is good when we know otherwise, we would be wrong just in the same manner we would be if we told an REO company that the economy is good when we know it is not. Sometimes a professional has to say things that are unpleasant to the ears or that is at times negative sounding if that professional is to do his or her job and perform their fiduciary duty to protect their client.

I hope that we see our country get back on track soon and that we see people stop being forced to lose their houses at the unprecedented rate that we are seeing it today. I stand nothing to gain but to help my country and fellow countrymen when I say that Ron Paul would be the best thing that happened to America should he end up as the next President of the United States. I know this because he is the only one that knows how we got into the mess we’re in today and therefore would be the only candidate that would know how to get us out. Looking at the Federal Reserve to audit it and eventually abolish it would certainly be a good place to start IMHO as well as bringing our troops home to protect America instead wasting our precious money protecting over 130 different foreign countries around the world."