Economic Update: The U.S. Tax System: Designed For Economic Injustice
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- Опубліковано 11 лют 2024
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[EU S14 E06] The U.S. Tax System Designed For Economic Injustice
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This week's episode of Economic Update hosted by Professor Richard Wolff, we will be discussing the increasingly more common corporate threats to force remote workers back to working onsite. We then turn to Ukraine war economics, U.S. vs BGI as anti-Chinese economic nationalism, US's escalation of war in the Middle East, and finally a critique of the US tax system's injustices.
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I'm so happy I made productive decisions about my finances that changed my life forever,hoping to retire next year.. Investment should always be on any creative man's heart for success in life
That's awesome!!! I know nothing about investment and I'm keen on getting started. What are the strategies?
I'll advise you to work with a financial advisor.....Building a good investment portfolio is more complex so I would recommend you seek Fergus Waylen's support. This way you can get strategies designed to address your unique long/short-term goals and financial dreams..
Wow. I'm a bit perplexed seeing him been mentioned here also Didn't know he has been good to so many people too this is wonderful, i'm in my fifth trade with him and it has been super
YES!!! That's exactly his name (Fergus Waylen) so many people have recommended highly about him and am just starting with him from Brisbane Australia
I'm familiar with Waylen. I've learnt invaluable insights from him, who generously shares his knowledge and experience to help beginners navigate the complexities of the market
Funny thing about property taxes, you still have to pay taxes on your home or autos for which you have to make mortgage or car payments. If you don't have the title of your auto or deed to your home, you don't own it. The banks/lenders do, until you pay off the loans outright. But do they pay taxes? Nope. Sure banks make you have an escrow account but you pay it, not them. Despite that they have the deeds/titles (i.e., they own them).
So in other words, you're still paying taxes for your home and auto even when you don't own them. And that's the scam.
You make a great point. But id say fractional reserve banking or banks taking a $100 deposit and then creating a $900 loan is the real scam or fraud. Creating money out of nothing is the real fraud.
What Wolff doesn’t mention is that sound money is needed. See the federal reserve is private and pays a 6% dividend. The IrS was made around the same time as the federal reserve to force people to use the money the federal reserve created. The monetary system is promoted by the tax system. Taxes is a secondary issue and isn’t the primary issue. The monetary system is the primary issue.
Every time I listen to your program I am more convinced of how capitalism is a system of exploitation by those who have against those who haven't.
And it is explained by one who has years and economic learning under his belt.
Thank you for dedicating your life to this endeavor. I hope you continue doing this for many many years.
We need this information badly.
Start a business, hire some workers. Show us how it's done.
You're hilarious! Absolutely hilarious 🤢
@schloughed Having spent my adult life being a worker, (a history teacher, and the daughter of factory workers) has taught me enough of how capitalism works.
Well said m'am. This system's inherent contradictions are catching up to it. 2023 was the hottest year in recorded history. The entire world is poorer than ever in the last 50 years, I will never be able to own a house. My job contributes nothing to society, my employers are shareholders who've never contributed anything to society and just hoard all the wealth they steal from me and other workers.
Poor and depressed amidst a burning world due to climate change. What a way to go as a species.
Marx understood this well over a century ago.
Proff Richard Wolff, i admire you in what tou are lecturing, briefieng and all worthwhile knowlege you have providing.
Bless you!
Dr. Wolff is a national treasure! His wife Harriet also has a great show "capitalism hits home"
She is great, very passionate and wise!@TennesseeJed
Admiring and action we are guilty for not doing more for our children and children s and others.
Good evening from Denmark everyone 🇩🇰👀 Time for some more economic education. Thank you
It's worse: "93% of US household stock market wealth is held by the top 10%" (Axios 10 Jan '24 "The Rich Now Own a Record Share of Stocks")
Love you Prof Wolff!!
Power and greed will be the demise of America and humanity!
@papablue3015
Did America every have humanity? Illusion of we the people only on paper and blind man walking out the lie.
Absolutely! It already is brother😢
Power and greed of the "privileged few"!
Socialism Corrupts Government Capitalism Corrupts Free Enterprise!
Even the non-privileged buy into it and cheer on the system of greed.@@treefrog3349
Outstanding show! The last segment on taxes was particularly illuminating. I am posting this show on Facebook.
More like “designed on purpose to support the rich & powerful.” Thank you professor for what you do.
It's time the working class rose up, organized and fought for fundamental reforms. Excellent report Prof. Wolf.
They are too busy arguing about trans people and other "culture war" distractions.
@@Jake-mv7yoIndeed. The far right, who only represent the ruling class, have diverted the working masses attention into stupid scapegoats like queer people and immigrants.
Capitalism collapses onto itself. Inflation has eaten our wages. We will never own a home. Our work doesn't contribute anything to society. The world is burning.
And we're concerned about gay people and stripping them of rights? How did we fall for did shit?
There will need to be blood at this point, I think.
Who though? A part of why we have a stock market is so that ownership is so scattered there is no real point in trying to do anything it is like trying to fight the fog.
We've done that before. We're not on a merry-go-round, here.
Thank you professor Wolf for enlightening us with these important subjects. I am looking forward to learning more from your program.
THANKS YOU, Richard. Economic Update is THE BEST! You are a hero. Gratitude.
As someone who has a masters in tax and 15+ years experience in corporate tax, it absolutely is an unjust system.
The fact that someone can have a masters in tax is telling enough. These things are too complicated.
A master's in tax?
So what is the definition of an employee as it pertains to the w-4 voluntary withholding agreement?
What does section 83 say about wages?
@@jgalt308You sure you can afford my hourly rate for tax advice?
@@Jake-mv7yo I agree. It's also pretty much a requirement at this point if you want to be a CPA (the number of hours of college courses pretty much is in line with having a master's degree).
@@jgalt308 You sure you can afford my hourly rate before you want me to answer questions that you could look up yourself? I know from your other reply to me that reading is hard for you so I just want to make sure.
So how many share do the tax payers get when the US government invest in corporations. I’d imagine by now most Americans own most large corporations and banks in America since they saved them all from bankruptcy in 2008.
Moral rules apply to everyone everywhere at all times. Is threatening workers moral? 99% of us follow moral rules why do we make exceptions for bissness owners like Amazon?
Except that morality is a figment of your imagination...
You just made my blood-brains boil, Wolff
Our system is rotten to the core.
And yet most of us are saying that about dictator xi and his cpc members 😊
@@jchung5265 Both can be right at the same time.
@@pamala2112 maybe a vacation to china will help changing extreme views? It changed ours!😉
@@jchung5265 It's not an extreme view. Political corruption and elite capture is a worldwide problem, not limited to the US or the PRC.
@@pamala2112 I understand quite well the worldwide problem with the elites! They seem to be protected by a “force field” ! I don’t remember where I read a report about three years back that cpc takes corruption seriously, at least 2k officials including high ranking officials politburo statutes are dealt with every year! I’ve immigrated to North America almost forty years and I don’t recall many government officials reprimanded or jailed for corruption! Like david oualaalou of geopolitical trend says, you have to give cpc credit where it’s due!
Outstanding and relatable. You have taught us so much - and for free!
and you got what you paid for.
@@jgalt308 Yes, I got a free education on economics. Stay ignorant. 🤗
@@vivalaleta caveat emptor
@@jgalt308 Now apply that advice to your faith in capitalism.
@@vivalaleta no faith is required...actually producing things works for everyone.
Even commies.
I worked on the bleeding edge of high tech for over 2 decades. What I've found is that these corps' definition of work-life balance differs from that of the workers. What it means to the bosses is "get your life in order so you can work more."
Just wanted to say thanks for all you do, Dr. Wolff.
The first half was very enlightening. We're ratcheting up protectionism under the pretext of "national security". That much is clear.
Mr Richard wolf i wish i did start listening to you twenty five years ago you are a light in the dark thank you,🇯🇲
Thank you, Dr. Wolff. A rude awakening for me about tax system.
But you still don't know anything about the tax system.
If you believed Wolff, then owning "rental property" and the double taxation
he described would be something to be avoided.
That would mean that investing in Blackrock would be idiotic.
Business govt shame and sham.
Thank you, Professor Wolff and staff! 👍
Correct me if I'm wrong:
"It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion". Adam Smith.
🤔
NO WORDS WERE BETTER SPOKEN.
Excellent, as always!
Insightful as always. Thanks Prof.
It’s a copycat world. Great video by Mr. Wolff
Your theme song makes me want to march for change in a good way! Thank you.
Mmmmm.... I'm totally fine with landlord getting doubly taxed!
They don't pay any tax...and they get to depreciate the property.
Now that might be true for an unoccupied property...but depending on the math...
you just walk away.
Eventually, you'll figure out that Wolff doesn't really know anything about anything.
But you know even less...which is why you're here.
Go to a free R.E. seminar...at least you would know something.
PG&e is doing this in California. I know several of their employees and they're being told they need to return to the office. It's started with one day a week and now it's the whole week
Always worth listening to - love the exclamation WOW
Richard Wolff is the greatest economist in the US of A!
While other industrialized worldwide nations suffered economical collapse in the 1930s depression, only the Soviet Union represented the sole example of a planned socialist economy. " Independent of international capital flows, the Soviet economy experienced rapid economic growth and industrial transformation during the very period when other economies were stagnating".
Well spoken Professor Wolff, well spoken.
Super!
28:11 it works the other way too. I get $21k in social security. My rent is $525 in a rural area of NY. My liability car insurance is $1500 a year, my utilities are $100 mo and my cat is $80 mo and I spend $100+a week on groceries because shrinkflation. I do not qualify for social services because I have savings. Because my income is so low and my Fico is high and no debt even with 20% down I can only afford a rehab home that I wouldn’t be able to insure/repair.
You're NOT 🚫 to have any spare cash or savings, with that you may build wealth!
You will spend every penny, not own anything and like/lump it!
That's the plan!
They've ALREADY tested it in developing countries and managed to keep them down; indebted, hungry, unable to develop. Constantly begging.
Notice how the 100 years of charity doesn't change ANYTHING.
They have wealth in their people and their natural resources but can't protect themselves!
The DESIGN is ALREADY tested.
A smart education man as you me wolfe i wish you could stay young and live for another 100 year this young generations need your help 🇯🇲
Thanks DAW
Some of your audience probably needs more critique of the capitalist status quo, but surely many would appreciate brainstorming some next steps toward a post-capitalist future within the framework of a largely captured political system and a state which controls numerous methods of repression and misappropriation.
🐺 out here spitting 📠
I'm a U.S. expat living in Central America. I so look forward to preparing, filing and paying taxes annually! Although, I don't use any infrastructure or services in America. Meanwhile, my neighbors and other expats from other countries, are not required to file or pay taxes to their respective countries!
It’s purposefully complicated.
could Prof. Wolff comment on the housing crisis in China at the moment? I've heard a lot of news about that sector failing but it seems very isolated from the chinese economy or world economy. just trying to get news from there clarified, if you look into the news from other sources it's all about china's economy is on fire, in a downward spiral, etc.
Hii I am from India
Highly informative! They don't tax the church, it's easy to see why though it's no justification.
No church should be exempt from property tax and if it makes a profit, that money should be taxed.
@@jayobannon5359 Yes!
Churches have been the greatest contributors to orthodoxy of all kinds - but pariticularly the socio-economic variety - since forever. Trust in your "elders" and all will be fine.
Not only is the passive wealth of the superrich not taxed , the poor and working classes are burdened with highly reggresive sales taxes on food and other essentials of life.
Sales taxes do not apply to food.
@@jgalt308Food isn’t the only necessity of life, clothing and other household goods are taxed.
@@jackbeagle8458 "the poor and working classes are burdened with highly reggresive sales taxes on food "
Sales taxes do not apply to food.
Thanks for your agreement...
What are the exceptions to a sales tax in most states?
Certain products and services may be exempt, or partially exempt, in many states. These categories can include clothing, professional services, food, and other items. These types of exemptions vary greatly by state and are sometimes referred to as excluded from the sales tax base.
What types of goods are generally exempt from a sales tax?
Tax Exempt Items
Food for human consumption.
Manufacturing machinery.
Raw materials for manufacturing.
Utilities and fuel used in manufacturing.
Medical devices and services.
Is there sales tax on clothes in the US?
The only places in the United States, where clothing is completely exempt, are the four states in which there is no sales tax at all: Delaware, Montana, New Hampshire, and Oregon. In any other state, when you buy clothes, tax may apply.
This leaves out that income taxes which are a bigger chunk are highly progressive.
Dr. Black? Is that you from the U. of Missouri, Kansas City?
Please tell Dr Wolf we need ideas on how we can organize together for change. We could even practice democracy amongst ourselves, create an alternative state, an eState using eDemocracy. We can debate and vote and act as one organized body toward a post capitalist future.
Try this:
Start local. Leverage your city council to excuse all permits and business taxes for any shop with all workers named to that shop--no owner vs. hired hand relationship. Public revenue lost from those fees and taxes will more than enough be covered by imposing local income tax on anyone in excess of $4m annually, and find a way to restrict exception for rich folks moving out of city limits.
It's like having only workers on a corporation's Board of Directors, both elected fairly among all hands, as well as maintained all workers.
It's also like a Non-profit on steroids--a 501c3/4 without all the administrative hassle, simply excuse any hedge fund or outside person from the Board and you're guaranteed not having to pay any business taxes, not a single $0.01.
All it takes is one business to do like this, others will certainly follow, as in the "Come on in, the water's fine!" principle.
Later, extend to State and then National levels.
@@paulsherman51 Thank you Paul; that is sage advise. Local is where the power is.
Dr Ruha Benjamin's book "Viral Justice: how we grow the world we want" talks about how small changes to laws on local levels can have huge impacts for the people it affects, but I haven't applied any yet. I will have to go to those council meetings and apply your idea.
Thank you for taking the time to offer a novel solution and a great idea. Best.
@@paulsherman51move to Venezuela. They gave preferential treatment to worker owned firms and taxed the shit out of everyone else and look at how that ended up
in Canada, only if working in big multinational corporations, "work life balance" was provided ... until the 2008 world economic crash
and such "world-class" corporations were already dismantling employee benefits, reducing "permanent headcount", and upping "temporary workers", and even getting rid of "contract workers"
meanwhile, much smaller businesses, offered much less ... making employees work more, with fewer people, and no improved benefits or compensation
So the blood isn't boiling over the taxes on top of taxes for the houses & the cars? Doesn't the government take a chunk of that $100,000 you'd get from selling your house? So you wouldn't have $100,000 to invest; you'd have maybe $70,000?
Another thing I'd like to add is if you read the cover of the IRS manual that is sent to you every year it acknowledges your labor as a cost not a profit it's a cost and cost is not taxable
"Well it turned out all that was WRONG."
I love this man.
We as Americans, can’t even rent to have a place to live not only because of real estate greed, but also by having low or bad credit caused as no fault of their own during global pandemic and having high rent and also no job because of the whole year shut down:(
Ya know, it's REALLLY great that there are thousands of people making videos about what 5 generations have known all along. I mean, without you guys bringing this up now we might be in SERIOUS trouble... phew! So, what did we do about that 50 yrs. Ago?
This is what class warfare looks like.
Holding a house asset, you pay property taxes, you own stock you don't pay takes for holding.
Interesting
your heirs do on it if you don’t
Excellent analysis, Dr. Wolff! This is the highlight of my Monday!
What if you turn dollars into gold?...do you pay a wealth tax on gold?
The real expert on the tax code and its statutes and regulations is David Myrland yes i spelled his name correctly, he is retired. He points out that the working class is being deprived of 26 USC 83(a) and many others. David has a chanel here called "take from ceaser"
Sad for the working class!
Jog us into doing something? How about acknowledging that the parasitical politicians in this country don't care what we want? How about Prof. Wolff give us some idea's on how to remove these bums?
Lets take a moment to apreciate that the intro beat bops.
The unfairness is to the middle class professional and workong man only with the rich, small business, and poor taking advantage due to their political power. In reality with the massive deficit, no one is paying their fair share.
The upper class rule the nest: the lower class are the dependent children: and the middle class -- the true individual-thinking and independent beings -- are those who moved out of the nest to learn, work, live, and fend for themselves.
Economic Update is a must!
Thank you for your dedication, Prof. Wolff!
Most people who can work from home are going to be replaced by A.I. .
I appreciate prof. Wolf & others, who fight against the corrupt autocratic capitalist plutocracy of the U.S..
Except it's not "capitalistic"...as Michael Hudson keeps explaining, and Wolff and the rest
of you keep ignoring.
@@jgalt308 Hudson speaks about "Finance Capitalism", which is the subordination of processes of production to the accumulation of money profits in a financial system. However, it's still a form of capitalism with private ownership of the factors of production.
Well said brother Richard!
I agree
fairness is defined by the rulers.
if you want fairness for the most people, the most people must rule.
aka, democracy.
you haven't got it, and the lack of seems to be shameful, because no one ever mentions this fundamental fact.
WITH NO REGULATION THE TAX SYSTEM LEANS TOO HEAVILY ON THOSE WHO CAN LEAST AFFORD TO PAY.
Thanks for sharing and surfacing the truth. 👏👍
26:54 and what’s up with New York State property taxes? $100,000 rural homes with up to $4500 in property tax and current equivalent of mortgage interest - I see why housing costs go from 25% to 60% of income these days.
Bosses become meaningless if they are not needed to wrangle and drive the workers. Workers who are self motivated to complete their work on their own can save these companies billions of dollars by eliminating the need of a managerial class and replace them with project managers.
Wussssuuuuuupppppp!
Investments work for the ordinary individual as well. One thing that was missing is taxes on investments are paid once you pull the investment out. The rich have to pay this as well.
However, there needs to be also taxes on unrealized investments, those which are not yet pulled out.
The "Wealth Tax" is critically important to stop ths practice of the uber-rich from taking out loans on their un-sold collateral and -- adding insult to injury -- writing off interest paid on those loans.
A welath Tax would apply only in excess of, say, 1 milluon shares (or maybe $4mill value at current prices) held in any one company.
@@paulsherman51no. GFY
Hello everyone..! 👋 😂
Dividends are taxed. Are you taking about the value of the stock?
The US should go back to getting most of its money from tariffs (import taxes). No one should be assessed property/personal property taxes. * I know that the former is federal and the latter is local.
Excellent information.
yup... and tomorrow IS another day.
I am an American. I have lived in Europe, in Austria, for nearly 45 years. I, unlike Trump, or apparently you, Prof. Wolff, have a fairly good memory. I remember when the US promised to stand by Ukraine way back after the fall of the USSR and we, the USA, promised to stand by Ukraine when they surrendered their soviet nuclear weapons to us. I remember how we stood by and allowed Russia to invade, how many countries since 1980? Georgia, Belorusse... remind me which other countries Russia attacked either economically or politically, or militarily.
As far as Russia's economy thriving as well as that of the US, well sir, that's rather obvious, isn't it? War is good for business everywhere all the time.
I remember the day the invasion started and talk turned to economic sanctions against Russia, that the price of the natural gas with which I cook may food and heat my home would rise considerably. And it has. I said to my wife, we're going to have to turn the thermostat down a bit this winter. And we did. We have no complaint. Inflation has hit us as hard as anyone else. We are retired, living on a fixed income. Food, electricity and everything else has gotten more expensive. Do people complain? Hell yes, I'm not happy either, particularly while know that most of the price increases were based on greedy speculation and opportunism. That was to be expected living under the system we do. Capitalism will turn a profit from blood and bone; it's the nature of the beast.
It's Carneval here in Austria and I have no more time for you today. We will meet again.
But when obumbler was in office with a super majority in both houses what did he do, go on late night tv to tell everyone how wonderful he is. Could have tackled this ond other policy issues but self promotion was the order of the day.
What are your thoughts about the timeliness of a new Resurrection City at the DC Mall? I'm not talking about the existing scattershot homelessness, but an organized settlement.
Zucotti 2.0?
What a rip... Wake Up America
❤
Love Prof. Wolff but regarding stocks & bonds, individuals DO pay taxes every year on them in the form of taxes on any capital gains and dividends whether you sell or hold on to them. Perhaps the uber rich and corporations know how to evade these taxes, but i have to say that Prof. Wolff is incorrect here.
So if you own a house to live with your kids, you have to pay taxes, but if you are rich enough to have a home and put the rest of your money in share, then you do not have to pay? what a system.
That's not what he said...he said "sell the home"...that means no home.
Own or rent, you still pay the tax unless you have an exemption.
Say it aint so!!!
Real Estate issue what 40 acres and a mule could have solved.
Speak Judah
Build Back Better with BRICS.
The richest people here in Norway never pay taxes. But the richest get the most money from the gvment.
It will trickle down.lol
Dividends are taxed. Some are taxed at lower rates. Are you talking about the value of the stocks being held?
Feels like Ukraine is just a way for weapons manufacturers stock price up. Since we just build them and pay ourselves.
The Chinese figured it out..... with the assistance of Dr. Michael Hudson, futurist, historian, author and excellent teacher of money.
so tell us, Prof., how does the working class in a declining power most effectively operate?
All plan based on 10 pct Vat
That's it but Not all economies can adopt only if so powerful economy
So, that why Microsoft and others have been announcing layofff...strong arm tactic...