An Ordinary Swiss Account

I'm sure if we could audit his tax return for the 23 years he gave John McCain's campaign in 2008, it would reveal how he has avoided either state or federal taxes or even both. There is no other reason to place your money in these types of accounts unless you are avoiding taxes or some other avoidance.

So far there is no indication that these particular accounts generated any higher returns than those within the US. I know it is legal to do this and it is very common among equity capital companies and investors, as they can treat what would be ordinary income as capital gains so when they do bring the money back to the US it is only taxed at the capital gains tax rate of now 15%. This way they avoid the 35% tax rate that everyone else who earns ordinary income in that bracket pays. That is a huge avoidance in paying his fair taxes.

All revenue must be treated the same as ordinary income, with only a few exceptions: such as capital gains on pension funds and personal savings up to a ceiling (401(k), IRAs, etc., say up to one million dollars and the same for your primary personal home when you sell it should exclude the first say half million dollars in equity gain. That way retirement can be better financed without a heavy tax burden when you need to liquidate those assets for daily expenses after retirement or when an emergency might demand liquidation.

Can you now understand why the Republicans have been fighting for decades to eliminate the capital gains tax all together. Romney and all his other 1% buddies would end up paying NO tax whatsoever. Ordinary working class people will have to make up the difference to fund what ever is left of government services and our safety nets. It can't be done and pay off the huge debt that the Republicans created since Ronald Reagan.

Do you realize that Pres. Clinton had set up a structure that would balance the budget every year, even with inflation factored in, and pay off the national debt in a decade? But remember the state of the union address by Pres. George W. Bush, "The country has a surplus. That surplus is your money and I intend to give it back." His Republican controlled House and Senate did just that. Mainly to the very wealthy. He had no intention of paying off the national debt, but to put the country into bankruptcy in order to destroy the federal government, which is the cause of the conservatives since our founding, "Starve The Beast" is the term they use to eliminate revenue and spend the treasury into owing more money than GDP, that would force the Beast (federal government) to close almost all departments, agencies and services.

That is how much the Republicans show their patriotism to the nation, kill the beast, is their motto.