Incredible Shrinking Government Cuts


The devil is in the details, and as the much ballyhooed budget deal reached by House Weeper John Boehner and President Barack Obama is dissected, an evil, despicable lie is revealed: Those “amazing” promised cuts are non-existent.

A report from the Congressional Budget Office indicates the $38 billion Congress supposedly cut from the budget in a deal reached April 8 after days of brinkmanship isn’t really $38 billion. It’s actually less than one-tenth of that: $352 million.

Not that $38 billion was a cut in the first place. It paled in comparison to the paltry $100 billion promised by Republicans trolling for votes last November, which paled next to a $1.5 trillion budget and a so-called $15 trillion debt.

Weeper Boehner and Congressional Republicans (outside of those with the surname Paul) have no intention of cutting government in any significant way. They can’t even cut it back to the previously unbelievable Bush-era numbers. They only favor cutting when shilling for your vote.

The elected elites work for government and, left to their own devices and unburdened from fear of being kicked out of office, they have no intention of cutting. What they do want to do, however, is to raise taxes.

Obama wants to raise taxes on the “rich.” To Obama, the rich is anyone drawing a paycheck. And some in Congress are talking about a Federal tax on Internet transactions.

In other words, the American middle class is the turnip and government is ready to give them another squeeze.

But we don’t have a revenue problem in America. We have a spending problem. And we have only two members of Congress who really understand that. Ron Paul and Rand Paul.

Oh, there are some Congressional Republicans—those elected under the Tea Party banner—who voted against the deal. But I doubt they really understand the depth of the spending problem.

After all, none of them are advocating cutting military spending, which consumed almost $1 trillion in 2009, according to economist Robert Higgs as quoted in Thomas E. Wood Jr.’s book, Rollback.

We also have a tax problem, but not the one that some of the elites would have you believe. Those that are advocating a tax increase on individuals want you to think the problem is that the rich aren’t taxed enough and if we just took some of their earnings, everything would be fine.

But if all the taxable income of everyone earning more than $100,000 was taxed at 100 percent, the earnings would not cover the spending in Obama’s budget plan.

The top 12 multinational corporations? Now that’s another story. But no one is talking about taxing them, despite the fact that they don’t pay taxes and, in some cases, get tax refunds in the billions.

According to a report on, General Electric has paid no taxes since 2006 despite earning $26 billion since then. In fact, in 2006 GE received a tax refund of $4.1 billion. Last year, Bank of America made $4.4 billion and received a refund of $1.9 billion. Other tax avoiders include Verizon, ExxonMobil, Chevron, ConocoPhillips, Valero, Boeing, FedEx, Carnival Cruise Lines, Citi and Goldman Sachs.

These companies used a tax haven given to corporations that do business overseas—but not available to companies doing business solely in the United States—to reduce their tax liability. How did this happen? They spent billions of dollars lobbying the elected elites to gouge out loopholes in the tax laws.

In fact, according to the report, 83 of the 100 largest publicly traded U.S. corporations use these tax havens to reduce their tax liability. So not only is Congress encouraging corporations to move their jobs overseas, it is penalizing companies that choose to remain in the U.S. to do business. And penalizing American workers.

And we wonder why our jobs are going overseas?

But I’ve told you before that taxes are not designed to raise revenue for the government. Income taxes have three purposes: To control and redistribute the volume of money, to direct the behavior of people and corporations and to keep a dossier on all citizens.

“But what about the debt?” you might ask. To which I would reply, “What debt?”

There is none. If the Federal government can print money to infinity, how can there be debt? That word is doublespeak designed to keep you enslaved to the elites and moneychangers.

Think about it. If you had a machine that could crank out legal tender in whatever amount needed to pay off your debts, would you have any debt? Of course not.

And neither does the U.S. government. It is the biggest Ponzi scheme in the history of the world. Yet it’s Bernie Madoff who sits in jail.

So if you’ve put off filing you income tax until today, as you seal that envelope and put it into the mailbox, remember this: The devil is in the details.

And of course, Satan is the father of lies.

Personal Liberty

Bob Livingston

founder of Personal Liberty Digest™, is an ultra-conservative American author and editor of The Bob Livingston Letter™, in circulation since 1969. Bob has devoted much of his life to research and the quest for truth on a variety of subjects. Bob specializes in health issues such as nutritional supplements and alternatives to drugs, as well as issues of privacy (both personal and financial), asset protection and the preservation of freedom.

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