The news about tax receipts for April, 2007 was barely mentioned by the main-stream media. Tax receipts for April were up $70 Billion above the same month in 2006. April 24 marked the single biggest day of tax collections in U.S. History at $47.7 Billion, according to the latest Treasury report. The deficit this year could come in at only 1.00% of GDP. The income largely derived from capital gains, dividends and other investment sources-i.e. the tax rates that Bush cut in 2003, the so-called nonwithheld income, was up by nearly 30%. Individual income taxes are also up by 17.5%, helped by rising wages and low unemployment. Another news item concerns the State of California: Collections of personal income taxes in the month of April, 2007 rose by $1.30 Billion. This surge in personal tax payments pushed April collections to almost 12 billion-far ahead of the $10.50 billion predicted. Every Democrat presidential candidate wants to raise taxes on oil companies, drug, utility and insurance companies. The so-called “tax-cuts for the rich” and bashing of American Corporations is on the tongue of all of them. None of them concede that President Kennedy lowered taxes because he understood that tax-cuts would spur the economy and increase tax revenues at the same time. The Laffer curve is working: lower tax rates lead to higher tax revenues through a growing economy and larger income tax base. The Democrats want to remove the pro-growth tax cuts. Here we are at a 4.50% unemployment rate and a Dow Industrial Index at 13,000 and the Democrats tell us that the economy is in bad shape. If those Senators would only take a course in economics- O-well, they would probably all get F’s anyway.

Gary E. Marsella

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