Fiscal Cliff

Senate Republicans are bailing on Grover. Still no one from the House.

I agree; they are great spinners - and will say almost anything to win votes.

November 26, 2012, 6:00 am1 Comment
White House Sees Stunted Growth if Tax Cuts Expire
By PETER BAKER
Americans could spend nearly $200 billion less next year on cars, clothes, furniture and other consumer products than they would otherwise if automatic tax increases take effect as currently scheduled, the White House warned in a report issued Monday morning.

Such a crimp on demand would curb the growth of real consumer spending by 1.7 percentage points in 2013 and slow the growth of the overall economy by 1.4 percentage points, according to the report prepared by the President’s Council of Economic Advisers.

Raising taxes will kill Santa!

President Obama returned to campaign mode on Monday casting Republicans as against the middle class by saying their failure to accept his offer for a limited extension of tax breaks will essentially ruin Christmas for consumers and retailers.

Raising taxes will spoil Christmas and the New Year.

Holiday FAQ
What is NRF’s prediction for holiday sales growth this year?
NRF is projecting 2012 holiday sales to rise 4.1% from 2011. If NRF’s estimate is correct, holiday sales this year would be $586.1 billion.

How much did holiday sales change last year?
In 2011, holiday sales increased 5.6% to $563 billion, which was only slightly more than the 5.5% increase in 2010. On average, holiday sales have increased 3.5% per year for the last 10 years. This includes expectations for 2012.

Why are these numbers different than what you have previously reported?
Earlier this year, the U.S. Department of Commerce revised the last several years of retail sales data. Additionally, NRF now includes “auto parts, accessories and tire stores” and “non-store” retail sales figures in its economic analysis and calculations. This change—impacting all future NRF retail sales figures and forecasts, including the 2012 holiday forecast—seeks to be more representative of the retail industry’s diversity, and better reflect the growth and economic influence of specific retail sectors such as auto parts, e-commerce and non-store sales.

NEW YORK — Casino operator Las Vegas Sands Corp. said Monday it will pay a special dividend of $2.75, distributing about $2.26 billion to its shareholders by the end of the year.

The company said the dividend will be payable Dec. 18 to shareholders of record on Dec. 10. Chairman Sheldon Adelson said returning capital to shareholders is a priority for the company.

The casino operator is the latest company to move up its quarterly payout or issue a special end-of-year payment to protect investors from potentially having to pay higher taxes on dividend income starting in January.

Many companies are reviewing their dividend policies now that it appears investors could soon pay higher taxes. Since 2003, investors have paid a maximum 15 percent on dividend income. But that historically low rate will expire in January unless Congress and President Barack Obama reach a compromise on taxes and government spending. As it stands, dividends will be taxed as ordinary income in 2013, the same as wages, so rates will go up depending on which income bracket a taxpayer is in. For the highest earners, the dividend rate would jump to 43.4 percent.
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