House Committee Approves $50 Billion Pension Bill (washingtonpost.com)

House Committee Approves $50 Billion Pension Bill. This is just another big ($50 billion) tax break that is only for the rich.

It’s a bit complicated hot this one works, so I’ll see if I can simplify it a bit. People who aren’t rich need to use any money they have saved in retirement accounts, so this doesn’t apply to them at all. When you take money out of a retirement account you have to pay income taxes. The government makes you start taking money out of a retirement account when you reach a certain age, as a protection against the money being sheltered forever and never subject to taxation. By increasing the age when one is required to take money out of a retirement account, they put off paying these taxes, and if the person dies, the money is inherited without paying taxes at all. Hence – another huge tax shelter just for the rich.

I wrote about how whole retirement account scam screwed workers out of their pensions in the post titled Screwing Workers.