Federal handouts to the wealthy have long been a topic of controversy. Many lawmakers and politicians seek to justify the use of taxpayers money that is handed out to the wealthy. Aid to Dependent Corporations, Exposing Federal Handouts to The Wealthy is one reading that seeks to exploit and expose these loopholes in the federal tax system. At a time when Congress is attempting to slash and eliminate the small benefits received by the poor, it seems we are spending far more to subsidize wealthy corporations and individuals. I will attempt to expose and argue some of these points in the following paragraphs.
Some activists dub these discounts that U.S. taxpayers fund as "wealthfare." "Wealthfare comes in five main varieties: discounted user fees for public resources; direct grants; corporate tax reductions and loopholes; giveaways of publicly funded research and development to private profit-making companies; and tax breaks for wealthy individuals" (Post, J.E.,
Lawrence, A.T., & Weber, J., 2001, p. 399). These five varieties of wealthfare clearly show that there is adequate background for the arguments relating to tax breaks that are given to wealthy individuals and companies. At a time when our economy seems to have varying outcomes day to day, topics such as this need to be addressed by Congress and law making bodies. Large amounts of money from these tax breaks can be used in places where it is much more needed, such as the welfare system and child support programs. However, campaigns against these injustices seem to be halted by politicians for fear of alienating big political party funders. I find it unfortunate and unlawful that the government not only allows these practices, but also does nothing to prevent and put an end to such injustices.
Many of the tax breaks enjoyed by wealthy individuals and...