A Swiss court just threw a wrench in the gears of an IRS effort to impose bad US tax law on an extraterritorial basis, ruling that UBS does not have to hand over data to the American tax authorities.

This ruling nullifies an agreement that the Swiss government was coerced into making with the US government last year. In typical arrogant fashion, the IRS already has indicated that it still expects acquiescence, notwithstanding Switzerland’s strong human rights policy on personal privacy. The Bloomberg story excerpted below has the details, but it’s worth noting that this entire fight exists solely because the internal revenue code imposes double taxation on income that is saved and invested and imposes that bad policy on economic activity outside America’s border. But just as other governments should not have the right to impose their laws on things that happen in America, the United States should not have the right to trample the sovereignty of other nations:

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Thursday, in his resounding defense of the First Amendment in the Citizens United decision, Justice Anthony Kennedy wrote for the majority:

…[w]hen Government seeks to use its full power, including the criminal law, to command where a person may get his or her information or what distrusted source he or she may not hear, it uses censorship to control thought. This is unlawful. The First Amendment confirms the freedom to think for ourselves.

“Censorship” is a dirty word in America, and that is why the restrictions at issue in our case were cloaked in the guise of “campaign finance reform.”  But the fact remains that any restrictions on political speech, especially those that criminalize such speech, send us down a very slippery and very dangerous slope.

Last March, our government argued in court that it has the Constitutional authority to ban books that mention a candidate for federal office.  The government later retracted that statement, but is there any doubt that such a statement never would have been made if there had not been 100 years of progressively more intrusive restrictions on political speech preceding it?    Had the Court not acted, what was to prevent the government from asserting that authority over the internet, which does not have the benefit of two centuries of tradition and jurisprudence protecting it?

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As many of you know, I ran for Massachusetts State Representative in the 2nd Franklin District in 2008. Miss Kim joked on Monday that maybe I ran two years too early.

Apparently  not.

In the six towns that make up the 2nd Franklin, Democrat Martha Coakley beat Republican Scott Brown 6776 to 6070. It’s even more clear my home district is as dysfunctional as the black community, and my saying this is going to really irk them.

The truth hurts.

You know how your car drives; how it feels.

Let’s say you notice something feels very wrong with your car and you take it to the shop. You tell the mechanic what feels wrong and he tells you to leave it with him. He later calls, you pay him and begin to drive off, when you feel the same thing wrong with your car.

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Federal Reserve Chairman Ben Bernanke is up for Senate confirmation for another term. It isn’t going well.

Bureaucrats gone wild! Taxpayers charged for international trysts, golf, skiing, and other government junkets

Military officials bought thousands of dollars worth of alcohol, food and other amenities for congressional overseas junkets

Delaware airport that “hardly ever sees a paying passenger” has received $12.3 million from the federal Airport Improvement Program for a runway construction project

Tennessee library pays for Rock Band video game session and Monday Night Football with a $5,000 federal Community Building Through Video Games in Libraries grant

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On the heels of the huge GOP victory in the Massachusetts Senate race, Senate Minority Whip Jon Kyl (R-Ariz.) decided to stand up to the Obama administration with one of the strongest weapons at his disposal — he halted Senate votes on Treasury Department nominees.

As there are a number of areas where the conservative movement takes issues with administration objectives, this is a target-rich environment.  A strong stand here could show America what the Republican Party stands for and what the party will fight for.  So, is Kyl standing up for improvements in the health care bill, reduced federal spending, or limits on federal power?  No, he is not.  Sadly, Sen. Kyl is wasting this powerful, one-shot weapon to register his dissatisfaction with the administration’s granting of a delay in implementing Internet poker and gaming-related financial regulations — a delay that was requested by his fellow Republicans.

The law for which Kyl pushed with so much vigor for so many years is fatally flawed.  Despite a decade of trying, beginning with his attempt to add a national online poker and gaming prohibition to the Crime Prevention Act of 1995, Kyl found himself unable to pass an online gaming prohibition through Congress.  In 2006, he settled for a law prohibiting money from going from U.S. financial transactions to sites offering “unlawful Internet gambling.” To move this through the Senate, Kyl had this bill tacked on to the must-pass SAFE Port Act in the middle of the night just as the 2006 Congressional term was coming to a close.  Thus, the Senate never even voted on this as a free-standing bill.

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Sources on the Hill tell Big Government that the nomination of Ben Bernanke to remain Chairman of the Federal Reserve is in deep trouble.  A Senior Capitol Hill Staffer said to Big Government, “if [Senate Majority Leader] Reid does not file for cloture tonight, I don’t think they have the votes to confirm him.”  The Wall Street Journal thinks the vote will be “tight,” yet the White House is spinning that they have the votes.  Hill sources say that this nomination is trending in the wrong direction for the Obama Administration and many on the Hill are stunned by the news that, according to CNBC, Senator Barbara Boxer (D-CA) has announced her opposition to the nomination.  There is growing opposition to this nominee remaining in charge of the Federal Reserve for a second term.

Senators have made public statements indicating that there may be non-public information that is hurting this nominee.  Senator Jim DeMint (R-SC) said that “the Fed continues to stonewall Congress and the public.”  Senator Jim Bunning (R-KY) referenced “ongoing examinations by Congress and the GAO of the Fed’s AIG bailout” and that there are “unpleasant facts for the Fed and Chairman Bernanke” that will come out after “full public disclosure of all information about the AIG bailout” that has only been shared with “select Congressional Committees and the GAO.”  Senator David Vitter (R-LA) said, “it is vitally important that Congress has the ability and time to adequately review the Federal Reserve’s bailout of AIG.  Although some of our offices have had time to review some of the documents, not all are available at this time and Congress should wait until GAO’s review before proceeding with his nomination vote.” (more…)

On Thursday, the Army Clemency and Parole Board reduced the sentence of Army Ranger 1st Lt. Michael Behenna from 20 to 15 years, according to a news release from Rep. Mary Fallin (R-Okla.).

Lieutenant Behenna, who is currently serving his sentence at Fort Leavenworth, Kan., was convicted of unpremeditated murder in the shooting death of Ali Mansur, a known Al-Qaeda operative, while serving in Iraq.

Previous cases of similar or more aggravating circumstances, where the defendants were found guilty of premeditated murder, have resulted in less severe sentences, which prompted the Oklahoma Congressional Delegation to appeal to the board for a careful review of this case and relevant precedent.

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Louisiana State Senator A.G. Crowe (R, Slidell) is introducing a bill for the 2010 legislative session in Baton Rouge that would make Obamacare illegal if it violates state laws, effectively making Obamacare null and void in the Pelican State.

Senator Crowe states that his bill “provides that no law or rule shall compel, directly or indirectly, any person, employer or health care provider to participate in any health care system or health insurance.”

Crowe’s proposed Senate Bill (download .pdf file) begins as follows:

HEALTH CARE. Prohibits state or local governmental coercion of any Louisiana employer, health care provider, or individual to compel participation in any health care system or health insurance plan.

Crowe insists that Obamacare violates Article I, Section 8 of the Constitution and “is therefore unconstitutional.” He also feels that the president’s plans violates the 10th Amendment among others.

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Colorado, like every other state in the nation, is struggling with revenue.

So what’s a state to do? Well, let’s see, the state already taxes income, gas, sales on goods, personal property, corporate income, entertainment, energy, phones, etc. All that’s left to do is…tax a tax.

Never happen you say?

Coloradans must pay a $1.50 waste-tire fee every time they dispose of an old tire at a retail outlet. And according to an “FYI Memo” from the state department of revenue, “Effective August 5, 2009, the waste tire recycling development fee is considered part of the purchase price and is subject to sales tax.”

Based on the revenue of the waste-tire fee from previous years, this means the state and other sub-governments could collect a grand total of anywhere between $300,000 to $500,000…all because they are taxing a fee.

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It is mentioned, almost in passing, that the “healthcare reform” on the verge of becoming law starts collecting premiums and taxes immediately, and promises benefits only in about four years.

What kind of emergency is that?

It’s not a healthcare emergency. It’s what might be called a Madoff emergency.

Whether starry-eyed utopians or cynical malefactors, the unnamed, possibly unnameable they have high ambitions for Washington to achieve their objectives. The stars are aligned for their coup d’etat, but there is one little problem: the country is out of money.

This problem threatens to stop not only their agenda, but the whole game. Washington has 2 million employees on the payroll, earning on average twice as much as those in the private sector. And probably more than a hundred million dependents—recipients of Social Security, Medicare, Medicaid, and grants and subsidies of all types. What happens if the checks stop coming?

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This week marks the one year anniversary of Susan Rice’s confirmation by the United States Senate to represent the American people at the United Nations.  Over the past 12 months, the U.S. has faced some serious foreign policy challenges such as Iran’s nuclear ambitions, North Korea’s ongoing nuclear weapons’ tests, the Israeli-Palestinian conflict, freezing terrorists’ assets world-wide and now the on-going disaster in Haiti.  But while the UN struggles to find common ground on these and other important issues, Susan Rice has chosen to spend several days of the work week over the last year in Washington, DC hanging out at the White House and not engaging seriously in New York at the UN.

Rice started off her tenure at the UN with a glamour spread in Vogue Magazine by famed photographer Annie Leibovitz showing her kicking back in an empty Security Council Chamber.  It was this silly piece that first signaled to the UN reporters and diplomats that Rice was in New York to have fun and participate in the events that Upper East Side diplomats do.  While Rice does commute from Washington, DC every week, she lives in the penthouse of the Waldorf Astoria when in New York.  She also has the largest Washington, DC office and staff of any U.S. Ambassador to the UN in history.  She regularly attends White House social functions appearing as the Disney character “Goofy” at this year’s White House Halloween Party and attended multiple Christmas Parties at The White House this holiday season.
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In his new book Obamanomics: How Barack Obama is Bankrupting You and Enriching His Wall Street Friends, Corporate Lobbyists, and Union Bosses, Timothy P. Carney explains that Barack Obama’s “progressive” rhetoric masks good old-fashioned crony capitalism, in which the favored few and politcally well-connected get all sorts of benefits paid for with public dollars. Whether the area is Wall Street, health care reform, union organizing, or K Street lobbying, the same pattern is everywhere: using the government’s power to distribute goodies and rig markets.

A columnist at the Washington Examiner and a non-partisan reporter, Carney also lays into the Republican Party for its massive contribution to the problem when it wielded power. Carney provides a game plan to take the country back and restore truly free markets that will benefit everyone.

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Reagan famously said that Republicans believe everyday is the 4^th of July and the Democrats believe everyday is April 15^th.  An oversimplification to be sure, but that sentiment was not far from the minds of the Massachusetts voters.  Already laboring under a bad state imposed health care system, in spectacular fashion, they rejected ObamaCare and elected Scott Brown to a “people’s seat.”

In California, that lesson apparently went unnoticed for California Democrats.   Less than 48 hours after the dust settled from the Brown triumph, California Democrats voted for a State imposed “universal” health care plan.  In other words, a state run health care system that would bar private insurance.

Keep in mind that California is already amidst a chronic and prolonged budget crisis brought on by runaway spending and exorbitant taxing.   Perennially listed among the worst states in our Union to do business, California features 10%+ income taxes and the highest regulatory burden around.  So imposing are the costs to business in California, despite its ports and natural resources, Nevada and its desert is #1 in the Country in new business development.

As Congressman Tom McClintock famously says, only government policy could convince people and business to relocate from lush California to the barren deserts of Nevada.  The practical result of those anti-job polices is that California now has a revenue problem.  Just 3 years ago revenues were in the $125 billion dollar range.  Now they are in the $85+ billion dollar range.  In other words, government has created a revenue problem by killing off jobs and, without those jobs, there are less taxpayers, less income tax and less sales tax.

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It has become clear that health care reform in its present state has nothing to do with delivering quality healthcare to the American people.

The idea of universal coverage, with protection against insurance company wrongs (e.g., denying patients for pre-existing conditions and limiting the insurance company’s ability to deny coverage when you really need it) has been the sheep’s clothing cloaking a bill designed to destroy our healthcare system. In short, the proposed healthcare reform will doom us to a future that has the potential to make us sicker by limiting our access to screening exams such as mammograms, and limiting our access to physicians while making us pay more for the privilege.

The vote in Massachusetts was a stand against those in the government who are bent on telling us that they know what is best for us. I have been astounded by the complete contempt in which those in power hold the American people. A majority of the people in this country think the healthcare reform effort is going in the wrong direction. Although the vote in Massachusetts made it clear that there was major opposition to the current bill, I have doubts that the voices of the majority will be heard and this debacle will be stopped.

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In the wake of a stunning political result in Massachusetts, it’s time to assess the future Scott Brown dictates for health care, the market, the Democrats, and the country. It’s the third week of January 2010, and here’s the latest edition of Coffee and Markets, a weekly podcast from The New Ledger on politics, policy and the marketplace with Francis Cianfrocca, brought to you by BigGovernment.com.

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You can subscribe to the podcast by following the links above, and if you’d like to email us, you can do so at coffee[at]newledger.com. We hope you enjoy the show.

Related Links:

Dan McLaughlin: Seven Lessons of the Brown Bombshell

WSJ: Obama Scales Back Health Care Plans

Paul Krugman: Obama Wasn’t The One We’ve Been Waiting For

The government, starving for streams of revenue, wants to tax major banking institutions under a new regulatory scheme allegedly geared toward reforming the financial industry.

Yesterday (Thursday), President Obama launched a major salvo in his Progressive agenda for (Marxist) reform. Below is a brief excerpt of his statement announcing new banking restrictions, and it’s laced with vilifying rhetoric – complete with threats of pitchforks.

This is criminally brilliant.

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It is evening. Dinner is over, and I can see Bill Clinton sitting back at a table. In my fantasy, he has a mischievous smile on his face and a cigar in his right hand; his left hand lies on the knee of a scantily-clad lass less than half his age; and he is waiting in vain for the President to call.

Republicans, when on the spot, are apt to ask themselves, “What would Reagan do?” Democrats would be well advised, when in similar straits, to ponder what Bill Clinton would do. For whatever one might think of him — and in the last couple of years Democrats have been as likely to badmouth the man as Republicans — Slick Willie is a survivor who knows how to stage a comeback when nearly everyone thinks him not only down but permanently out. It was with such a figure in mind that H. L. Mencken wrote these immortal words: “The smarter the politician, the more things he believes and the less he believes any of them.”

I have no doubt what advice Clinton would give Barack Obama if the latter were to make that call. He would tell him to jettison Rahm Emanuel and David Axelrod; to hire a David Gergen, and a Dick Morris; to leave Nancy Pelosi, Harry Reid, and their minions twisting in the wind; and to announce in his State of the Union Address that the era of big government is once again at an end.

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Today, in 1973, the Supreme Court delivered its opinion in the case Roe v. Wade.