2015, a Banner Year for Tax Hikes

It is Obamacare stupid. A full report is here.

 

Full List of Obamacare Tax Hikes: Listed by Size of Tax Hike

Complied by Americans for Tax Reform

WASHINGTON, DC — Obamacare contains 20 new or higher taxes on American families and small businesses. Arranged by their respective sizes according to CBO scores, below is the total list of all $500 billion-plus in tax hikes (over the next ten years) in Obamacare, their effective dates, and where to find them in the bill.

$123 Billion: Surtax on Investment Income (Takes effect Jan. 2013): A new, 3.8 percent surtax on investment income earned in households making at least $250,000 ($200,000 single). This would result in the following top tax rates on investment income:

Capital Gains Dividends Other*
2012 15% 15% 35%
2013+ 23.8% 43.4% 43.4%

*Other unearned income includes (for surtax purposes) gross income from interest, annuities, royalties, net rents, and passive income in partnerships and Subchapter-S corporations.  It does not include municipal bond interest or life insurance proceeds, since those do not add to gross income.  It does not include active trade or business income, fair market value sales of ownership in pass-through entities, or distributions from retirement plans.  The 3.8% surtax does not apply to non-resident aliens. (Bill: Reconciliation Act; Page: 87-93)

$86 Billion: Hike in Medicare Payroll Tax (Takes effect Jan. 2013): Current law and changes:

First $200,000
($250,000 Married)
Employer/Employee
All Remaining Wages
Employer/Employee
Current Law 1.45%/1.45%
2.9% self-employed
1.45%/1.45%
2.9% self-employed
Obamacare Tax Hike 1.45%/1.45%
2.9% self-employed
1.45%/2.35%
3.8% self-employed
Bill: PPACA, Reconciliation Act; Page: 2000-2003; 87-93

$65 Billion: Individual Mandate Excise Tax and Employer Mandate Tax (Both taxes take effect Jan. 2014):

Individual: Anyone not buying “qualifying” health insurance as defined by Obama-appointed HHS bureaucrats must pay an income surtax according to the higher of the following

1 Adult 2 Adults 3+ Adults
2014 1% AGI/$95 1% AGI/$190 1% AGI/$285
2015 2% AGI/$325 2% AGI/$650 2% AGI/$975
2016 + 2.5% AGI/$695 2.5% AGI/$1390 2.5% AGI/$2085
Exemptions for religious objectors, undocumented immigrants, prisoners, those earning less than the poverty line, members of Indian tribes, and hardship cases (determined by HHS). Bill: PPACA; Page: 317-337

Employer: If an employer does not offer health coverage, and at least one employee qualifies for a health tax credit, the employer must pay an additional non-deductible tax of $2000 for all full-time employees.  Applies to all employers with 50 or more employees. If any employee actually receives coverage through the exchange, the penalty on the employer for that employee rises to $3000. If the employer requires a waiting period to enroll in coverage of 30-60 days, there is a $400 tax per employee ($600 if the period is 60 days or longer). Bill: PPACA; Page: 345-346

(Combined score of individual and employer mandate tax penalty: $65 billion)

$60.1 Billion: Tax on Health Insurers (Takes effect Jan. 2014): Annual tax on the industry imposed relative to health insurance premiums collected that year.  Phases in gradually until 2018.  Fully-imposed on firms with $50 million in profits. Bill: PPACA; Page: 1,986-1,993

$32 Billion: Excise Tax on Comprehensive Health Insurance Plans (Takes effect Jan. 2018): Starting in 2018, new 40 percent excise tax on “Cadillac” health insurance plans ($10,200 single/$27,500 family).  Higher threshold ($11,500 single/$29,450 family) for early retirees and high-risk professions.  CPI +1 percentage point indexed. Bill: PPACA; Page: 1,941-1,956

$23.6 Billion: “Black liquor” tax hike (Took effect in 2010) This is a tax increase on a type of bio-fuel. Bill: Reconciliation Act; Page: 105

$22.2 Billion: Tax on Innovator Drug Companies (Took effect in 2010): $2.3 billion annual tax on the industry imposed relative to share of sales made that year. Bill: PPACA; Page: 1,971-1,980

$20 Billion: Tax on Medical Device Manufacturers (Takes effect Jan. 2013): Medical device manufacturers employ 360,000 people in 6000 plants across the country. This law imposes a new 2.3% excise tax.  Exempts items retailing for <$100. Bill: PPACA; Page: 1,980-1,986

$15.2 Billion: High Medical Bills Tax (Takes effect Jan 1. 2013): Currently, those facing high medical expenses are allowed a deduction for medical expenses to the extent that those expenses exceed 7.5 percent of adjusted gross income (AGI).  The new provision imposes a threshold of 10 percent of AGI. Waived for 65+ taxpayers in 2013-2016 only. Bill: PPACA; Page: 1,994-1,995

$13.2 Billion: Flexible Spending Account Cap – aka “Special Needs Kids Tax” (Takes effect Jan. 2013): Imposes cap on FSAs of $2500 (now unlimited).  Indexed to inflation after 2013. There is one group of FSA owners for whom this new cap will be particularly cruel and onerous: parents of special needs children.  There are thousands of families with special needs children in the United States, and many of them use FSAs to pay for special needs education.  Tuition rates at one leading school that teaches special needs children in Washington, D.C. (National Child Research Center (link is external)) can easily exceed $14,000 per year. Under tax rules, FSA dollars can be used to pay for this type of special needs education. Bill: PPACA; Page: 2,388-2,389

$5 Billion: Medicine Cabinet Tax (Took effect Jan. 2011): Americans no longer able to use health savings account (HSA), flexible spending account (FSA), or health reimbursement (HRA) pre-tax dollars to purchase non-prescription, over-the-counter medicines (except insulin). Bill: PPACA; Page: 1,957-1,959

$4.5 Billion: Elimination of tax deduction for employer-provided retirement Rx drug coverage in coordination with Medicare Part D (Takes effect Jan. 2013) Bill: PPACA; Page: 1,994

$4.5 Billion: Codification of the “economic substance doctrine” (Took effect in 2010): This provision allows the IRS to disallow completely-legal tax deductions and other legal tax-minimizing plans just because the IRS deems that the action lacks “substance” and is merely intended to reduce taxes owed. Bill: Reconciliation Act; Page: 108-113

$2.7 Billion: Tax on Indoor Tanning Services (Took effect July 1, 2010): New 10 percent excise tax on Americans using indoor tanning salons. Bill: PPACA; Page: 2,397-2,399

$1.4 Billion: HSA Withdrawal Tax Hike (Took effect Jan. 2011): Increases additional tax on non-medical early withdrawals from an HSA from 10 to 20 percent, disadvantaging them relative to IRAs and other tax-advantaged accounts, which remain at 10 percent. Bill: PPACA; Page: 1,959

$0.6 Billion: $500,000 Annual Executive Compensation Limit for Health Insurance Executives (Takes effect Jan. 2013): Bill: PPACA; Page: 1,995-2,000

$0.4 Billion: Blue Cross/Blue Shield Tax Hike (Took effect in 2010): The special tax deduction in current law for Blue Cross/Blue Shield companies would only be allowed if 85 percent or more of premium revenues are spent on clinical services. Bill: PPACA; Page: 2,004

$ Negligible: Excise Tax on Charitable Hospitals (Took effect in 2010): $50,000 per hospital if they fail to meet new “community health assessment needs,” “financial assistance,” and “billing and collection” rules set by HHS. Bill: PPACA; Page: 1,961-1,971

$ Negligible: Employer Reporting of Insurance on W-2 (Took effect in Jan. 2012): Preamble to taxing health benefits on individual tax returns. Bill: PPACA; Page: 1,957

Bill was Playing While Hillary was Legislating

Bill, Bill, Bill….. Imagine if Hillary runs for the Oval Office, just what Bill will be doing with the help of the Secret Service, since the SS has experience in this area….sheesh…

Ah but then Clinton had at least 21 phone numbers and was clearly a part of the network.  Did Clinton’s secret service detail know anything? Hee hee…

Bill Clinton identified in lawsuit against his former friend and pedophile Jeffrey Epstein who had ‘regular’ orgies at his Caribbean compound that the former president visited multiple times

  • The former president was friends with Jeffrey Epstein, a financier who was arrested in 2008 for soliciting underage prostitutes
  • A new lawsuit has revealed how Clinton took multiple trips to Epstein’s private island where he ‘kept young women as sex slaves’
  • Clinton was also apparently friends with a woman who collected naked pictures of underage girls for Epstein to choose from
  • He hasn’t cut ties with that woman, however, and invited her to Chelsea’s wedding
  • Comes as friends now fear that if Hillary Clinton runs for president in 2016, all of their family’s old scandals will be brought to the forefront
  • Epstein has a host of famous friends including Prince Andrew who stayed at his New York mansion AFTER his arrest

A new lawsuit has revealed the extent of former President Clinton’s friendship with a fundraiser who was later jailed for having sex with an underage prostitute.

Bill Clinton’s relationship with Jeffrey Epstein, who served time in 2008 for his illegal sexual partners, included up multiple trips to the onetime billionaire’s private island in the Caribbean where underage girls were allegedly kept as sex slaves.

The National Enquirer has released new details about the two men’s friendship, which seems to have ended abruptly around the time of Epstein’s arrest.

Naming names: A lawsuit between Jeffrey Epstein (right) and his legal team has included multiple mentions about the convicted pedophile's connection to former President Bill Clinton (left)

Naming names: A lawsuit between Jeffrey Epstein (right, in 2011) and his legal team has included multiple mentions about the convicted pedophile's connection to former President Bill Clinton (left, earlier this month)

Pedophile paradise: The lawsuit included flight records that showed Clinton made multiple trips to Epstein's private island, Little St James (pictured), between 2002 and 2005. Women were reportedly kept there as sex slaves

Pedophile paradise: The lawsuit included flight records that showed Clinton made multiple trips to Epstein’s private island, Little St James (pictured), between 2002 and 2005. Women were reportedly kept there as sex slaves

Tales of orgies and young girls being shipped to the island, called Little St. James, have been revealed as part of an ongoing lawsuit between Epstein and his former lawyers Scott Rothstein and Bradley Edwards.

It is unclear what the basis of the suit is, but they go on to call witness testimony from some of the frequent guests at Epstein’s island to talk about the wild parties that were held there in the early 2000s.

Convicted: Epstein was investigated in 2005 after a woman reported that he paid her 14-year-old daughter for sex

Convicted: Epstein was investigated in 2005 after a woman reported that he paid her 14-year-old daughter for sex.

Flight logs pinpoint Clinton’s trips on Epstein’s jet between the years 2002 and 2005, while he was working on his philanthropic post-presidential career and while his wife Hillary was a Senator for their adopted state of New York.

‘I remember asking Jeffrey what’s Bill Clinton doing here kind fo (sic) thing, and he laughed it off and said well he owes me a favor,’ one unidentified woman said in the lawsuit, which was filed in Palm Beach Circuit Court.

The woman went on to say how orgies were a regular occurrence and she recalled two young girls from New York who were always seen around the five-house compound but their personal backstories were never revealed.

At least one woman on the compound was there unwillingly, as the suit identifies a woman as Jane Doe 102.

She ‘was forced to live as one of Epstein’s underage sex slaves for years and was forced to have sex with… politicians, businessmen, royalty, academicians, etc,’ the lawsuit says according to The Enquirer.

Epstein’s sexual exploits have been documented since 2005, when a woman in Palm Beach contacted police saying that her 14-year-old daughter had been paid $300 to massage him and then have sex.

The claim prompted a nearly year-long investigation that led to the eventual charge of soliciting prostitution which came as part of a plea deal. He spent 13 months of a 18-month sentence in jail and remains a registered sex offender.

Several of his famous friends cut ties- including Clinton and then-New York Governor Eliot Spitzer who returned his campaign donations- but not all of them: Prince Andrew reportedly stayed at Epstein’s mansion in New York in 2010, months after he was released from jail.

Keeping ties: Clinton was also friends with an unnamed woman who stored pictures of underage girls for Epstein, and though Clinton cut ties with Epstein after his arrest, he invited the woman to Chelsea's 2010 wedding

Keeping ties: Clinton was also friends with an unnamed woman who stored pictures of underage girls for Epstein, and though Clinton cut ties with Epstein after his arrest, he invited the woman to Chelsea’s 2010 wedding.

Clinton’s connection to Epstein, who worked as a financier and education philanthropist before more than 40 women came forward with claims about him being a sexual predator, has been long-established, but The Enquirer also tells how the former president was also friends with some of Epstein’s seedy acquaintances.

The lawsuit claims that Clinton was friends with an unnamed woman who ‘kept images of naked underage children on her computer, helped to recruit underage children for Epstein… and photographed underage females in sexually explicit poses’.

While he cut off ties with Epstein, this woman’s abuses apparently did not end their relationship as she was reportedly one of the 400 guests at Chelsea Clinton’s 2010 wedding.

Latest ladies: Clinton was pictured posing for a photo with Barbie Girl (left) and Ava Adora (right), two known prostitutes who work at the Bunny Brothel in Nevada

Latest ladies: Clinton was pictured posing for a photo with Barbie Girl (left) and Ava Adora (right), two known prostitutes who work at the Bunny Brothel in Nevada.

Though the lawsuit may be bringing up sexual skeleton’s from Clinton’s past, he has added to the drama of late by posing for a photo with two known prostitutes at a fundraiser in Los Angeles last month.

The drama of his extramarital affairs is apparently just one concern for Clinton family loyalists, as a Wall Street Journal article released today details how

‘I’m not in the political camp; I’m in the friends camp. And the friends camp definitely has concerns about her running,’ the former Secretary of State’s friend Linda Bloodworth-Thomason told the paper.

 

 

$125 Billion Bomb to Drop

Earlier this year, student loans and debts were being extended. For 2015 and beyond, the program success looks grim.

WASHINGTONPresident Obama signed an executive order on Monday intended to lessen the college loan burden on nearly five million younger Americans by capping repayments at 10 percent of the borrowers’ monthly income. If you want to know the scale of student debt across the globe in countries like Sweden then you should go to https://studieskuld.se

Joined by indebted graduates in the East Room of the White House, Mr. Obama said the spiraling cost of higher education had put “too big a debt load on too many people.”

“These rising costs have left middle-class families feeling trapped,” he said. “You’ve got middle-class families who can’t build up enough savings, don’t qualify for support, feel like nobody’s looking out for them.”

Mr. Obama drew on his own financial history in promoting the measure. He told the audience that he and his wife, Michelle, paid off their law school loans just 10 years ago, after they had already begun saving for their daughters’ college educations.

The Hidden Student-Debt Bomb

Under the radar, maneuvers to avoid paying off loans are surging. ‘Forbearance’ has hit the $125 billion mark.

By Jason Delisle

It is time to re-evaluate how we measure the performance of student-loan programs—particularly whether borrowers are or are not meeting their obligations. The traditional measures of nonrepayment—delinquencies and defaults—might be fine for most types of loans, but not for outstanding student loans, nearly all of which are held or backed by the federal government. Lawmakers have provided students with options that let them punt on repayment without triggering delinquency or default. Lately, students have been availing themselves of those options at rising levels.

The forbearance benefit, for example, lets borrowers postpone payments for up to three years. By law, loan-servicing companies have a lot of discretion to grant forbearances, and getting one usually takes only a phone call on the part of the borrower. Some borrowers might have to complete a simple form and meet a payment-to-income test. But overall it is the easiest and fastest way for a borrower to suspend student-loan payments.

Forbearance can also cure the delinquency status on a loan, at least on paper. A borrower who misses a few payments, and is likely to miss more, will be informed by his loan-servicing company that he can obtain a forbearance right away. Payments cease and the loan is put in good standing. When the loan finally comes due, however, the monthly payment will be higher than the payment the borrower originally found too difficult to pay, thanks to accruing interest.

Forbearances are thus a double-edged sword. They help borrowers keep their loans in good standing, but they also mean borrowers aren’t making progress on paying down their debts—just the opposite. Enrollments in forbearances are really a negative indicator in the federal loan program, much like delinquency and default.

That is why the latest figures from the Education Department that show steady increases in forbearances are so alarming. Loan balances in forbearance were about 12.5% of those in repayment in 2006. In 2013, they were 13.3%. Today they are 16%, or $125 billion of the $778 billion in repayment.

If student-loan defaults exhibited that kind of growth it would make national headlines. Forbearance growth goes unmentioned, yet it looks a lot like a default given that the borrower isn’t making payments.

Another option is income-based repayment plans, which allow borrowers to suspend or reduce payments on their loans and will also cure a severely delinquent loan. The mechanics of these plans are a little complicated, but for borrowers with incomes below 150% of poverty, payments are zero. Borrowers who earn more than that make payments between 1% and 15% of their incomes. After 10, 20 or 25 years, depending on the program, the government forgives any outstanding balances and taxpayers eat the loss.

For many borrowers, income-based repayment works like long-term forbearance, or better if their debt is forgiven. Borrowers might have their payments suspended, or lowered to the point that they will never fully repay the loan before the outstanding balance is forgiven. In some cases the payments may not even cover the interest that accrues each month. The Obama administration estimated in 2012 that the average amount forgiven in income-based repayment plans will be $41,000 per borrower.

The Obama administration greatly expanded benefits under income-based repayment plans in recent years and has launched efforts to promote them. Enrollments are growing rapidly and now stand at an all-time high. Some 24% of Federal Direct Loan Program balances ($115 billion) that have come due are enrolled in the two most generous plans, Income-Based Repayment and Pay As You Earn. That is up from 14% a little more than a year ago. The number of borrowers using the plans has doubled over that time, to 2.2 million.

Despite more borrowers taking advantage of benefits to suspend and lower their payments, the share of borrowers in default is still trending upward. It now stands at 19.8% of borrowers whose loans have come due—some 7.1 million borrowers with $103 billion in outstanding balances. That’s the highest share since the Education Department began making the statistic available in 2013, and given other trends, it probably is a record high.

These trends are troubling because the U.S. economy has been improving for some time. Yet fewer and fewer borrowers are repaying their federal student loans. For those who do make payments, more of them are paying too little to retire the debt they took on.

This all makes sense, however, when you realize that the student-loan program has been designed to achieve two political goals: Loans should be available to any student, at any school, pursuing any credential; and student debt is bad and burdensome, so it should be easy for borrowers not to repay.

Based on these goals, the program is performing quite well for students and the institutions whose coffers swell under such loose lending standards. Loan issuance has grown rapidly in recent years while repayment rates have declined steadily. From the perspective of the taxpayers who must ultimately finance these liabilities, however, the federal student-loan program is performing badly and steadily getting worse. There are many reputable companies which can help you get out of student loan default. So if you need help, contact a company like Loan Forgiveness.

Boehner’s Office Tallying the Obama Lies

One may really need a calculator to tabulate the lies from Obama, but at least a staffer has been assigned to keep current. While political correctness is part of the verbal DNA in Washington calling lies ‘Pinocchios’, one must understand that no legislator in decades has used the word ‘lie’ out of the whole political deference thing as lies and omissions are as common pork laden bills.

The State of the Union Speech is coming up, so keep your own tally for 2015.

The President’s Year in Pinocchios

December 31, 2014|Matt Wolking –

In 2013, President Obama’s promise that “If you like your health care plan, you can keep it,” was named Politifact’s “Lie of the Year.” In 2014, amid a mountain of stumbles and scandals, his rhetoric wasn’t received any better.

In May, the White House claimed President Obama first heard about secret waiting lists and deaths at the VA on the news, despite evidence to the contrary. CNN’s Drew Griffin said this was absurd, and more of the administration’s sloppy spin prompted National Journal’s Ron Fournier to ask, “How Dumb Does Obama Think We Are?

It was a prescient question considering comments made by frequent White House visitor and ObamaCare architect Jonathan Gruber, who said “the stupidity of the American voter” was “critical to getting the thing to pass” and bragged repeatedly about helping the president pull one over on the public. When asked about this, President Obama pretended he didn’t know that guy and denied misleading Americans about the law.

His unilateral action was another lowlight. President Obama said 22 times that he couldn’t ignore or create his own immigration law – and then he did. Just like his reasoning for rejecting the Keystone pipeline, his explanations for his flip-flop on executive action didn’t fool anyone.

And that was, of course, just one of these four things he hid from Americans until after the November election.

Looking back on 2014, from the continued cover-up of the IRS scandal, to all the president’s missing hard drives, to his dishonesty regarding the national debt, to the administration’s bogus ObamaCare enrollment numbers, there’s a clear pattern of hiding the truth and misleading Americans.

Indeed, fact checkers had a field day with President Obama this year. The Washington Post alone awarded him a total of 47 Pinocchios, plus one Upside-Down Pinocchio (the worst possible rating).

Here they are, in chronological order:

  • “Unprecedented inspections help the world verify every day that Iran is not building a bomb.” (Two Pinocchios, 2/6/14)
  • “We’ve got close to 7 million Americans who have access to health care for the first time because of Medicaid expansion.” (Four Pinocchios, 2/24/14)
  • “We didn’t have billions of dollars of commercials [for ObamaCare] like some critics did.” (Two Pinocchios, 4/4/14)
  • “Today, the average full-time working woman earns just 77 cents for every dollar a man earns … in 2014, that’s an embarrassment. It is wrong.” (Two Pinocchios, 4/9/14)
  • “Thirty-five percent of people who enrolled through the federal marketplace are under the age of 35.” (Two Pinocchios, 4/22/14)
  • “[Republicans’] willingness to say no to everything — the fact that since 2007, they have filibustered about 500 pieces of legislation that would help the middle class just gives you a sense of how opposed they are to any progress[.]” (Four Pinocchios, 5/9/14)
  • “I want to announce a few more steps that we’re taking that are going to be good for job growth and good for our economy, and that we don’t have to wait for Congress to do. They are going to be steps that generate more clean energy, waste less energy overall, and leave our kids and our grandkids with a cleaner, safer planet in the process.” (Two Pinocchios, 5/16/14)
  • “At the beginning of my presidency, we built a coalition that imposed sanctions on the Iranian economy, while extending the hand of diplomacy to the Iranian government.” (Three Pinocchios, 6/2/14)
  • “When you talk about the moderate opposition [in Syria], many of these people were farmers or dentists or maybe some radio reporters who didn’t have a lot of experience fighting.” (Three Pinocchios, 6/26/14)
  • “So far this year, Republicans in Congress have blocked every serious idea to strengthen the middle class.” (Three Pinocchios, 7/15/14)
  • “If Congress fails to fund it [the Highway Trust Fund], it runs out of money.  That could put nearly 700,000 jobs at risk.” (Two Pinocchios, 7/16/14)
  • “Keep in mind, I wasn’t specifically referring to ISIL [as a jayvee team].” (Four Pinocchios, 9/3/14)
  • “Over the past eight years, the United States has reduced our total carbon pollution by more than any other nation on Earth.” (Two Pinocchios, 9/25/14)
  • “If we hadn’t taken this on, and [health insurance] premiums had kept growing at the rate they did in the last decade, the average premium for family coverage today would be $1,800 higher than they are.  Now, most people don’t notice it, but that’s $1,800 you don’t have to pay out of your pocket or see vanish from your paycheck.  That’s like a $1,800 tax cut.” (Two Pinocchios, 10/17/14)
  • “Health care inflation has gone down every single year since the law [ObamaCare] passed, so that we now have the lowest increase in health care costs in 50 years–which is saving us about $180 billion in reduced overall costs to the federal government and in the Medicare program.” (Three Pinocchios, 11/6/14)
  • “We’ve created more jobs in the United States than every other advanced economy combined since I came into office.” (One Pinocchio, 11/11/14)
  • “Well, actually, my position hasn’t changed [on immigration executive action].” (Upside-Down Pinocchio, 11/18/14)
  • “Understand what this [Keystone XL pipeline] project is. It is providing the ability of Canada to pump their oil, send it through our land, down to the Gulf, where it will be sold everywhere else.” (Three Pinocchios, 11/20/14)
  • “If you look, every president — Democrat and Republican — over decades has done the same thing. George H.W. Bush — about 40 percent of the undocumented persons, at the time, were provided a similar kind of relief as a consequence of executive action.” (Three Pinocchios, 11/24/14)

– See more at: http://www.speaker.gov/general/president-s-year-pinocchios#sthash.8H0npCgI.dpuf

Double Standards of the CBC

The Congressional Black Caucus was created in 1969 by a small group of black members only later to be restructured in 1971 by Charlie Rangel D-NY along with the assistance of Shirley Chisholm and John Conyers.

Then there is the mission to promote events in Africa. Plainly written it is activism.

Parked under corruption in 2013, the CBC has a recent history of fraud.

Corruption: Rep. Jesse Jackson Jr.’s guilty plea to fraud charges raises fresh questions about the Congressional Black Caucus. It’s a group with many laudable goals, but why do so many in it succumb to corruption?

A disproportionate share of ethics cases have been brought against this exclusive club.

According to a 2012 National Journal study, five of the six lawmakers under review by the House Ethics Committee were Black Caucus members. Yet just one in 10 House members belong to the group.

It’s a familiar pattern.

In 2009, all eight lawmakers under ethics investigation were African-American. Besides Jackson, they included Rep. Charles Rangel, D-N.Y., who was later convicted of accepting gifts from donors with business before his tax-writing panel and 11 other ethics violations.

All told, the Journal says, an astonishing one-third of sitting black lawmakers have been named in an ethics probe at some point in their Hill careers.

The stat does not include former lawmakers now doing time in prison, such as ex-Rep. William Jefferson, D-La. FBI agents last decade caught Jefferson red-handed with $90,000 of bribery cash stashed in his office freezer.

Think that is all? Well not so much, even the New York Times had to take a deep look and made some interesting discoveries. Then there is the House and Senate ethics committees that are provided evidence for investigation. The ethics rules are shallow at best but all cases can be referred to Justice for further investigations and prosecutions. Oh wait, that wont happen either….and so it goes, collusion, fraud and deception goes unchecked. That is Washington DC.

WASHINGTON — When the Congressional Black Caucus wanted to pay off the mortgage on its foundation’s stately 1930s redbrick headquarters on Embassy Row, it turned to a familiar roster of friends: corporate backers like Wal-Mart, AT&T, General Motors, Coca-Cola and Altria, the nation’s largest tobacco company.

Soon enough, in 2008, a jazz band was playing at what amounted to a mortgage-burning party for the $4 million town house.

Most political groups in Washington would have been barred by law from accepting that kind of direct aid from corporations. But by taking advantage of political finance laws, the caucus has built a fund-raising juggernaut unlike anything else in town.

It has a traditional political fund-raising arm subject to federal rules. But it also has a network of nonprofit groups and charities that allow it to collect unlimited amounts of money from corporations and labor unions.

From 2004 to 2008, the Congressional Black Caucus’s political and charitable wings took in at least $55 million in corporate and union contributions, according to an analysis by The New York Times, an impressive amount even by the standards of a Washington awash in cash. Only $1 million of that went to the caucus’s political action committee; the rest poured into the largely unregulated nonprofit network. (Data for 2009 is not available.)

The caucus says its nonprofit groups are intended to help disadvantaged African-Americans by providing scholarships and internships to students, researching policy and holding seminars on topics like healthy living.

But the bulk of the money has been spent on elaborate conventions that have become a high point of the Washington social season, as well as the headquarters building, golf outings by members of Congress and an annual visit to a Mississippi casino resort.

In 2008, the Congressional Black Caucus Foundation spent more on the caterer for its signature legislative dinner and conference — nearly $700,000 for an event one organizer called “Hollywood on the Potomac” — than it gave out in scholarships, federal tax records show.

At the galas, lobbyists and executives who give to caucus charities get to mingle with lawmakers. They also get seats on committees the caucus has set up to help members of Congress decide what positions to take on the issues of the day. Indeed, the nonprofit groups and the political wing are so deeply connected it is sometimes hard to tell where one ends and the other begins.

Even as it has used its status as a civil rights organization to become a fund-raising power in Washington, the caucus has had to fend off criticism of ties to companies whose business is seen by some as detrimental to its black constituents.

These include cigarette companies, Internet poker operators, beer brewers and the rent-to-own industry, which has become a particular focus of consumer advocates for its practice of charging high monthly fees for appliances, televisions and computers.

Caucus leaders said the giving had not influenced them.

“We’re unbossed and unbought,” said Representative Barbara Lee, Democrat of California and chairwoman of the caucus. “Historically, we’ve been known as the conscience of the Congress, and we’re the ones bringing up issues that often go unnoticed or just aren’t on the table.”

But many campaign finance experts question the unusual structure.

“The claim that this is a truly philanthropic motive is bogus — it’s beyond credulity,” said Meredith McGehee, policy director at the Campaign Legal Center in Washington, a nonpartisan group that monitors campaign finance and ethics issues. “Members of Congress should not be allowed to have these links. They provide another pocket, and a very deep pocket, for special-interest money that is intended to benefit and influence officeholders.”

Not all caucus members support the donors’ goals, and some issues, like a debate last year over whether to ban menthol cigarettes, have produced divisions.

But caucus members have attracted increasing scrutiny from ethics investigators. All eight open House investigations involve caucus members, and most center on accusations of improper ties to private businesses.

And an examination by The Times shows what can happen when companies offer financial support to caucus members.

For instance, Representative Danny K. Davis, Democrat of Illinois, once backed legislation that would have severely curtailed the rent-to-own industry, criticized in urban districts like his on the West Side of Chicago. But Mr. Davis last year co-sponsored legislation supported by the stores after they led a well-financed campaign to sway the caucus, including a promise to provide computers to a jobs program in Chicago named for him. He denies any connection between the industry’s generosity and his shift.

Growing Influence

The caucus started out 40 years ago as a political club of a handful of black members of Congress. Now it is at the apex of its power: President Obama is a former member, though he was never very active.

Its members, all Democrats, include the third-ranking House member, Representative James E. Clyburn of South Carolina; 4 House committee chairmen; and 18 subcommittee leaders. Among those are Representative Charles E. Rangel, chairman of the Ways and Means Committee, and Representative John Conyers Jr., chairman of the Judiciary Committee.

There are hundreds of caucuses in Congress, representing groups as disparate as Hispanic lawmakers and those with an interest in Scotland. And other members of Congress have nonprofit organizations.

But the Congressional Black Caucus stands alone for its money-raising prowess. As it has gained power, its nonprofit groups — one an outright charity, the other a sort of research group — have seen a surge in contributions, nearly doubling from 2001 to 2008.

Besides the caucus charities, many members — including Mr. Clyburn and Representative William Lacy Clay Jr. of Missouri — also have personal or family charities, which often solicit donations from companies that give to the caucus. And spouses have their own group that sponsors a golf and tennis fund-raiser.

The board of the Congressional Black Caucus Foundation includes executives and lobbyists from Boeing, Wal-Mart, Dell, Citigroup, Coca-Cola, Verizon, Heineken, Anheuser-Busch and the drug makers Amgen and GlaxoSmithKline. All are hefty donors to the caucus.

Some of the biggest donors also have seats on the second caucus nonprofit organization — one that can help their businesses. This group, the Congressional Black Caucus Political Education and Leadership Institute, drafts positions on issues before Congress, including health care and climate change.

This means, for example, that the lobbyists and executives from coal, nuclear and power giants like Peabody Energy and Entergy helped draft a report in the caucus’s name that includes their positions on controversial issues. One policy document issued by the Black Caucus Institute last year asserted that the financial impact of climate change legislation should be weighed before it is passed, a major industry stand.

Officials from the Association of American Railroads, another major donor, used their board positions to urge the inclusion of language recommending increased spending on the national freight rail system. A lobbyist for Verizon oversaw a debate on a section that advocated increased federal grants to expand broadband Internet service.

And Larry Duncan, a Lockheed Martin lobbyist, served on a caucus institute panel that recommended that the United States form closer ties with Liberia, even as his company was negotiating a huge airport contract there.

The companies say their service to the caucus is philanthropic.

“Our charitable donations are charitable donations,” said David Sylvia, a spokesman for Altria, which has given caucus charities as much as $1.3 million since 2004, the Times analysis shows, including a donation to a capital fund used to pay off the mortgage of the caucus headquarters.

Elsie L. Scott, chief executive of the Congressional Black Caucus Foundation, acknowledged that the companies want to influence members. In fact, the fund-raising brochures make clear that the bigger the donation, the greater the access, like a private reception that includes members of Congress for those who give more than $100,000.

“They are trying to get the attention of the C.B.C. members,” Ms. Scott said. “And I don’t think there is anything wrong with that. They’re in business, and they want to deal with people who have influence and power.”

She also acknowledged that if her charity did not have “Congressional Black Caucus” in its name, it would gather far less money. “If it were just the Institute for the Advancement of Black People — you already have the N.A.A.C.P.,” she said.

Ms. Scott said she, too, had heard criticism that the caucus foundation takes too much from companies seen as hurting blacks . But she said she was still willing to take their money.

“Black people gamble. Black people smoke. Black people drink,” she said in an interview. “And so if these companies want to take some of the money they’ve earned off of our people and give it to us to support good causes, then we take it.”

Big Parties, Big Money

The biggest caucus event of the year is held each September in Washington.

The 2009 event began with a rooftop party at the new W Hotel, with the names of the biggest sponsors, the pharmaceutical companies Amgen and Eli Lilly, beamed in giant letters onto the walls, next to the logo of the Congressional Black Caucus Foundation. A separate dinner party and ceremony, sponsored by Disney at the National Museum of Women in the Arts, featured the jazz pianist Marcus Johnson.

The next night, AT&T sponsored a dinner reception at the Willard InterContinental Washington, honoring Representative Bobby L. Rush, Democrat of Illinois and chairman of the House subcommittee that oversees consumer protection issues.

The Southern Company, the dominant electric utility in four Southeastern states, spent more than $300,000 to host an awards ceremony the next night honoring Ms. Lee, the black caucus chairwoman, with Shaun Robinson, a TV personality from “Access Hollywood,” as a co-host. The bill for limousine services — paid by Southern — exceeded $11,000.

A separate party, sponsored by Macy’s, featured a fashion show and wax models of historic African-American leaders.

All of this was just a buildup for the final night and the biggest event — a black-tie dinner for 4,000, which included President Obama, the actor Danny Glover and the musician Wyclef Jean.

Annual spending on the events, including an annual prayer breakfast that Coca-Cola sponsors and several dozen policy workshops typically sponsored by other corporations, has more than doubled since 2001, costing $3.9 million in 2008. More than $350,000 went to the official decorator and nearly $400,000 to contractors for lighting and show production, according to tax records. (By comparison, the caucus spent $372,000 on internships in 2008, tax records show.)

The sponsorship of these parties by big business is usually counted as a donation in the caucus books. But sometimes the corporations pay vendors directly and simply name the caucus or an individual caucus member as an “honoree” in disclosure records filed with the Senate.

(The New York Times Company is listed as having paid the foundation $5,000 to $15,000 in 2008. It was the cost of renting a booth to sell newspapers at the annual conference.)

Foundation officials say profit from the event is enough to finance programs like seminars on investments, home ownership and healthy living; housing for Washington interns; and about $600,000 in scholarships.

Interns and students interviewed praised the caucus.

“The internship for me came at a very critical moment in my life,” said Ervin Johnson, 24, an intern in 2007, placed by the Justice Department. “Most people don’t have that opportunity.”

Still, Ms. Scott, the foundation’s chief executive, said that members of the caucus’s board had complained about the ballooning bills for the annual conference. And some donors have asked that their money go only toward programs like scholarships. She blamed the high prices charged by vendors mandated by the Washington Convention Center.

Legislative Interests

The companies that host events at the annual conference are engaged in some of the hottest battles in Washington, and they frequently turn to caucus members for help.

Internet poker companies have been big donors, fighting moves to restrict their growth. Caucus members have been among their biggest backers.

Amgen and DaVita, which dominate the kidney treatment and dialysis business nationwide, have donated as much as $1.5 million over the last five years to caucus charities, and the caucus has been one of their strongest allies in a bid to win broader federal reimbursements.

AT&T and Verizon, sponsors of the caucus charities for years, have turned to the caucus in their effort to prevent new federal rules governing how cellphone carriers operate Internet services on their wireless networks.

But few of these alliances have paid off like the caucus’s connection to rent-to-own stores.

Some Democrats in Congress have tried to limit fees charged to consumers who rent televisions or appliances, with critics saying the industry’s advertisements prey on low-income consumers, offering the short-term promise of walking away with a big-screen TV while hiding big long-term fees. Faced with rules that could destroy their business, the industry called on the caucus.

In 2007, it retained Zehra Buck, a former aide to Representative Bennie Thompson, Democrat of Mississippi and a caucus member, to help expand a lobbying campaign. Its trade association in 2008 became the exclusive sponsor of an annual caucus foundation charity event where its donated televisions, computers and other equipment were auctioned, with the proceeds going to scholarships. It donated to the campaigns of at least 10 caucus members, and to political action committees run by the caucus and its individual members.

It also encouraged member stores to donate to personal charities run by caucus members or to public schools in their districts. Mr. Clay, the Missourian, received $14,000 in industry contributions in 2008 for the annual golf tournament his family runs in St. Louis. The trade association also held a fund-raising event for him in Reno, Nev.

“I’ll always do my best to protect what really matters to you,” Mr. Clay told rent-to-own executives, who agreed to hold their 2008 annual convention in St. Louis, his home district. Mr. Clay declined a request for an interview.

On a visit to Washington, Larry Carrico, then president of the rent-to-own trade association, offered to donate computers and other equipment to a nonprofit job-training group in Chicago named in honor of Mr. Davis, the Illinois congressman who in 2002 voted in favor of tough restrictions on the industry.

Mr. Davis switched sides. Mr. Carrico traveled to Chicago to hand over the donations, including a van with “Congressman Danny K. Davis Job Training Program” painted on its side, all of which helped jump-start a charity run by Lowry Taylor, who also works as a campaign aide to Mr. Davis.

In an interview, Mr. Carrico said support from caucus members came because they understood that his industry had been unfairly criticized and that it provided an important service to consumers in their districts.

While some caucus members still oppose the industry, 13 are co-sponsors of the industry-backed legislation that would ward off tough regulatory restrictions — an alliance that has infuriated consumer advocates.

“It is unfortunate that the members of the black caucus who are supporting this bill did not check with us first,” said Margot Saunders, a lawyer with the National Consumer Law Center. “Because the legislation they are supporting would simply pre-empt state laws that are designed to protect consumers against an industry that rips them off.”

The industry’s own bill, introduced by a caucus member, has not been taken up, but it does not really matter because the move to pass stricter legislation has ground to a halt.

“Without the support of the C.B.C.,” John Cleek, the president of the rent-to-own association, acknowledged in an industry newsletter in 2008, “our mission in Washington would fail.”

Ron Nixon and Griffin Palmer contributed reporting.