All money not taxed is a ‘handout’? Actual handouts aren’t?

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Washington Post’s Wonkblog makes a good point this week: Many government programs are effectively transfers to the wealthy. But the wonks at Wonkblog make that point in a very unusual way. They pick mostly on tax deductions, rather than actual handouts. I agree tax breaks often ought to count as subsidies — some are even rightly called “handouts” (such as refundable tax credits).

But Wonkblog picks the weirdest tax policies to get upset about. Some of these aren’t even deductions, but just taxes that aren’t levied that the wonkbloggers wish were levied — a definition of “handout” with no logical limit.

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