• With: Charles Payne, Charlie Gasparino, Dagen McDowell, Ben Stein, Stephane Fitch

    DISCLAIMER: THE FOLLOWING "Cost of Freedom Recap" CONTAINS STRONG OPINIONS WHICH ARE NOT A REFLECTION OF THE OPINIONS OF FOX NEWS AND SHOULD NOT BE RELIED UPON AS INVESTMENT ADVICE WHEN MAKING PERSONAL INVESTMENT DECISIONS. IT IS FOX NEWS' POLICY THAT CONTRIBUTORS DISCLOSE POSITIONS THEY HOLD IN STOCKS THEY DISCUSS, THOUGH POSITIONS MAY CHANGE. READERS OF "Cost of Freedom Recap" MUST TAKE RESPONSIBILITY FOR THEIR OWN INVESTMENT DECISIONS.

    NUMBER OF AMERICANS PAYING NO TAXES IN GROWING

    CHARLES PAYNE: It is outrageous, and one of the things that no one talks about though Neil, the more outrageous aspect of this is we talk about this big communal pot of money and the people who take the most out of it are putting nothing in it. I don't understand the notion of everything being fair and yet the lion's share of this is whether it's some dependency programs, the fire department is always in your neighborhood, the police department is always in your neighborhood, youth services is always in your neighborhood. You're taking all the resources out of the pot and putting nothing in yet everyday the president is brow bating those who put it in the pot, I don't get it.

    DAGEN MCDOWELL: We should point out that people do pay payroll taxes and sales taxes and other taxes. But, to Charles' point that it becomes very problematic when you have 1 out of 5 Americans receiving some form of federal assistance and then half of Americans are paying no income tax, so you have almost half the population are voting in people who are then going to increase without paying any taxes then increase those entitlements and problem is, anytime you talk about broadening the base and making people pay a little bit of tax, somebody on the right or the left is going to talk about well you're raising somebody's taxes... that's what's going to get in the way of real tax reform.

    CHARLIE GASPARINO: Poor people pay taxes too in certain ways we have to remember that, if you take a certain zip code in NYC like the Upper East Side, you wouldn't believe how much of federal taxes that they pay, it's tremendous. The 1 percent of the 1 percent they pay a lot of taxes.

    BEN STEIN: Well, their not paying anything at all because they are called poor or barley getting by. An awful lot of people have no retirement income, no retirement savings and living paycheck to paycheck. The rich have so much money they can't afford to pay more taxes.

    STEPHANE FITCH: Listen, here's what ridiculous Neil is, you're a good bloke and we all are we all want working people in the country to do well but I think were a little bit living inside the medium. The half of the damn country is actually poor or nearly poor that's what the census bureau reads and recently reported, that is true half the country is getting by on less than and were talking about families of 4 getting by on less than 40k a year you're talking about after paying rent you're talking about families of 4 getting by on $500, $400 dollars a week. That's the exactly truth look at the recent study that's the census bureau talking, not me. Look at these folks are getting by on. If it makes you feel better to make them pay a few bucks in income tax, I get that sentiment. I think to give a sense of fairness, sure. Have everybody contribute but let's not kid ourselves, we've got to wake up to the fact that half of the country is either in abject poverty or nearly poor.

    UNIONS SET TO SPEND $400 MILLION TO HELP ELECT DEMOCRATS

    DAGEN MCDOWELL: Of course the unions are going to spend money because they are relying on president Obama and the democrats to increase their power. It was car checked but they have gotten a long way with this administration including the national mediation board who makes it easier to unionize. But on top of that, it's okay to super Pac money as well president Obama bashes the republicans then says it's alright for my cabinet members and senior aides to speak at these super Pac events that are backing him, so he will take money wherever he can get it at this point.

    CHARLIE GASPARINO: There is nothing wrong with unions giving this money. This is good they are part of the process. I think this is a medium bias story. This to me is like the NY times writing about every rich fat cat giving to Romney and Santorum and Gingrich and ignoring the huge potential of public sector unions which I think is a huge problem to begin with you know having a big public sector union who can put people in office who can then turn around and give them these gold plated pension deals. So, there's nothing wrong with this, it's just the media won't cover it fairly.

    CHARLES POWELL: There is a difference because I know union members who are upset that their money is taken from them from union memberships and given to candidates they don't back. You know what; in a super Pac people voluntarily give their money. Bill Mark gave a million dollars to Obama this week that was his right to do. Oh by the way he's against super PACs, Obama is against super PACs but keep the money coming in. The bottom line is though maybe unions may need a union just do that their money is distributed where they want it to go.

    STEPHANE FITCH: I don't have as big a problem with union super PACs cause union super PACs represent millions and millions of Americans and millions and millions of Americans spending their money to have their political voice heard doesn't bother me as much as say Sheldon Adelson spending his one hundred million bucks to have his voice heard, that democracy and I don't have a problem with large crowds of people speaking up.

    BEN STEIN: There is nothing wrong with unions, they are perfectly legal. I think being in a union is a great thing, I can tell you as the only union member in this group. There is nothing wrong with them spending their money their on their knees, they are being beaten to a pulp by foreign competition and mechanization industry you can expect them to try every measure to try and protect their strength; it's not going to work.

    CRITICS: EXPANDING PAYROLL TAX COULD UNRAVEL SOCIAL SECURITY

    BEN STEIN: Ridiculous, this is a normal market fluctuation in the price of oil caused by tension in the middle east there's going to be a war there sooner or later. Normal price fluctuation why should we borrow from our grandchildren and endanger social security over a normal price fluctuation it's pure bolshevism.

    STEPHANE FITCH: Yea, I mean I'm with Ben on this one. This is just the ravings of a political nobody we should ignore them but I tell you what we might do is consider a fill-in tax when gas does as it always will drop back to 3 bucks a gallon start throwing some taxes on that start using that tax money to start paying for bridges and highways that really need fixing.

    CHARLES POWELL: California, New Jersey, New York state tax on gas is fifty cents then you add the eighteen and a half federal. First of all the payroll tax cut we already have costs $10 billion a month already, this is money we have got to pay back were borrowing this money, social security is already bankrupt. It's nuts, this is crazy.

    DAGEN MCDOWELL: Charles, to that point out... roads need fixing so you are getting a tax break by them not raising the federal gas tax which hasn't gone up since the mid-1990s you got all these pot holes everywhere and they aren't getting fixed.

    CHARLIE GASPARINO: I think the republicans problem was not the cave it was actually engaging in the argument they should have never gotten it they should have just cut the thing and to honest with you I don't have a problem with cutting taxes I'm for smaller government I would like practices of all types to go down.

    COMEBACK STOCKS

    CHARLES POWELL: Clean Harbors (CLH)

    STEPHANE FITCH: Boston Properties (BXP)

    BEN STEIN: Norfolk Southern (NSC)