Iraq War – First In US History Not Paid For.

The Iraq War is second most expensive war in US history after World War II and the only war in US history not paid for by increased taxes. Rather than cutting spending or instituting a tax to pay for the war, Bush cut taxes and put the cost on the credit card. Here is how we used to pay for our wars:

Civil War: Increased tarrifs and instituted an Income Tax

Spanish American War: Instituted Telephone, Telegraph and Message Excise tax.

World War I: Instituted and increased Federal Income Tax, Re-instituted Telephone Excise tax.

Word War II: Increased all tax rates, reduced exemptions. Collections rose by 18 times between 1941 in 1945.

Korean War: 1950 and 1951, congress Increased taxes by 4% of GPD to pay for the war.

Viet Nam: 1968: Tax 10% Surcharge, Reduded to 5% in 1969