Posted on 06/03/2013 9:36:15 AM PDT by neverdem
That’s a problem with blanket law, that while easy to understand, the more universal you try to make it, the more people just don’t fit. In an effort to be fair, injustice results, which is why there are judges.
There never has been a really good manner of taxation to fund the government. Perhaps the best we can hope for is a way that works for a while, before it needs to be changed.
Eliminate deductions entirely and there’s no problem.
Couldn't agree more.
It isn’t going to happen. Nothing short of a bloody revolution would abolish such agencies. The federal progressive income tax was instituted 100 years ago and after surviving that length of time practically unchallenged the government would consider it untouchable.
Unfortunately, I feel you're right and it's coming. However, our founders did leave us with a number of tools. In this case, IMO, a CC (Constitutional Convention) called by the states, while we still have a major majority of "Red States" might be able to pull it off, if for the sole purpose thereof.
I don’t understand why you should get a tax break for having kids, unless your goal is socially engineer higher birthrates. Having kids is a lifestyle _choice_ - should I get a tax break because I chose to buy an expensive car that gets 10MPG?
I am afraid a CC would only open Pandora’s box of horrors. Our Constitution was written by moral and enlightened men. That same calibre of men would not fill a CC today. Most politicians today are immoral and/or corrupt.
“But... that means the government would have to contract & spend less of our money.”
Or...it means the gov’t would have to allow freedom to reign so as to create the envornment for a robust economy, resulting in ever more tax revenues from that.
I know, it’s more fun for politicans to make serfs out of the people, take away their rights, and confiscate whatever wealth they can muster.
Agree or disagree, at least Cruz is bring the conversation to the masses.
Unlike the current CoC, who can't remember nuttin’.
You mean we don't have a Pandora’s box of horrors opened already???
What a relief!
A large problem is in deciding what is and isn't income. There have been proposals to tax an 'imputed rent' on the house you own. Of course, unlike owning real rental property, you don't get to deduct expenses or depreciation or set your own rental rate.
The IRS can keep everybody busy, all their agents, the CPAs, and the lawyers, just by tweaking the regulations every year on what is and isn't a deductible business or investment expense.
Then you have the problem of mission creep. Suppose we go to the FLAT tax, rather than fire any IRS agents, they'll be retasked to look for small income streams, such as garage sales. Sell your house to your kids, and they'll be auditing what it would have sold for on the open market to make sure you didn't low ball the sale.
The IRS would be somewhat limited in its access to personal information if we went to a sales (FAIR) tax. But they'd also be likely to start watching garage sales and other private party exchanges to make sure the tax was paid, just as would happen with a flat tax.
You really can't cure the government urge to mission creep, but I suppose you can whack that bush down to it's roots every now and then.
I’m all for a flat tax but how does it remain a flat tax when there are deductions?
To me the idea is to get rid of the manipulation capabilities and that is not possible with deductions.
I agree. Just a lower flat rate that is the same for EVERYONE across the board. No manipulation possible by anyone, anywhere, anytime. Everyone pays the exact same rate.
What about corporate taxes? Can you imagine the savings to corporations if the either didn’t pay tax at all, or just paid one simple flat tax rate?
Or even better , totally abolish the IRS and go with the Fair Tax. Either way, just keep it simple and no deductions as that is an invitation to corruption or influence by the IRS.
Defuding the federal government. I like it.
Yep. Cruz definitely has guts. I support my Senator 100% on this. He does need to watch his back...others who’ve even mentioned doing this have met *unfortunate circumstances*.
The 16th and 17th came in the same year. Evil twins!! They would have to be repealed together in order for any new taxation scheme to work. It is that simple.
1,000%...don't know why I didn't include that in my post.
That’s a rhetorical statement. There are no deductions under a flat tax, that’s the idea.
A flat rate across the boards is still a tax on income, which means you'll still have the hated 16th Amendment, and most probably, the IRS. I'd like to see a more fundamental shift in funding the government. One that shifts the burden from productive activities, to consumptive activities, i.e., the Fair Tax.
interesting
Sure, until Congress decides that lower income workers should pay less than 10% (or 0%), and higher income earners should pay more.
We'll be right back to the heinous progressive income tax in no time.
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