Posted on 06/18/2015 6:13:49 AM PDT by GIdget2004
Sen. Rand Paul (R-Ky.) wants to gut the U.S. tax code and instead install a flat tax, insisting such a plan would turbocharge the economy and be fairer for average taxpayers.
Paul, whos running for president in 2016, would put into place one 14.5 percent rate for individual, business and investment income, and remove all but a couple of the tax breaks currently on the books. The current top rate for individuals and many small businesses is near 40 percent, while the corporate rate tops out at 35 percent.
Taxpayers would get to keep the deductions for home mortgage interest and charitable deductions under Pauls plan, and would also not have to pay any payroll taxes. Plus, the gift and estate taxes would be scrapped, and the first $50,000 of a family of fours income would be exempt from taxes. All in all, Paul says it adds up to the biggest tax cut in U.S. history reducing revenues by some $2 trillion over the first decade. The Kentucky Republican, who once proposed a budget that would balance in five years, says that his broader fiscal plan would actually reduce the federal debt, given the amount of spending cuts he proposes.
And he maintains that his tax plan alone would increase the size of the economy by 10 percent over a decade and create 1.4 million jobs, citing analysis by the free market Tax Foundation.
(Excerpt) Read more at thehill.com ...
Sure do, why?
oh for two......estate and gift taxes are only a tiny bit of accounting and attorney tax issues.....and to say that a simpler tax system (whatever it is) would INCREASE the avoidance costs compared to today is just a non starter.
Because if you knew what a business deduction was, there would be no way you would support doing away with business deductions. I’m not talking about the abuse of deductions, I’m talking about the generic notion of business deductions.
His tax plan ALONE. That doesn’t include other normal economic growth.
Reading comprehension... it’s your friend.
Theoretically true if you eliminate all deductions, although I'm sure good accountants could still manipulate "income" for businesses - large and small. As long as you allow deductions you'll have tax accountants.
I take it you’re gunning for some long, drawn out debate to ‘prove’ your pointless point of view?
Thanks but I have better things to do with my time.
I’m sure there are other here willing to play volleyball with you. Good luck and do your best!
I take it you’re gunning for some long, drawn out debate to ‘prove’ your pointless point of view?
Thanks but I have better things to do with my time.
I’m sure there are other here willing to play volleyball with you. Good luck and do your best!
In other words, you admit defeat on business deductions? And you don’t want to debate. No, wouldn’t want to do that on a message board, now would we?
(bless yo little heart)
And you think that’s impressive? Wow.
Okay, fat boy, what’s your position?
Wrong, each household's first $50K is exempted from tax. Median household income in the US is $51969, so just under half the households pay nothing. We're already in a system like that. I'm all for fixing the tax code, but this doesn't give everyone some skin in the game.
FAT BOY? Dude, where did you get that?
But even in light of your infantile and totally irrelevant, and ignorant insult, I’ll answer.
Position A: you don’t really know what a biz deduction is.
Position B: if you did, you wouldn’t be posting the way you are in this thread.
Position C: a business deduction is what comes off the top line - business expenses. In other words, if a business grosses a million dollars, but has employee, office, advertising and vehicle and healthcare costs of 900 thousand dollars.....you must think they should be taxed on the full million, not the 100 thousand of gross profit.
Position D: you won’t be able to respond intelligently to this, because you picked the wrong fight.
Actually a national sales tax is the only way to insure that all folk have skin in the game. Declare only a very few exceptions to the tax like basic necessities (like real, actual food, not simply anything that one can purchase at a ‘grocery’ store) and tax every purchase at the point where it will go to the ultimate consumer.
Get rid of both and the only deduction should be for health care expenses and health insurance, other than that, he is on the right track. Also tax div's and interest one time at the source, a-la Steve Forbes's idea....
Its a flat tax only that all income has the same tax percentage.... yet he goes down the rabbit hole with deductions, exemptions etc.
What he should propose is a 10% flat tax. No deductions. Everyone pays. EVERYONE. God only requires 10%, so that ought to be enough for the government too.
I wish he'd start talking about abolishing the Federal Reserve. EVERYONE understands there's something very wrong with banking policies in the US.
Repeal the 16th and go with consumption based tax.
Okay, no deductions. Then please fill out this business tax form:
ACME BUSINESS LLC:
Gross sales 1 million dollars
Payroll: 400 thousand
Rent: 100 thousand
Equipment: 200 thousand
Supplies, materials: 150,000
Software, office: 50 thousand.
Gross profit 100 thousand dollars.
So, does this business pay that flat 10 (or whatever) of a million, or of 100 thousand?
CannotWAIT for your answer.
I told you I know full well what a bus deduction is. How is that relevant to the flat tax issue?
I didn’t think you could articulate a position. Sorry, but you deserve the insult.
Get back to me when you get a clue.
Before I sign on, let's see the spending cuts that offset the revenue decrease.
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