> “simplified tax code where a flat rate is applied to all income”
Sorry, but the USA has had FIVE flat taxes, and I mean flat income taxes, in its history beginning with the Lincoln income tax of 1861. Each of these flat income taxes ‘morphed’, ‘evolved’, ‘mutated’ into a graduated income tax. The SCOTUS struck down some of these income taxes because they were unconstitutional and others ‘sunsetted’ and were not renewed because they were unpopular. It took the 16th Amendment to get the Flat Income Tax of 1913 (with a tax code of only 14 pages) to be constitutional.
Here’s what you should take away regarding a ‘Flat Tax’:
A FLAT TAX NEVER STAYS FLAT!
Why you may ask? The answer is the 16th Amendment. In order for a flat tax to be legal it needs the 16th. But the 16th enables Congress to do whatever they want with taxes.
So as in every ‘good intention’, the Flat Tax leads to Hell after cycling through a few Congresses.
A Flat Tax needs the 16th and the 16th allows politicians to ‘unflatten it’.
What is much much better is to repeal the 16th and pass a consumption retail tax with a floor on application meaning no tax on the spending for consumption of essentials. This ensures a regressive excise tax doesn’t kill elderly and disabled folks on fixed incomes. CBO and JCT do a great job in determining the level of spending for essentials. Actuaries are friends here.
Look up HR 25. It’s introduced in every new Congress and has 5X more support than any flat tax.
Remember, the flat tax is still an income tax. In fact, it is a cancer cell waiting to metastacize. It always does without fail.
*** “Remember, the flat tax is still an income tax. In fact, it is a cancer cell waiting to metastacize. It always does without fail” ***
Exactly and that plan leaves the IRS in place.
I’m leaning towards State Sales Tax and The Fed suggests an amount due from each State via a Census, My Congress Critter would have much more on his plate than Re-Election.
Get the Fed out of the Food Stamp and Welfare Business as well. (vote buying schemes)
Social Security needs to be GONE as well (see Galveston TX and many State Employee and Teacher plans that do not participate in Social Security that work very well)
my feeble memory sparks a little and reminds me too that the 16th NEVER received ALL the necessary ratifications by the various states ergo it is not a legal Ammendment according to the Constitution.
Anyone feel free to chime in here but I believe this is a true, or close to true, statement.