Posted on 09/29/2015 4:36:17 AM PDT by Cringing Negativism Network
Donald Trump describes his tax plan in a Journal op-ed, promising “four brackets: 0%, 10%, 20% and 25%. This new code eliminates the marriage penalty and the alternative minimum tax while providing the lowest tax rates since before World War II.” Mr. Trump adds that “this plan eliminates the death tax.” Also, he intends to “allow the middle class to keep most of their deductions while eliminating many of the deductions for the very rich.” And on the corporate side, “any business of any size will pay no more than 15% of its business income in taxes.”
http://www.wsj.com/articles/trumps-tax-plan-1443525711
(Excerpt) Read more at wsj.com ...
Ping for later.
I hear ya!
“Fair tax - is it 23% or 30% ?”
The HONEST answer is 30%, because that’s what you have to punch into the calculator to figure out the amount owed, like we do with any sales tax today.
23% is the fraction of the total bill. Totally deceptive.
“The only fair tax is a tax based upon consumption. Every state has one and it’s called a sales tax.”
The founding fathers understood this principle. This is one reason the federal government was funded with tariffs and duties until the Constitution was amended in 1913 (16th Amendment) to allow an income tax. Not only is a tariff a consumption tax, it is a tax on foreign factories desiring to do business in the US market. It can be considered an access fee for doing business in the US.
Lowering income tax rates is good economic policy. Lowering rates further, and raising tariffs, would be even better economic policy.
Well, no matter what anyone thinks about The Donald and his plan, he sure has us talking about it.
And that’s called Leadership.
“Well, no matter what anyone thinks about The Donald and his plan, he sure has us talking about it.”
He has the nation talking about many important policy issues. I find it amusing the press, and many political opponents, fault him for a lack of “specifics”. In truth he has been much more specific than the establishment favorites. Plus he has voters talking about issues the establishment of both parties want the electorate to ignore.
“I’m sure that drug dealers (and other nefarious types) are gonna pay sales tax. Not.”
Sure they will! They have to buy groceries, housing, utilities, vehicles and every other thing law abiding citizens buy for daily living expenses.
WHEN THEY DO......THEY PAY THE SALES TAX!
Didn’t think about that did you?
Your neighbor who does not report his income still pays the consumption tax when he buys toilet paper, fuel and any other thing that is purchased from a commercial enterprise.
That’s why the consumption tax is better for the simple reason that there is no way to avoid paying the tax. The more you make...the more you spend....and you pay the tax.
I guess common sense is not your strong suit.
So, let’s see: I don’t want to buy a book in Texas because the sales tax is 8.25% but I can buy it in some other state at a rate of 6.7%. Do I save money? Let’s see...
The book costs 15.00. The sales tax in Texas is $1.2375. The sales tax in the other state is $1.005. That’s a savings of $.2325. So, you save 23 cents but shipping to you costs $7.00. HOW MUCH MONEY DID YOU SAVE?
“I was just wondering how much more economic activity would be driven underground if the sales tax were to balloon to the point of funding things that are not paid by income taxes from the middle class.”
The beauty of a consumption tax is that the tax rate applies to everyone...and everyone knows what that tax rate is. Believe me, it makes no difference whether you are low income, middle income or wealthy, everyone pays the same rate.
Having said that, everyone knows what the rate is and if it rises to a rate that is out of control, “heads will roll” in government as the people throw them out of office and the rate will reduce to a justifiable level once again.
No need for the "common sense" insult. We're just talking here.
What in H3LL is fair about a 30% consumption tax? Or, as the UN-Fair Tax website miss-leadingly calls a 23% tax...
If I buy a $300,000 home I'm going to pay a $90,000 'consumption tax'? This whole Un-Fair Tax is total BS! I'd have to sell it for $390,000 to get my consumption tax back after I un-consume it...talk about inflation in real estate!
And think about the enormous Gov't waste in the agency that has to manage the 'Pre-Bate' $hit!
This Un-Fair Tax is a lot of smelly stuff that comes out of the Hind-Side of our horses...or from the disingenuous people proposing this stuff!
I don’t support the prebate idea. It was a political addition made for political reasons, which I think is misguided.
The 30% figure is simply what would be required to replace all current revenue from other sources, ie to be ‘revenue neutral.”
The sales tax makes that horrendous level of federal spending visible.
Which isn’t an argument against a consumption tax. It’s an argument against out of control federal spending.
An argument that won’t even be made if we continue to tinker with the Stupid Tax, which keeps that horrendous level of federal spending masked behind a gigantic wall of smoke and mirrors.
A critical problem Trump’s plan does not address and cannot and will not solve.
You didn’t address the horrendous inflationary pressure this will have on the real estate market.
Only new construction will be taxed. Buy an already built property and you will get off completely tax free.
As for that new construction, the massive costs of our current system are built into the price of every scrap of it now. It’s just hidden.
I agree with you. There are just too many nasty aspects to the Fair Tax for it to fly.
I was just trying to give a balanced answer to someone who wanted to know more about it.
I would bet that a 30% consumption is 'revenue inflationary' rather than 'revenue neutral'.
And I do not need to be slapped in the face with this Un-Fair Tax of 30% to know that gov't spending is out of whack. And what makes you and the other Un-Fair Tax people think that this will have any influence on reining in the out-of-control gov't spending?
> Didn’t think about that did you?
Sure I did. I was just trying to say - while giving a specific example - that there are lots of transactions that won’t be covered.
(s)What about my living PREBATE?(/s)
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