Posted on 04/02/2006 3:10:12 PM PDT by Eaglewatcher
With millions of Americans once again struggling to complete their federal income taxes, it is a good time to reflect on the profoundly dysfunctional and highly punitive federal tax code that only gets more complicated year after year.
The patchwork quilt of tax loopholes, exclusions, adjustments and various forms and schedules that we all struggle to understand is a reflection of the wholesale auctioning-off of the tax code over the last several decades at the hands of an army of powerful, well-heeled lobbyists. The hallway in front of the tax code-writing House Ways and Means Committee where they practice their lavishly compensated trade has even been dubbed ''Gucci Gulch'' in recognition of the $1,000 shoes worn by many lobbyists.
Tax policy is big business in Washington. Members of the House Ways and Means Committee and the Senate Finance Committee and their staff are routinely paid signing bonuses of $1 million and more when they join powerful Washington lobbying firms. Recent revelations about the clout of some Washington lobbyists pale in comparison to the real and hidden influence of tax lobbyists on both citizens' responsibilities to the national government and the nation's economic well-being. It is little wonder that these staffers and their bosses so passionately object to efforts to win fundamental reforms.
Unfortunately, Americans have learned to fear ''tax simplification'' because the tax code always gets more complicated in the lobbyists' hands. The code is so complex that even the Internal Revenue Service fails about half of the time to accurately answer taxpayers' questions, and even H&R Block has been fined for getting its own taxes wrong.
This complexity gives rise to another staggering $265 billion a year in tax compliance costs by legions of frustrated citizens and busy auditors, tax preparers, lawyers and corporate compliance specialists. Compliance costs alone represent a greater sum than the combined annual revenues of Sears, Walt Disney, Microsoft, Rite Aid and McDonald's. That honest citizens must spend so much time and money to comply with a federal law is an indignity that seems lost on many critics of a national sales tax.
As the founder of a national campaign to replace the income tax with a transparent, simple and non-regressive national sales tax, I have seen firsthand the lengths that both elected officials and the entourage fed will go to defend their turf. In recent deliberations by the President's Advisory Panel on Tax Reform, for example, millions of dollars of top-level research by recognized economists supporting the FairTax proposal was simply swept under the rug. The panel was charged with suggesting fundamental reform but failed to deliver under the leadership of two former U.S. senators -- both of whom work in firms lobbying the tax code.
When we began our work at FairTax.Org, we naively thought our common-sense proposal of a national sales tax that eliminates the IRS, un-taxes the poor, favors American producers and is simple enough to be understood by a child would be welcomed by our elected officials. To date, more than 55 courageous members of the Congress agree. But, we have now come to understand that nothing less than a national roar of citizen condemnation will force reform.
Once upon a time our tax policy may have been intended to spur growth in segments of the economy while fairly funding the government. Today it is simply a lucrative Washington business that specializes in shearing taxpaying sheep while rewarding those wealthy enough to buy into the corrupt auction of taxpayers' wealth. This assault on taxpayers and the nation's best interests cries out for fundamental reform.
Leo Linbeck is chairman of Americans for Fair Taxation, a national organization seeking replacement of the income tax with a non-regressive sales tax.
which is why we have to have a loud REVOLT - MAKE it an issue and make them have to publicly defend the IRS and the income tax.
We have a big election year coming in 08 - maybe the most crucial one we'll ever have. MAKE it a campaign issue!
If we're going to just sit back and wait for Washington to do it - we don't deserve a break. Government OF the People means more than electing people and then sitting around sucking our thumbs and whining.
Could it be because we're all so quiet about it?
We send them to Washington, supposedly, to "represent" us - to do what we want them to do. If we don't demand this, loud and clear, why should they stick their necks out?
If we make a big enough noise, the just may sit up and take notice. All it takes is for politician to take it on and get face time on TV - and others will be clamoring to one up them.
But we have to let them know we're behind it
I'm confused on this one. Our income taxes already go to DC - and a portion comes back - why would that change
In addition, with the increase in jobs, productively, money in pockets for purchase, - MORE money would be going to DC - and we could demand a proportionate share back
The second project has a lot to offer the FairTax grass roots movement. One of the best and fastest ways to success of a goal is to emulate or model someone or something that is already successful. That's what LEAP is doing. They've implemented a very effective grass roots model.
John Linder in the House(HR25)
& Saxby Chambliss Senate(S25
know we're behind them - and contact each of our congress critters and senators with a heads up that we expect THEM to get on board.
It's said we get the kind of government we deserve. Well, If we don't stand up and fight for this, we wont get it -and wont have deserved it.
NOW is the time to SHOUT - our reps wont do a d*mn thing if they don't think we're behind it.
Linder and Chambliss are giving us a shot. It's time for a tax revolt.
"Together we stand or we fall apart" m.t.
You're right. A national sales tax would be terrible. It would be better to adopt a flat income tax, have everyone pay the same percentage of their income. Most states already have sales taxes, adding a federal sales tax would just make goods and services ridiculously expensive.
Exactly - no prebate - they pay from dollar no. one that they spend - 11 million of them! That alone would give a huge boost to the economy
Businesses and states are overwhelmingly opposed to a national sales tax.
You're wrong about business. And states are servants to the people, not masters.
The FairTax clears the way for tremendous growth in new jobs. The following quote from Rep. Bill Archer, Chairman, House Ways and Means Committee is astounding...
"A recent survey was done, in Europe and Japan, of the major corporations and I was astounded at the results. They were asked, 'If the US abolished its income tax and went to a sales tax, would that have any impact on your decisions?' Eighty percent of the corporations said they would build their factories in the United States of America. Twenty percent said they would move their international headquarters to the United States of America."
I have seen those and remain unconvinced.
Right now many states do not collect sales tax on "services".
I prefer a uniform flat tax with a deductions for Retirement Accounts and Homesteads. (ONE not ONE and a summer home/boat/motorhome)
Join in the FRay, then, and help us giterdone!
Standing on the sidelines looking on will not advance the cause of FReedom one iota!
Schadenfreude!
REad the legislation -- H.R. 25 and/or S. 25.
Then come back to the forum when you have some useful information.
All the more reason for term limits at every level; two 3 year terms in the house, two five year terms in the senate, then back home! Add the requirement that all political contributions be anonymous (can't sell influence to an unknown buyer) and maybe we start getting it under control.
Then, it is time to rejoin our movement!
We can do this, but we need your help!
but if you are an illegal - you wont get the rebate and you'll be paying taxes, finally, and from the get go.What if you are a "guest worker"?
Things will change when enough Real Americans get off their asses and get to work on the tax problem we have!
Care to join us?
Welocome aboard!
Ignore YN -- she and a few other naysayers have been fouling these tax threads for years.
So, I gather you and your wife are ready to support the FairTax?
BTW, I'm self employed and had to write a huge check to the U.S. Treasury. I get seriously pissed off this time of year.
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