[SoJoCo]

There goes the mortgage deduction. That ought to kill off the housing industry.

It also kills things like the 401K and IRA deductions. For a man who supports private retirement plans, slapping a tax on the money contributed is only going to discourage it.

[Atlas Sneezed]

It also kills things like the 401K and IRA deductions. For a man who supports private retirement plans, slapping a tax on the money contributed is only going to discourage it.

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The sales tax will encourage saving, and the low income tax will encourage earning, so people will have more money to save.

And nothing repeals the tax-protected accounts. You’re just avoid less pain by using them than you were before. But their benefits remain.

And additional saving beyond the plan limits will be more attractive under the reduced rates (no cap gains under 999!) Not to mention that it can be invested in things that aren’t easily found in an IRA, like your own business.