Posted on 09/15/2015 9:59:37 PM PDT by entropy12
Conservative Presidential candidate Donald Trump is a smart businessman. He works hard, and does whatever he can to pay the minimal amount of taxes to President Barack Obama.
Now, as Trump announced in his book “Time to Get Tough: Making America #1 Again,” we learn Donald Trump’s bold and specific plans to completely restructure America’s tax code. And after the changes are made, every American will end up paying lower taxes.
Called the “1-5-10-15” income tax plan–this will likely form the basis of his presidential campaign. Tax proposals consist of the following:
* Those making up to $30,000 will pay 1 percent.
* Income from $30,000 to $100,000 results in a flat 5 percent.
* $100,000 to $1 million income will be taxed at 10 percent.
* On $1 million or above will be taxed 15 percent.
(Excerpt) Read more at thepoliticalinsider.com ...
“Top EITC is around 3.6k.”
Top EITC was $6044 in 2014. With refundable child tax credits and no income tax withheld (because they are not making enough), I’ve seen “refunds” in the $8,000+ range.
Tell 10 million low income people that they will pay $300 in taxes under Trump’s plan instead of getting a $6-8,000 “refund”, and see how many vote Democrat in 2016...
Every tax preparer I know favors either a flat tax or enormous changes in the tax code. It seems every rule has a thousand exceptions.
Of course, it isn’t just the tax code. A guy I knew built up a trucking business until he realized any further expansion would require him to hire a full time person to work on compliance with things like family leave, OSHA, etc. He had a 4th grade education and a ton of street smarts...so he sold his business to a large trucking company and retired.
You are right. As long as the income tax itself remains, the complexity of the tax code remains as well, regardless of the rate.
A flat 10% sales tax would be optimal IMO. That way, it is in the government’s best interest to allow the economy to grow. Why 10%? Because God only asks for 10% and the government should not need more than God. If that is not enough money, then they need to start cutting back on what they spend.
I would go further, and say that expenditures should be based on the previous year’s revenue, so they know how much they can spend.
Trump has already described his tax plan in speeches very recently. The official plan due to be published in 3 week period.
Do you understand carried interest on stocks? I am almost certain you do not. Otherwise you would not make a post exposing your lack of understanding that item.
Under Trump’s plan, tax benefits for hedge fund operators will disappear. Result will be they will not be able to get away with paying smaller tax rate than middle class.
I never said they are NOT. They are just calculated differently than federal income tax, as I described in my post. You do not use form 1040 to figure FICA tax. That is the difference. And for low income people, FICA tax rate is always higher, as I said in my previous post.
That is exactly the reason I retired at age 57. My yearly tax dropped $30,000 after retirement. Currently, my total taxes are only about 25%. A big drop from 60%.
I like to help poor people with my own tax money. Id that OK with you?
Read my previous posts about example of a single mother. I would rather incentivize her to work instead of going on welfare, which she will do if she has to pay same tax rate as a multi-millionaire.
Looks good on paper, but impossible to get through congress. Politically impossible. No point is spending effort on anything which is impossible.
This is the tax plan from his book. I believe he plans on releasing one that is more comprehensive but it is not on his website yet.
One of the benefits of a simple tax plan like this is that the IRS can be downsized and at some point then eliminated.
That would be a step towards cutting government spending.
A 1% to 3% (tops) national sales tax could in fact make up any difference in lost revenues if need be.
I like this because even the most tax ignorant moron such as myself can see that this would work.
Most importantly Trump can sell this as “fair” and the socialists and one-worlders are all about “fair” aren’t they?
With all due respect entropy12, I wouldn’t bet on it. It seems that law schools are indoctrinating students with post-FDR era, state sovereignty-ignoring ideas.
No, because it isn't just your tax money, it's mine. And doing so is a usurpation of power. It's unconstitutional.
“I cannot undertake to lay my finger on that article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents.”
-- James Madison, the father of the US Constitution
As my previous post on this thread indicates, I'm not in favor of keeping the income tax as it stands regardless of how the rates are set in the law. (A big mistake was made when we didn't demand that the rate structure itself not be included in the amendment itself that authorized the income tax). As long as we have to provide information to the IRS regarding our income, the abuses coming from the IRS will continue.
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In 1913 the 16th Amendment to the U.S. Constitution was ratified. It was a fairly short amendment, as such things go, weighing in at a whopping 30 words. It reads as follows:
It was a simple little thing, with rather large consequences for the republic. Prior to the income tax being instituted, the United States government managed to fund itself with various excise taxes, and duties on imports. Afterwards, such taxes pale into insignificance to the revenue generated by the income tax. Those of us who actually pay taxes are familiar with the 1040 form. It was way back in 1913 that the IRS (Infernal Revenue Service) unvelied this form. The modern form (PDF) is a two page document that requires an instruction manual that is 104 pages long. This does not include all the ancillary schedule forms and their associated instructions. The 1913 form (PDF) was actually longer, being three pages in length, however the instructions were printed on a single page of paper. Back in 1913, there were 6 tax brackets.Those making under $20,000 per year paid no tax. According to this inflation calculator, $20,000 in 1913 was equivalent to $435,543.79 in 2010. This first $20k was subtracted from your income so even if you made $30,000, you were only taxed on the last $10,000 of it. The rate was a whopping 1%. So, let's take that hypothetical person who made $30,000 in 1913. He would have paid $100 in taxes on it. If you run that through the above inflation calculator, you'll see that it would be equivalent to $2177.72 today. Well, that sounds like a lot of money until you consider that what that really means is that in today's dollars, someone would have to make $653,315.69 per year to pay that $2177.72 in income tax. How do you like them apples folks? |
Once again, the 1913 1040 form as a PDF.
Thanks for the information.
Don't some of these folks run around defining themselves as "conservatives" on a daily basis? Be very suspect of some these folks alleged positions. As they repeatedly claim they're "conservative", yet make comments nearly identical to what the MSM and those in D.C. parrot.
Suddenly these same exact folks use words like, "He should tone it down, he's a clown, he should allow himself to be attacked on an daily bases, he defends himself too much" and then post every MSM hit piece they can find on Trump. It just goes on and on.
To be honest, I find most of these folks to be impostors and frauds.
100 percent agree. I also agree something needs to be done with the entire out of control tax machine. We have to start somewhere. With the, "Keep it business as usual" frauds, it never will.
The frauds in D.C. have created a chaotic bureaucratic, "Tax industry". This is a great start to bury that evil.
Better, but still not good enough.
Still keeps the IRS
Still anti 4th/5th...
Not everyone has skin-in-the-game
Still completely mandatory (slavery by degree)
Does nothing to D.C. (starve the beast) budget(s)
Go with a flat-rate consumption tax that’s NOT revenue neutral (akin to the Fair Tax), on all NEW purchases w/ tiered ‘payments’ (x => biz => State => Fed).
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