You’ve described the existing system very well. Not only unfair, its become abusive when the state is targeting people with certain political beliefs(ie. us).
The big improvement is simplicity. As I understand it:
0-30k 1% tax rate
30-100k 5% tax rate
100k-1million 10%
1million+ 15%
No deductions. To a large degree, this de-fangs the IRS.
It also makes the bottom 40%, who pay negative taxes, taxpayers, which is a basic level of a stakeholder.
This link below gives roughly the current status. You’ll see all types of breakdowns depending on the news outlet and who they are catering to. Not shown is the top 1% are paying 25% at present.
http://www.wsj.com/articles/top-20-of-earners-pay-84-of-income-tax-1428674384
Trump’s comments last week on the hedge fund scammers tells me he knows exactly what’s what. They pay capital gains rate on their yearly income.
Regardless, he’ll have a battle with this, like immigration. So many embedded interests, which is another reason an intelligent, informed outsider is a positive.
What are your thoughts?
I am much more interested it either a Forbes style “Flat Tax”, or a Huckabee style “Fair (Consumption) Tax”.
My preference is the latter. Like Huck said in the debate, it’s time pimps, hookers and drug dealers started paying their share also.
While I don’t support Huck for Prez, I think his tax plan makes the most sense.
It also eliminates the IRS. Something sorely needed in this country.
Eliminating the payroll withholding is something I want also. It’s the greatest scam ever pulled on American citizens.
Trump has been so bold about other things, why not this.
His Tax plan just seems very compromising to me, and I don’t get that from him.
If his progressive tax rates accompany a complete abolition of the Death Tax, and the Capital Gains Tax then I might soften some on it. The Hedge Fund guys don’t deserve to be double taxed no matter how they earn their living.
The same goes for any investor. If you put your already taxed income to work creating new jobs, and wealth in the marketplace why should your reward for that be penalized by a second taxation of the same money.
It mostly just worries me that anyone wants to see the IRS continue to exist after the fiasco we have just seen.
I like