We need a plan that eliminates the IRS and lets me go around firing IRS agents so that I can see them driven before and hear the laments of their women.
My taxes would go down significantly. I’m for any plan that lowers taxes and simplifies the tax code.
No doubt both the flat (i.e., income) tax and the VAT will start relatively low. The problem is that they will both creep up, and in a decade or two, we’ll be paying European tax rates. It’s better to have one or the other, but if you have both...you will pay, and BIG TIME.
No VAT under any circumstances. Look at the European experience—it’s a license to steal at every level of production. it would be a nightmare.
Efficiency in revenue raising is one thing... but the big dog is reducing spending, IMHO.
No VATs! No way. No how. Period.
Which is just as important as the tax cuts, and I'm looking forward to Senator Cruz presenting his plan for them.
http://taxfoundation.org/blog/ted-cruz-s-business-flat-tax-primer
It’s not a sales or consumption tax on business. It’s essentially a “flat” payroll tax.
I’d prefer the Fair Tax. If we’re going to substantially alter the tax code, let’s go large and get rid of income taxes altogether.
But. I despise VAT taxes because it’s a hidden tax on consumption. It’s a way for governments to hide their effective tax rates because it only taxes profits and nobody is going to disclose those.
This flat business tax is also hidden because it taxes payrolls and no company is going to disclose its payroll either. However, in this case this tax is replacing business and payroll taxes that are already not disclosed in the price of a product. It not different than what already exists.
One big benefit of the idea, it makes infrastructure investment tax free.
I’d prefer Cruz’ tax plan to what we have now. That said, I’d prefer the Fair Tax to Cruz’ plan.
Now that kind of plan would make big government much bigger at first. Then, the market collapses leading to bond collapse.
Not just NO, HELL NO. VAT is the easiest tax in the world for the Political Machine to play games with.
Nope, no VAT
I like this in theory.....it eleiminates the underground economy and forces everyone to pay taxes...while rewarding capitol!!!
When government taxes something, it also implies the power to require auditing and to investigate for evasion. Any tax on income allows government to destroy your privacy, to make you prove that the dollar in your wallet was properly reported and taxed. This is why I favor abolition of the income tax entirely and to levy taxes upon sales alone.
One of the causes of our overbearing government comes from the fact that the full cost of government is not sufficiently tangible to enough citizens. A sales tax would restore that necessary social and political feedback mechanism.
When Cruz announced it on the debate stage I was initially supportive. But after hearing his corporate tax is actually a VAT I am opposed. Under no circumstances should we adopt a VAT. I appreciate what Cruz is doing but a VAT is essentially a hidden tax and the Democratic Party would have a field day raising it the second they got back in.
If you want to “eliminate the IRS” as we know it, you have to eliminate deductions on personal income. You push the responsibility for collecting taxes to the employer, who is already withholding the money. With a simple table, the employer withholds the proper amount, and there is no question because your withholding is the same as anyone else’s at your salary.
If they withhold the wrong amount the responsibility is theirs, not yours. You never file for taxes. You just fill out the form when you go to work, and never again the rest of your working life.
Thats how it works in other countries; the idea that you have to hire accountants on a salary income is preposterous.