The United States and the states must reform their tax structures to make it more equitable for everyone. Presently, Congress is just “fooling around with the numbers,” but not giving us tax reform, that means no IRS in the future.
Today, 40 percent of the people pay 90 percent of the taxes.
In addition, everyone wants to be excluded from paying any taxes by gaining special exemptions at the expense of other taxpayers.
This is social redistribution of wealth, and un-American and unfair.
The easiest way to redo the tax system is by making the 16th Amendment to the Constitution in 1913, the income tax, a flat tax of not more than 1.5 percent of a person’s gross yearly income. So if you made $10,000 a year, you would pay $150 a year and that is all. No tax returns and no taxing of your savings or any other taxes.
And, if you earned a gross income of $100,000 a year, you would pay an income tax of $1,500 per year. $1 million would pay $15,000. This tax would be taken out of your paycheck directly like FICA is and income tax presently is. So a flat tax for all.
There would be no other deductions, tax credits, or write-offs and no tax reporting. This would end the present outlandish tax code.
Your savings, Social Security, and stock profits would be yours and your stock losses would be yours, etc.
Companies would report their gross incomes through a CPA and submit a check for 1.5 percent of gross, no write-offs, no depreciations, no credits, etc.
All nonprofits would pay, meaning all religious organizations, the Sierra Club, the Farm Bureau, ACORN, AARP, the Democratic Party, Republican Party, unions, foundations, etc.—1.5 percent of their gross incomes! No exceptions, no excuses, no exemptions. Why should these hundreds of billions of dollars go untaxed at the expense of all of us middle-class taxpayers? There would be no exceptions at all. Yes, even God would pay!
Taxes could not be raised except by a supermajority in Congress, but only every four years if that, and for only .1 percent at a time if approved, and .5 percent maximum.
If this is not enough to run the government, then cut the government to fit the taxes. But, when everyone pays their fair share, there will be plenty of revenue. Americans are not here to pay for the government but to support themselves and their children.
Flat taxes being considered by other groups of 15, 17, and 30 percent are just too high and do not solve the American tax problem with their deductions and tax credits.
A small, fair tax for everyone is the solution! This is real tax reform.
This article appears in May 11-18, 2017.