Monday, April 13, 2009

Fair Taxation?

Ari Fleischer writes here about the extremely lopsided burden of the federal income tax. BHO says the rich should pay their fair share. I agree. In my opinion, that would mean people who make more than $250,000 per year should get a tax cut. Check out the numbers in Fleischer's article then ask yourself what you think would be fair.

Mr. Fleischer calls for a simplified income tax code. It's been tried; it evidently can't be done. I'll go him one better. Get rid of the federal income tax and all payroll withholding taxes altogether. Let's raise the revenue with a national sales tax that we the people agree to let the Congress spend.

While I don't particularly like the name, the Fair Tax proposes a well researched alternative to the federal income tax that offers nothing but benefits for we the people.

Your Congress person may not like the Fair Tax (House Bill HR 25, Senate Bill S 296) because the Fair Tax would remove an enormous source of power for legislators to reward their friends and punish their enemies.

Members of Congress also don't like the idea of term limits, even though no single change would do more to return government to the people where it belongs.

A national retail sales tax is economically sound. Read this letter sent to the President, all members of Congress, and all members of the last presidential tax commission a couple of years ago to find out why.

If you would like to become "we the people" again,  tell your Congress person to support the Fair Tax or else find another job.

1 comment:

Fiddlinmike said...

The Fair Tax might well be a good solution to the current mess, but the full plan is still over most people's heads.

I'd like to see one move at a time. For example, keep the income tax concept, but lower the rates and eliminate all deductions. Achieve the "post card" simplicity of annual filing. Keep the progressive nature with the "rich" paying a higher percentage than the "poor" but make it a simple % for each income bracket.

Then implement a national sales tax, but at a lower level than the full-out Fair Tax, recognizing there is still taxation through income.

These would be very simple to understand steps in the right direction and could set up further movement towards the Fair Tax system.