In order to participate in the GunBroker Member forums, you must be logged in with your GunBroker.com account. Click the sign-in button at the top right of the forums page to get connected.

14.5% Flat Tax - Any Takers?

Don McManusDon McManus Member Posts: 23,672 ✭✭✭✭
edited August 2015 in Politics
http://www.wsj.com/articles/blow-up-the-tax-code-and-start-over-1434582592


14.5% Flat Tax, individual and corporate.

No Payroll Tax on individuals.

Not Revenue Neutral, depends upon growth to balance the budget.

All deductions except Home Mortgage and Charitable Giving eliminated.
(I disagree with this one. Renters should not be subsidizing home owners, and I see no need for anyone to subsidize another's choice of charities.)

Normal business expense deductions will continue, plus making permanent the ability to expense 100% of equipment purchases during the year of the purchase.

Earned Income Tax Credit is continued. This is a problem when payroll taxes are eliminated.

An interesting and seemingly serious proposal.

IMO, the flat rate should be revenue neutral on year one and a plan to reduce the debt should be in place before we talk about reducing Federal Revenue by $ 2 trillion over 10 years.

I know my son and probably my grandsons would appreciate a serious effort at reducing the debt.

Any thoughts?
Freedom and a submissive populace cannot co-exist.

Brad Steele

Comments

  • bpostbpost Member Posts: 32,669 ✭✭✭✭
    edited November -1
    It makes perfect sense, seems fair and is workable; therefore it will never happen. Too many goodies for special interests are built into the current tax code for any meaningful changes to happen.

    The US tax code and the IRS is the way it is because congress likes it that way, there is no other reason.
  • DaveJDaveJ Member Posts: 395 ✭✭✭
    edited November -1
    www.notaxdollarstoisrael.com

    How much could we lower our taxes if no money went overseas?
  • Don McManusDon McManus Member Posts: 23,672 ✭✭✭✭
    edited November -1
    quote:Originally posted by DaveJ
    www.notaxdollarstoisrael.com

    How much could we lower our taxes if no money went overseas?


    It is trivial compared to almost everything else.

    Why do you ask?
    Freedom and a submissive populace cannot co-exist.

    Brad Steele
  • Rack OpsRack Ops Member Posts: 18,596 ✭✭✭
    edited November -1
    You lost me at the deductions and credits.
  • Don McManusDon McManus Member Posts: 23,672 ✭✭✭✭
    edited November -1
    quote:Originally posted by Rack Ops
    You lost me at the deductions and credits.


    I agree. If you leave the door open for personal deduction, it will only open further and before long we will be back to where we are.

    Business deductions, obviously have to remain. Businesses need to be taxed upon net income, and the tax effect of equipment / real estate purchases will always be politicized.

    I believe that conceptually, Paul is off to a reasonable start. He is treading a path that may have enough acceptance to be discussed. IMO, however, we cannot afford to start with a negative revenue system. Our national debt is simply too great to ignore.
    Freedom and a submissive populace cannot co-exist.

    Brad Steele
  • wifetrainedwifetrained Member Posts: 1,229 ✭✭✭✭
    edited November -1
    quote:Originally posted by Don McManus
    quote:Originally posted by Rack Ops
    You lost me at the deductions and credits.


    I agree. If you leave the door open for personal deduction, it will only open further and before long we will be back to where we are.

    Business deductions, obviously have to remain. Businesses need to be taxed upon net income, and the tax effect of equipment / real estate purchases will always be politicized.

    I believe that conceptually, Paul is off to a reasonable start. He is treading a path that may have enough acceptance to be discussed. IMO, however, we cannot afford to start with a negative revenue system. Our national debt is simply too great to ignore.



    How about this Don;

    17% flat tax across the board

    All payroll taxes eliminated

    All deductions eliminated, no exceptions

    EIC discontinued

    Businesses can expense 100% equipment purchase during the year of
    purchase.

    Eliminate Capital gains and estate taxes.

    Coupled with "ACTUALLY" reducing spending by 5% annually and gradually increasing to 10% plus weeding out fraud, waste, abuse, and duplication etc.
  • pwilliepwillie Member Posts: 20,253 ✭✭✭
    edited November -1
    Sounds like you guys are smoking the pipe..[:o)]
  • Don McManusDon McManus Member Posts: 23,672 ✭✭✭✭
    edited November -1
    quote:Originally posted by wifetrained
    quote:Originally posted by Don McManus
    quote:Originally posted by Rack Ops
    You lost me at the deductions and credits.


    I agree. If you leave the door open for personal deduction, it will only open further and before long we will be back to where we are.

    Business deductions, obviously have to remain. Businesses need to be taxed upon net income, and the tax effect of equipment / real estate purchases will always be politicized.

    I believe that conceptually, Paul is off to a reasonable start. He is treading a path that may have enough acceptance to be discussed. IMO, however, we cannot afford to start with a negative revenue system. Our national debt is simply too great to ignore.



    How about this Don;

    17% flat tax across the board

    All payroll taxes eliminated

    All deductions eliminated, no exceptions

    EIC discontinued

    Businesses can expense 100% equipment purchase during the year of
    purchase.

    Eliminate Capital gains and estate taxes.

    Coupled with "ACTUALLY" reducing spending by 5% annually and gradually increasing to 10% plus weeding out fraud, waste, abuse, and duplication etc.


    I would agree with everything but the elimination of capital gains taxes. IMO, income is income is income. I have a problem with taxing the result of the investment of blood sweat and tears and not taxing the result of investment.

    Many make the argument that capital gains taxing is double taxation, but I find this to be a self-serving argument. The ROI is new money to the investor, and is no different than a paycheck for the investment of time. I have a hard time accepting that for some reason the investing of money is privileged when compared with the investment of time and labor.

    Also, I don't know what the number would be. If 17% is revenue neutral, I'm OK with it. If 14.5% is 200 billion a year shy, however, I would think that 17% is a little high.
    Freedom and a submissive populace cannot co-exist.

    Brad Steele
  • wifetrainedwifetrained Member Posts: 1,229 ✭✭✭✭
    edited November -1
    quote:Originally posted by Don McManus
    quote:Originally posted by wifetrained
    quote:Originally posted by Don McManus
    quote:Originally posted by Rack Ops
    You lost me at the deductions and credits.


    I agree. If you leave the door open for personal deduction, it will only open further and before long we will be back to where we are.

    Business deductions, obviously have to remain. Businesses need to be taxed upon net income, and the tax effect of equipment / real estate purchases will always be politicized.

    I believe that conceptually, Paul is off to a reasonable start. He is treading a path that may have enough acceptance to be discussed. IMO, however, we cannot afford to start with a negative revenue system. Our national debt is simply too great to ignore.



    How about this Don;

    17% flat tax across the board

    All payroll taxes eliminated

    All deductions eliminated, no exceptions

    EIC discontinued

    Businesses can expense 100% equipment purchase during the year of
    purchase.

    Eliminate Capital gains and estate taxes.

    Coupled with "ACTUALLY" reducing spending by 5% annually and gradually increasing to 10% plus weeding out fraud, waste, abuse, and duplication etc.


    I would agree with everything but the elimination of capital gains taxes. IMO, income is income is income. I have a problem with taxing the result of the investment of blood sweat and tears and not taxing the result of investment.

    Many make the argument that capital gains taxing is double taxation, but I find this to be a self-serving argument. The ROI is new money to the investor, and is no different than a paycheck for the investment of time. I have a hard time accepting that for some reason the investing of money is privileged when compared with the investment of time and labor.

    Also, I don't know what the number would be. If 17% is revenue neutral, I'm OK with it. If 14.5% is 200 billion a year shy, however, I would think that 17% is a little high.



    OK, I see your point on capital gains, but tax it the same as the flat rate.
  • RocklobsterRocklobster Member Posts: 7,060
    edited November -1
    I lean more towards a consumption tax. Say 20% on everything you buy, whether it's a pack of gum or a yacht. Food and utilities exemption for folks who earn less than $25k.

    All state and federal income taxes abolished; all imbedded taxes on stuff like gasoline abolished, no more "sin" taxes.

    IRS cut by 80%.
  • Tech141Tech141 Member Posts: 3,787 ✭✭✭
    edited November -1
    "Food and utilities exemption for folks who earn less than $25k."

    That would be mighty hard to prove at the 7-11 or local grocery store......
  • RocklobsterRocklobster Member Posts: 7,060
    edited November -1
    My printer will produce a legible copy of my W2 form in approximately 20 sec.
  • skicatskicat Member Posts: 14,431
    edited November -1
    My opinion is this problem is being approached from the wrong angle. I would begin by eliminating one by one all the entities which make up this out of control govt and which require endless funding. Start with the Dept of Energy and Dept of Education as easy examples. After we start that practice maybe we will get to a real amount to fund just enough govt to guarantee our freedom and protect our national sovereignty.
  • pwilliepwillie Member Posts: 20,253 ✭✭✭
    edited November -1
    quote:Originally posted by DaveJ
    www.notaxdollarstoisrael.com

    How much could we lower our taxes if no money went overseas?
    Ahhhhhh the "Jewish" question ???
  • spasmcreekspasmcreek Member Posts: 37,717 ✭✭✭
    edited November -1
    what nothing in there to benefit our special illegals...never fly
  • Waco WaltzWaco Waltz Member Posts: 10,836 ✭✭
    edited November -1
    How about stop wasting money then reduce the tax % to 10 and leave it there.
  • bpostbpost Member Posts: 32,669 ✭✭✭✭
    edited November -1
    quote:Originally posted by DaveJ
    www.notaxdollarstoisrael.com

    How much could we lower our taxes if no money went overseas?

    Dang near nothing; freebie handout entitlements and defense takes most of the budget. It is a drop in the bucket compared to those others.
  • slumlord44slumlord44 Member Posts: 3,702 ✭✭✭
    edited November -1
    Totally eleminaate income tax. Replace with 10% sales tax on all goods for everyone. Poor get equivalent of earned income credit. Never happen for all the already mentioned reasons.
  • gruntledgruntled Member Posts: 8,218 ✭✭
    edited November -1
    They did a very good job of simplifying the Income Tax back in the 80s. Then they quickly got busy messing it all up again.
    It's bad enough that they tax my Social Security would you have them tax it entirely at 14 or 17%? At 14% of all our income my taxes would go up by a factor of FIVE.
  • cbyerlycbyerly Member Posts: 689 ✭✭
    edited November -1
    Just another way to make the rich richer.
  • mogley98mogley98 Member Posts: 18,291 ✭✭✭✭
    edited November -1
    Stupid IMO.

    Our tax system is and should be progressive.

    A hotel housekeeper pays a smaller amount than a CEO, not only in dollars but in percentage of earnings.

    And if you need any proof of why it won't work look back to the "Great Depression"

    We are there again if not for Uncle Sam bailing out the wealthiest Americans we would have been there.

    Higher top tier tax rates help to control unmitigated greed.

    I know you will call me a Socialist

    BUT if that is the case we were a socialist country from 1933-1982.

    High top tier tax rates did not cause a lack of incentive.

    All the wealthy people did not move away

    America was considered by many to be the Greatest country in the world and NO ONE said we were a socialist country if I recall correctly

    Income inequality is real, and the lack of top tier tax rates has caused it.

    I'm not talking about taking someones money and giving to the ones who don't work I'm talking about making a environment where working Americans are not being pushed into poverty
    Why don't we go to school and work on the weekends and take the week off!
  • mogley98mogley98 Member Posts: 18,291 ✭✭✭✭
    edited November -1
    How about no taxes on any earnings considered a living wage. Approx 30K.

    If employers are not paying a living wage than let them pay the taxes that would be paid by those folks.

    Progressive tax after 30K

    10% for 30-50
    20% 50- 70
    25% 70-100
    30% 100-180
    35% 180-250
    40% 250-500
    55% 500-1 million
    75% on all income over a million


    Worked fine for 50 years and top was even higher than that.

    Companies would hire more workers since they can't spoon the cash into their own pockets without paying high taxes thereby creating more tax payers.
    Why don't we go to school and work on the weekends and take the week off!
  • bpostbpost Member Posts: 32,669 ✭✭✭✭
    edited November -1
    quote:Originally posted by mogley98
    How about no taxes on any earnings considered a living wage. Approx 30K.

    If employers are not paying a living wage than let them pay the taxes that would be paid by those folks.

    Progressive tax after 30K

    10% for 30-50
    20% 50- 70
    25% 70-100
    30% 100-180
    35% 180-250
    40% 250-500
    55% 500-1 million
    75% on all income over a million


    Worked fine for 50 years and top was even higher than that.

    Companies would hire more workers since they can't spoon the cash into their own pockets without paying high taxes thereby creating more tax payers.


    PROGRESSIVE TAX????? How is that "progressive" crap working out for us now? It was a dismal failure for 50 years, created a tax code full of corruption and favors. Nope, if the current buzz word is "fair" then fair is EVEN across the board, 5% or 15% I don't care, no deductions for investment income, no deductions at all for anything. If you made 60K at Ford your tax bill is ______. If you made 60K on investments your tax bill is EXACTLY THE SAME.

    Furthermore, how about a LOT less money going to the feds, starve the buzzards out make them eat their young, make them cut about $400,000,000,000 is useless unconstitutional departments and bureaucracies, STOP fighting wars for decades, bring our troops home. Then jail Reid, Dodd, Durbin, Pelosi, Hillary and Obama just to be spiteful and put a smile on my face... [:D]
  • mogley98mogley98 Member Posts: 18,291 ✭✭✭✭
    edited November -1
    Dismal failure? I think you are kidding yourself. We didn't have anywhere near the debt we have today and more Americans were working and the middle class was strong. The last 35 years have been the dismal failure of trickle down economics my good man.
    Why don't we go to school and work on the weekends and take the week off!
  • kimikimi Member Posts: 44,719 ✭✭✭
    edited November -1
    Carson's 10% idea sounds better to me that the 14.5% Flat Tax.
    What's next?
  • pwilliepwillie Member Posts: 20,253 ✭✭✭
    edited November -1
    I like it the way it is....I'm doing ok ,and don't want to change...I'm like Trump, I use the laws....[:o)]
  • pip5255pip5255 Member Posts: 1,625 ✭✭✭
    edited November -1
    quote:Originally posted by pwillie
    Sounds like you guys are smoking the pipe..[:o)]


    maybe it is a peace pipe and everyone wants to hash out all the problems together...................

    seriously guys this is the good ole USA the land of taxes so I'd have to say the government likes it that way so to change it we all would need to replace all of them at once to make it happen......
    just because you could doesn't mean you should
  • sxsnufsxsnuf Member Posts: 2,952 ✭✭✭✭
    edited November -1
    I'm with bpost!
    Flat 10% for everybody
    NO DEDUCTIONS FOR ANYTHING!!
    No business, no mortgage, no kids, no charities!
    Arrivederci gigi
  • 22Catch2222Catch22 Member Posts: 12
    edited November -1
    I'd like to see the elimination of the income tax completely. A consumption tax, along with the repeal of the income tax would be my preferred system of generating revenue.

    I'd also like to see the elimination of the state property tax and replaced with a consumption tax there as well.

    Obviously, the rate would have to be significant. However, so long as the property tax remains, you can never own property free and clear. I'd much rather be able to protect the property I manage to acquire without fear of ever having to lose it due to taxes.

    Whatever rate that requires, I'm willing to consider and almost certainly willing to accept.
Sign In or Register to comment.