As I said, a simple flat tax on the gross income of individuals and companies, would more than pay for everything needed…provided those who held the purse strings knew what they were doing.
There are many who brag that they got “money back” for their taxes. Congratulations, you just gave the government an interest-free loan…
I have no problem paying taxes, provided I have a say in where they are spent. Law enforcement and teachers salaries are at the top of that list, followed by updating/modernizing learning institutions…
I agree and interestingly most people I know would support this. However, it seems to have no traction in congress. Just shows how out of touch they are or how arrogant they are.
I’d like to see revenue raised simply by using sales taxes rather than based on income. That way everyone pays the same percentage and can’t hide under the table income. Of course, these changes are “too big” to make. Too many people just like being “comfortable” leaving the way it’s always been.
I have always been in favor of a national sales tax based consumer purchasing. Do away with the individual income tax and use a tax scale on based on what is purchased. Necessities taxed lower with luxuries at a higher rate. Flat tax on businesses based on gross revenue.
The “Sales” tax method would gain tax revenue from all purchases. That means all the illegal immigrants will pay a tax, along with all tourist from other countries while they are here. It’s dropped a good bit since 2019, but over 79 million people visited the US. If all only spent $1.00, based on a 15% tax, that would be 11.9 ml. Multiply that based on the average dollar they do spend while being here.
It may be off the wall in thinking, but makes more sense than how it’s structured now.
People will slow down their spending on consumer goods if the sales taxes are too high. That presents many other issues for the economy.
A 15% tax on top of the already high sales taxes in many locations would definitely cripple consumer spending, in my opinion.
The flat tax idea just makes common sense. However, your dealing with an entity that does not work well with common sense. The other problem is tax is a big business. A flat tax would put a lot of people out of work and not to mention all of those special interest tax incentives, deductions and the like. Eliminating them would lessen the value of the power brokers. All this make good sense which is why it does not have a chance of occurring, unless something radical happens to the system.
I have a 7% sales tax in my county. I still buy stuff and will buy more when my paycheck is bigger.
It’s all covered here
I think there are way more factors to vary in. Take away the the income tax deducted from paychecks, which adds more dollars to the average household spending at a lower taxable rate, it’s there if presented in the right way. But that will never happen in this political climate.
I’m just not real comfortable with having our nation’s bill paying ability totally dependent on consumer spending. I think it’s actually less fair than an income tax. And you know the big-wigs will find loopholes in any system to avoid taxes.
So, nothing changes. lol.
Many things to consider. I like it for many reasons. Transparency and efficiency are my favorites. Collection responsibilities are transferred to the states.
It will never change. Smart solutions are always overlooked by the government.
Se la vie. Keep your check books open…
Collection would ultimately be the responsibility of the sales clerk or business owner in many situations. That system is ripe for fraud as it is. And my wife can tell you that she doesn’t like having to hear people complain about our already high sales tax in my area. We have the state, county, and city all tacking on sales tax already.
Yup… beginning with the 5th highest income taxes in the country!
And that is different in what way than our current system? But somehow, my county is able to collect billions in taxes. State is able to collect billions in tax revenue on fuel and other sales. It just has to be vetted out to the best of our ability.
Quick story. Two homes share a driveway which has a pot hole. Repair is $1,500. One man owns a business, works 80 hours a week and makes twice the money as the other. The other prefers a lazy lifestyle and works part time. The lazy man assumes and expects the rich man to pay more because he makes more.
Such is our current system. And one of many reasons Fair Tax is actually fair.
Maybe he expects the rich man to pay more because he is running his business out of his home and all of his customers are what’s causing the pothole? I mean the lazy guy probably only leaves the house twice a week and does much less wear and tear to the driveway.