Wednesday, November 17, 2010

We need tax reform now! The FairTax plan for national prosperity


As was pointed out in a previous post the direction of the debate in America over the "Bush tax cuts" needs to be turned toward the real problem which is the need to scrap the current tax code and replace it with a fairer,more viable, alternative!

Some are proposing that we reduce the income tax, impose a consumption tax, and increase the cap on the amount of income to be taxed for social security. This is just plain wrongheaded and dangerous. We don't need to add another tax on top of the income tax,and,we sure as heck don't need to increase the amount of our incomes that is taxed for social security, Medicare, or anything else. Proposals such as these will do absolutely nothing to grow the economy,and return this country to prosperity.

What will work is the simple seven point plan for economic security,and,prosperity proposed by Fair Tax.org
This plan calls for...

  • eliminating individual income tax.
  • eliminating payroll taxes.
  • eliminating estate,and,gift taxes.
  • eliminating capital gains taxes.
  • eliminating the alternative minimum tax.
  • eliminating the self employment tax.
  • eliminating corporate income taxes.

and replacing them with a national consumption tax of 23 percent of new retail spending.

If individuals are allowed to keep all the money they earn more will be available for discretionary spending.
If the rich and poor alike are allowed to keep what is theirs more dollars will be available to be spent on purchasing new goods and services,creating more wealth,investing in business, etc etc

Most importantly if individuals and corporations are freed from capitol gains,and,corporate taxes billions more will be available to build plants, create jobs,lower prices, and the list goes on and on. Further more if this country were to abolish corporate income taxes this country becomes the most attractive place on the face of the globe to do business. It could well be that "Made in America" could replace the "Made in China" logo.

That is a plan for national prosperity-as well as -real change that we all should be able to agree with!
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