POLITICAL ISSUE #103: Unnecessarily Complex/Misdirected Tax System

YOU MAY ACCESS THE FOLLOWING ISSUE AND ITS SOLUTIONS

ISSUE STATEMENT AND OPTIONS FOR ISSUE #103

SOLUTION DEFINITIONS AND OPTIONS FOR:

103.1 Minimum Deduction Tax Code
103.2 National Consumption Tax - No Income Tax
103.3 Flat Rate - No Deduction Income Tax

VOTE SUMMARY FOR THESE TOPICS

OR
YOU MAY PROPOSE ANOTHER SOLUTION TO THIS ISSUE
(PLEASE FIRST READ THE OTHER SOLUTION DEFINITIONS CAREFULLY TO MAKE SURE YOUR SOLUTION IS CLEARLY DIFFERENT )
OR
CHOOSE ANOTHER CATEGORY 100 ISSUE

ISSUE STATEMENT FOR #103: Unnecessarily Complex/Misdirected Tax System

PRESENT CONDITION: The present Tax Code is both overly complex and misdirected. The complexity and misdirection of the present tax system both requires excessive expenditures of private and public resources to administer and permits special interest tax avoidance that undermines public support.

IDEAL CONDITIONS: Taxes should be collected in a manner the people consider fair with the least expenditure of private and public resources to run the system.

ISSUE JUSTIFICATION: Tax deductions and exemptions are an important social tool for encouraging citizens and organizations to direct resources in the broader public interest. However these exceptions should be clearly directed toward areas of broad popular support and reserved for only the most important social goals because tax exceptions both require additional costs for record keeping, reporting and compliance and produce public resentment unless the social goal has clear popular support.

AUTHOR: UWSA SANTA CLARA CO. CHAPTER EMAIL:humphrey@aimnet.com

OPTIONS FOR ISSUE #103: Unnecessarily Complex/Misdirected Tax System

REVIEW PUBLIC COMMENTS ON THIS ISSUE

REVIEW CURRENT VOTING RESULTS ON THIS ISSUE

COMMENT ON THIS ISSUE YOURSELF

VOTE ON THIS ISSUE

RETURN TO THIS ISSUE/SOLUTION MENU

CHOOSE ANOTHER CATEGORY 100 ISSUE

SOLUTION DEFINITION STATEMENT
FOR
SOLUTION #103.1 MINIMUM DEDUCTION TAX CODE

BRIEF DESCRIPTION: The Treasury Department shall conduct a bottoms up review of all the deductions in the tax code for both individuals and businesses. For each deduction the review shall include who benefits from the deduction and the amount of tax loss involved. Based on this study the Treasury Department shall prepare a number of interest group revenue neutral proposals for public comment. For example one proposal might include elimination of a group of business tax deductions and a reduction in the corporate tax rate designed to be revenue neutral. Another proposal might target personal tax deductions together with reductions in the personal tax rate designed to be revenue neutral.

JUSTIFICATION: Tax deductions do not save taxes, they merely shift taxes from one group of tax payers who have the deductions to another group that does not. If the deduction involves a discretionary activity with a social purpose (e.g. charitable contributions), the deduction serves to direct resources toward that activity. However when there is no social purpose or when everyone has the deduction, it simply adds to tax record keeping, tax filing costs and tax compliance costs. Unfortunately tax systems like gardens tend to grow weeds that choke the system. We need to review and prune the present system of tax deductions to reduce the present runaway costs required to administer the tax system.

AUTHOR: UWSA SANTA CLARA CO. CHAPTER EMAIL:humphrey@aimnet.com

OPTIONS FOR SOLUTION #103.1: MINIMUM DEDUCTION TAX CODE

REVIEW PUBLIC COMMENTS ON THIS SOLUTION

REVIEW CURRENT VOTING RESULTS ON THIS SOLUTION

COMMENT ON THIS SOLUTION YOURSELF

VOTE ON THIS SOLUTION

RETURN TO THIS ISSUE/SOLUTION MENU

PROPOSE AN AMENDMENT TO THIS SOLUTION

SOLUTION DEFINITION STATEMENT
FOR
SOLUTION #103.2 NATIONAL CONSUMPTION TAX - NO INCOME TAX

BRIEF DESCRIPTION: Abolish all federal personal and corporate income taxes and substitute a single rate sales tax on all goods and services not involved in the production of more goods and services. Tax relief for low income citizens would be provided in the form of a rebate to anyone below the poverty level and it would be in proportion to the amount the family was below the level.

Justification: The Present Tax Code is riddled with special interest considerations. A flat percentage sales tax would provide a more fair method for collecting taxes. A sales tax avoids the collection and ethical problems caused with creative accounting. It directly shows that all non consumer taxes are simply priced in and passed along so that the final consumer always pays. This makes it obvious. It makes international competition more fair since the tax is levied on the amount of revenues not the amount of income.

AUTHOR: Bill Selmeier EMAIL: bills@aimnet.com

OPTIONS FOR SOLUTION #103.2: NATIONAL CONSUMPTION TAX - NO INCOME TAX

REVIEW PUBLIC COMMENTS ON THIS SOLUTION

REVIEW CURRENT VOTING RESULTS ON THIS SOLUTION

COMMENT ON THIS SOLUTION YOURSELF

VOTE ON THIS SOLUTION

RETURN TO THIS ISSUE/SOLUTION MENU

PROPOSE AN AMENDMENT TO THIS SOLUTION

SOLUTION DEFINITION STATEMENT
FOR
SOLUTION #103.3 FLAT RATE - NO DEDUCTION INCOME TAX

BRIEF DESCRIPTION: Substitute a flat rate income tax with no deductions for the existing federal personal income tax.

JUSTIFICATION: The Present Tax Code is riddled with special interest considerations. A flat percentage personal Income tax would provide a fairer method for collecting taxes.

AUTHOR: Bill Selmeier EMAIL: bills@aimnet.com

OPTIONS FOR SOLUTION #103.3: FLAT RATE - NO DEDUCTION INCOME TAX

REVIEW PUBLIC COMMENTS ON THIS SOLUTION

REVIEW CURRENT VOTING RESULTS ON THIS SOLUTION

COMMENT ON THIS SOLUTION YOURSELF

VOTE ON THIS SOLUTION

RETURN TO THIS ISSUE/SOLUTION MENU

PROPOSE AN AMENDMENT TO THIS SOLUTION