Third Party & Independents Archives

Its tax month again!

So lets moan and groan over the inequity of the system and recommend sensible replacements that will never make it past the special interests. We have no chance of ever achieving a meaningful change but let us sally forth to do battle with the dragon that oppresses us all. Consider it a right of spring.

Personally I have always been in favor of a national sales tax. Food would be exempt from taxation. The income tax form would be reduced to a postcard and have three items on it. A yearly tax rebate would be available to individuals with adjusted gross income under 30000 and people with mortgage interest. An additional tax would be placed on non-IRA investment income. Municipal and Treasury bond interest would remain exempt. No tax shelter dodges allowed

The beauty of this system is that rich people buy a lot more “stuff “ than the average Joe and then invest the remainder of their money. So they get taxed more. Which is as it should be. If the country has made you rich then you should be required to make a larger donation to its operation. Most people go through life without any money to invest so stop whining.

Also lots of people are below the income “hump”. The “hump” is the inherent non-discretionary spending required to just survive (AKA: Food, shelter, transportation, clothing and laptop computers). People below the hump would get the taxes they paid back. I have arbitrarily put the hump at adjusted gross income of 30000. If you have a more representative number I am willing to entertain it.

I have left the mortgage interest deduction because housing is a major driving force in the economy, owning a house is the American dream and leaving it out would cause a riot.

I would also like to see a constitutional amendment that freezes the tax code. Changes would only be allowed by national referendum. If you pay attention to the news you would have seen the citizens of Alabama use this constitutional power to spank the state politicians for their free spending ways last year. True the state has one of the lowest literacy rates in the country, and Mark Twain did make fun of Alabama’s backward ways, but that doesn’t mean they can’t have one good idea in the entire history of the state.

Posted by at April 1, 2004 1:55 PM