- #1
Oltz
A "Fair" Tax system proposal
I have read this forum for several months on a wide range of topics. I finally have decided to attempt a contribution to the debate. This is entirely My Opinion and hypothetical at that. I honestly want to know if any of the forthcoming is even viable.
The conversations about Federal Income Tax , Payrol Deductions, Tax Burdens, Social Security and all forms of welfare (even pell grants) Have lead me to some conclusions and oppinions that may or may not be embraced as true.
Firstly This is a reform of Federal Inocome tax only payrol deductions are another topic.
The Left wants the rich to support the poor and corporations to pay aswell. They want everything to be counted dividends,interest, inheritance, But only if your AGI is over some arbitrary value.
They oppose a flat tax as 9 percent of 30,000 when your annual cost of living is 27000 is impossible but 9% of 300,000 is bearable. IE the same rate hurts the poor more because they rely on every dime they make to make ends meet.
The Right wants a "fair" system that has holes and dodges that allows you to "hide" some income.
Nobody says we shold tax the poor to death.
That being said here is my plan.
First we eliminate all Federal Income tax on everything (corprate,capital gains, estate...the works)
Second we establish a Federal Sales tax of X% this Tax will apply to every transaction by every company and individual on all purchaces EXCLUDING
Food at a grocery store or vendor (restaurants are a service and would be taxed)
Clothing/shoes at retail or department stores (designer clothing and things like wedding dresses or custom suits would be taxed accecories are not clothing)
Shelter no tax on Rent or Mortgage payments on first properties (payments on second or third homes or properties you rent out for income would be taxed)
Electric/Water/Gas/Sewage/Trash pickup (Phones tv and internet are still taxable expenditures)
Medical Care (elective surgery or cosmetic procedures would be taxed)
Child support/Allimony/gifts and any other transfer from person to person without the exchange of goods or service would be tax free
Education Tuition/books
Money does not exist until it is spent. Like at a casino Uncle Sam pulls his % out of every pot at the end of the hand. Right now he pulls his share out of your stack when you sit down regardless of if you play it all or not.
Essentially if your poor and you spend every dime you have on the basics to survive you will pay no tax.
If you are rich and spend every dime you have on "things" then you will pay a X% tax.
Keep in mind that you are taxed when you "use" money not when you make it so if you wanted you could hoard millions then take a year off and spend it all uncle sam would get X%
This includes ALL imports when the "goods" hit american waters the importer pays X% on purchase price/Market value of the goods ie I make cars but my engines are manufactured in germany I own the engines but when importing them it is as if I buy them from myself the second they enter the US at full price and am resposible for the tax. ie 2 I am best buy and get my samsung tv's from korea I pay the tax on the purshase of those tv's when they arrive here
All transactions invloving money are treated as a sale and are taxed Except between individuals ie i can give you all the money I want and nothing happens until you spend it
International bank transfers are taxed ie walmart transfers 40 Million dollars to china to pay factory workers that is an expenditure it is taxed
Does anyone have a fundamental problem with a flat tax like this that excuses the poor from paying on the things we all "need" and yet nobody no bussiness or company pays more then X% and you choose when and how to be "burdened" with tax
If you want to save a fortune for your kids and you are 18 years old spend the next 10 years living at a basic level paying no tax only doing the essentials then when you start your family you have a wad of money to give your kids a great life. In essence you waited to pay taxes until you wanted to have luxuries for your children.
Tax on "stuff" Not on Income
I hope some of this makes sense I will try to clarify upon request this is quite a ramble
I have read this forum for several months on a wide range of topics. I finally have decided to attempt a contribution to the debate. This is entirely My Opinion and hypothetical at that. I honestly want to know if any of the forthcoming is even viable.
The conversations about Federal Income Tax , Payrol Deductions, Tax Burdens, Social Security and all forms of welfare (even pell grants) Have lead me to some conclusions and oppinions that may or may not be embraced as true.
Firstly This is a reform of Federal Inocome tax only payrol deductions are another topic.
The Left wants the rich to support the poor and corporations to pay aswell. They want everything to be counted dividends,interest, inheritance, But only if your AGI is over some arbitrary value.
They oppose a flat tax as 9 percent of 30,000 when your annual cost of living is 27000 is impossible but 9% of 300,000 is bearable. IE the same rate hurts the poor more because they rely on every dime they make to make ends meet.
The Right wants a "fair" system that has holes and dodges that allows you to "hide" some income.
Nobody says we shold tax the poor to death.
That being said here is my plan.
First we eliminate all Federal Income tax on everything (corprate,capital gains, estate...the works)
Second we establish a Federal Sales tax of X% this Tax will apply to every transaction by every company and individual on all purchaces EXCLUDING
Food at a grocery store or vendor (restaurants are a service and would be taxed)
Clothing/shoes at retail or department stores (designer clothing and things like wedding dresses or custom suits would be taxed accecories are not clothing)
Shelter no tax on Rent or Mortgage payments on first properties (payments on second or third homes or properties you rent out for income would be taxed)
Electric/Water/Gas/Sewage/Trash pickup (Phones tv and internet are still taxable expenditures)
Medical Care (elective surgery or cosmetic procedures would be taxed)
Child support/Allimony/gifts and any other transfer from person to person without the exchange of goods or service would be tax free
Education Tuition/books
Money does not exist until it is spent. Like at a casino Uncle Sam pulls his % out of every pot at the end of the hand. Right now he pulls his share out of your stack when you sit down regardless of if you play it all or not.
Essentially if your poor and you spend every dime you have on the basics to survive you will pay no tax.
If you are rich and spend every dime you have on "things" then you will pay a X% tax.
Keep in mind that you are taxed when you "use" money not when you make it so if you wanted you could hoard millions then take a year off and spend it all uncle sam would get X%
This includes ALL imports when the "goods" hit american waters the importer pays X% on purchase price/Market value of the goods ie I make cars but my engines are manufactured in germany I own the engines but when importing them it is as if I buy them from myself the second they enter the US at full price and am resposible for the tax. ie 2 I am best buy and get my samsung tv's from korea I pay the tax on the purshase of those tv's when they arrive here
All transactions invloving money are treated as a sale and are taxed Except between individuals ie i can give you all the money I want and nothing happens until you spend it
International bank transfers are taxed ie walmart transfers 40 Million dollars to china to pay factory workers that is an expenditure it is taxed
Does anyone have a fundamental problem with a flat tax like this that excuses the poor from paying on the things we all "need" and yet nobody no bussiness or company pays more then X% and you choose when and how to be "burdened" with tax
If you want to save a fortune for your kids and you are 18 years old spend the next 10 years living at a basic level paying no tax only doing the essentials then when you start your family you have a wad of money to give your kids a great life. In essence you waited to pay taxes until you wanted to have luxuries for your children.
Tax on "stuff" Not on Income
I hope some of this makes sense I will try to clarify upon request this is quite a ramble