2012-11-30

My Big Tax Reform Idea

I have a brilliant tax reform idea that will cut through the political gridlock and solve our fiscal woes without placing an unfair tax burden on anyone, and without the need for a particularly convoluted change to the existing tax rate structure. It is a simple plan, easy to implement, and satisfies absolutely everyone across the political spectrum.

Here's how it works:
  1. Step One - Freeze the Existing Tax Rates: The first step we need to take is to make the current tax rates "the status quo." Make the Bush cuts permanent and henceforth refer to the current rates as "what the tax rates are," so that we all stop talking about our own private historical period that featured our own preferred rate. Regardless of what we all prefer, let's just start the discussion from what we currently have and stop referring to the past.
  2. Step Two - Let All Those Who Think Taxes Should Be Raised Opt-Into Higher Rates: Simply stated, if you think tax rates are too low, you may opt-into a new tax rate structure consistent with the Obama Administration's preferred tax regime. So Warren Buffett can start paying his higher rates, as can any other rich person who insists that they can afford higher taxes. Also, any middle- and lower-class Obama supporter who feels strongly about raising taxes to afford increased welfare spending can certainly also opt-into the new rates. As a matter of practicality, their Social Security Numbers can be appended with an addtional 3-digit suffix so that people who opt-in can be properly accounted for at the Internal Revenue Service.
  3. Step Three - Let All Those Who Oppose Higher Taxes Abstain From Opting-In: If, on the other hand, you don't want to pay higher tax rates, you don't have to. You can keep paying the same status quo rate, as per usual. Your overall tax burden is unaffectted.
No more arguing, no more politics, no more B.S. Those who want to pay more, pay more. Those who don't, don't. I assume this means that the majority of Democratic politicians will opt-into the higher rates, and the majority of Republicans will not. Furthermore, I imagine that the majority of Democrats and liberals across America will opt-in, and the majority of Republicans will not.

Democrats and liberals get to have their social welfare morality play, and Republicans and conservatives get to have their economic welfare morality play, and the general public gets to play choose-your-own-tax-regime. Everybody wins.

Who's with me?

5 comments:

  1. Regarding #2, might I recommend those there extra digits be either -666 or equally appropriate -555?

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  2. The real problem, of course, is that it costs too much to run this country, on all levels, local/municipal, state, federal, and in all areas. Much of this cost goes to the costs of infrastructure, supplies, utilities, and, of course, salaries/benefits/payouts, etc. Conservatives (mostly Republicans) have wanted to rein in excess costs and want to chiefly target domestic spending through cutting programs which disproportionately affects those at home. They also want to lower tax rates which decreases government revenue, but puts more money in the hands of taxpayers. Yet much of our cost overruns in government are due to military spending abroad, and yet they won't cut that. Liberals (mostly Democrats) want to increase domestic spending but also raise taxes (for some), while cutting military spending. And, of course, there are those in between (Libertarians, etc.) or on the fringes (Socialists, economic fascists) who want to do some of each of these remedies. I, personally, would like to see a smaller government, more people-oriented, with tax cuts and cuts to wasteful, probably unnecessary programs, such as the military industrial complex stuff. As long as contractors, including military ones, overcharge our government ($500 toilet seats, $200 hammers, etc.), they are taking advantage of our taxpayer money.

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    1. I think for most people, common sense prevails. I certainly agree with what you say, and I know plenty of others who feel the same way. The question is why common sense is in such short supply among policy-makers?

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  3. You're a genius Ryan. You know how to solve all the world's problems. Say it with me everyone: "Big gubment bad! Big gubment go away!"

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    1. When anonymous commenters are calling me by my first name, I know I have arrived as a blogger! ;)

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