TAX REFORM ON THE TABLE

[easytax]

Crime and government (politics) have the same mantra //// in confusion, there is profit !

If things were simplified, we would not need government to tell us 90% of what they do.

 

NOT POLITICAL  - just Fact!

 

[WITAXLADY]

I still say the best way is eliminate the IRS and there goes 99% of the cheating - I can get by with bookkeeping or retire!!

and play with my grandchildren...

[BulldogTom]

5 hours ago, Gail in Virginia said:

Amen!  I bet we could actually simplify the code to where no one needed a preparer to do their return, or a computer.  But those who want their loopholes will never let THAT happen!

OK, here is my tax simplification code:

Individuals: 17% Tax rate Flat.  Std Deduction of 10K per person on the return.  All persons must live in the home to be on the return (school exceptions).   All persons on the return over 18 are jointly liable for the tax.  No concept of marriage, just joint return filing (so I could file with my mom if I wanted to, or my brother, or my roommate, so long as we live in the same home, or we could file individually).  No credits, no other deductions.  No Cap Gains rates, just 17%.  

Corporations: 17% flat tax on Gross profit.   10K std deduction.  No credits, no other deductions.

Done.

Tom
Modesto, CA
 

[JimTaxes]

HOW ABOUT THIS.. THE 9/9/9 PLAN?

[Roberts]

Pretty much every other country has a pretty simple taxing system. It isn't difficult to go simple if you want to.

[Abby Normal]

21 minutes ago, Roberts said:

Pretty much every other country has a pretty simple taxing system. It isn't difficult to go simple if you want to.

Even though I have nothing to base it on, I doubt that most countries have a simple taxing system.

[Gail in Virginia]

I am inclined to agree with Abby, although I have very little to base it on either.  But I also agree with Roberts, that it " isn't difficult to go simple if you want to ."  The problem is that every special interest group in the country has its own set of deductions, or credits, or other loopholes that they don't want to give up and convinces congress that they need to go along with them.  Then congress drafts legislation including all these complications, and IRS has to write regulations to try to accomplish what congress was trying to do with the law and before long you have the mess that we have all come to know and love - the US Tax Code.  As amended.  And expanded.  And simplified.  *sigh*

[easytax]

If the tax code was simply to raise enough money to do the governments job as set forth in the original constitution --- then it would probably be very simple and straight forward.

With that said, when the tax code is used to penalize or reward certain industries/people and for "social" engineering, then it gets complicated. Everyone (including me) have their agendas. As naïve as it sounds, HOPEFULLY our leaders, whichever party or persons have their agendas as what is best for our country overall without special interests.  As stated -- probably naïve.

 

[SaraEA]

Not all countries have simple tax systems, with one exception being those that have VATs. Remember when the big accounting firms were offshoring tax prep to India?  That's because India's tax code is similar to ours.  I find it more complex. There are different sets of rules for rental properties and cap gains--you can pay one rate or none at all if you invest in India bonds, a higher one if you take the money and run. There are two types of bank accounts--one that pays a really high rate but the money can't be converted from rupees ever, and another that pays much less but can be taken out of the country.  My Indian client thankfully has his India taxes done by an accountant there and brings me the result. But the credentialing system is different; his India CPA advised him to do a like-kind exchange with US property but my research showed that's not allowed. I think the India offshoring diminished when congress passed a law saying clients had to sign on to allowing their info to be sent abroad. Who would agree to that?

[Abby Normal]

The problem with rules is that as soon as your write one down, you end up needing 10 more to clarify or tweak. Then, more questions arise or tweaks are suggested and before long you have a book of rules.

[RitaB]

16 minutes ago, Abby Normal said:

The problem with rules is that as soon as your write one down, you end up needing 10 more to clarify or tweak. Then, more questions arise or tweaks are suggested and before long you have a book of rules.

Thank you.  I could not figure out why tweek is always underlined when I type it.  Now I know.  Agree with your comment too, btw.

 

[Abby Normal]

 

1 hour ago, RitaB said:

could not figure out why tweek is always underlined when I type it

See, we can't even simplify English! But they are trying.