Quote:
Originally Posted by raymr
That's why income should not be taxed, period. Tax spending instead, and keep the gov out of our personal finances.
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It's a terrific thought, but, unfortunately, it breaks down quickly when you look at the details.
The top 20% of people in the country, based upon income, pay 80% of the tax.
If you eliminate the tax structure as we currently have it.......and tax spending........the burden of the tax shifts toward the lower economic classes. This is exactly what is not desirable.
Naturally, you can argue that the current system whereby the top wage earners pay the largest tax burden is unfair. But, the alternative is to have folks earning $50K per year paying $20K in taxes.
Don't believe the BS that the flat tax on consumption can survive on a rate of 17% or so........as claimed. That'll never happen.