I realize I am oversimplifying, but in reality, when Republicans say they want to simplify the tax code it means making it simpler for wealthy folks. But not necessarily for the rest of us. The tax code is simply a ruse: It intends on making it look like they care about taxes middle-class Americans pay. They’re fully committed to cutting taxes for wealthy Americans because they believe “trickle-down economics” works, but when it comes to the rest of us, they are more concerned about what that would do to tax revenue and “substantially” adding to the deficit.
The whole current tax code could be really simplified by legislating a simple federal tax on sales, excluding food, clothing, and medical expenditures. The rich would pay higher taxes on expensive cars, million dollar homes, and million-dollar yachts. It would come down to all of us paying taxes on our wants and not on our needs.
From the Associated Press’ Marcy Gordon And Ken Thomas:
“They’re in agreement on wanting to cut tax rates and simplify the byzantine tax system but they’re divided over whether to add to the government’s ballooning debt with tax cuts. The GOP also is at odds over eliminating the federal deduction for state and local taxes.
“The White House and congressional Republicans are finalizing a tax plan that would slash the corporate rate while likely reducing the levy for the wealthiest Americans, with President Donald Trump ready to roll out the policy proposal at midweek.
“The grand plan to rewrite the nation's tax code would be the first major overhaul in three decades, delivering on a Trump campaign pledge and providing a sorely needed legislative achievement. It also is expected to eliminate or reduce some tax breaks and deductions.
“The plan would likely cut the tax rate for the wealthiest Americans, now at 39.6 percent, to 35 percent, people familiar with the plan said Monday. They spoke on condition of anonymity ahead of a formal announcement.
“In addition, the top tax for corporations would be reduced to around 20 percent from the current 35 percent, they said. It will seek to simplify the tax system by reducing the number of income tax brackets from seven to three.
“ ‘The plan being assembled lays out ‘pro-growth tax reform,’ Rep. Kevin Brady, R-Texas, head of the tax-writing House Ways and Means Committee, told reporters on Capitol Hill. It will fix a tax code that is ‘so complex, so costly and so unfair,’ he said.
“Brady predicted the plan ‘will deliver the lowest tax rates on businesses in modern history.’”
Here’s the rest of the story:
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The big three meet on tax reform
at the White House in Washington,
September 5, 2017.
Joshua Roberts | Reuters
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By Marcy Gordon And Ken Thomas
