It's really simple, we can begin to lower the debt by getting rid of a bloated and overindulgent tax system. Why is it that we have all these rules? Why can we not have a simple flat tax rate for everyone, regardless of how many dependents they have; how much they donate to charity, or how much interest they pay on certain loans?
If you made $100,000 annually, would it not be extremely simple to know, that no matter what happened that year, you would pay a flat tax? The amount of the rate is still debatable. See, Congress would still have something to argue and complain about.
Don't corporations hire lawyers and accountants to figure out which loop holes benefit them the most? Does not the government have well over 115,000 employees on the full time payroll to process and collect taxes? Tons of people E-file, which I think is fantastic, that's not the problem. The problem is enforcing all the rules. Spending countless hours to ensure you got all your tax breaks. Please, give me a break...pass a flat tax and get rid of the loop holes and deductions!
Back to the rate, let's say that it's 5% across the board. So, if you make $120,000 (like a friend of mine does in Lewisville) then your tax payment would be $6,000. I bet he'd like that, because now his tax payment is $40,000. He's single, no children and owns his own home...no breaks.
I have another friend that makes $1,200,000...which is a considerable sum. He's a small business owner. Under my plan, he would pay $60,000, which is a fantastic break for him since he now pays well over $250,000 in taxes under our inflated ridiculous tax code.
The way I see it, middle America and small business owners finally get a break, big corporations have to pay their fair share, government spending is cut and millions of trees would be spared. I figure it's a win-win for everyone!
Oh, I know what you're thinking...Corporate America would pack up and leave. Let them. I would love to see a come back of the mom and pop businesses. Customer service would increase exponentially, automated systems would go bye-bye (and good riddance!), and people would act more like...well, people. Let's take our humanity back!
Am I being unreasonable? Is there something I'm missing? If I am...I'd like to know. Educate me on this matter, because I can't figure out why it would not work.