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Originally Posted by seretogis
Yes, the idea behind Tax reform is that the tax code is made simpler, and waste is removed. This leads to the idea of removing other forms of government waste which cost the taxpayers oodles of cash. Ideally, were we to switch to a flat tax unnecessary government programs would be tossed, and we would set ourselves on the route to curbing spending increases and balancing the budget.
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Oh please. How much waste is going to be eliminated by getting rid of the IRS? The discretionary budget for the entire Department of Treasury (not just the IRS) is $10.8 billion. That is pocket change in the big picture. The 2005 Discretionary budget is $914B. $10.8 is 1.18% of $914B. Looking at the total outlays, the govt takes in $2,400B.
Sorry but call me crazy if I don't accept a plan that magically drops the tax rates of the top earners by over 50% and "supposedly" doesn't ask for more from the rest of us (the people who hardly get by as it is). These people pay over 40% of our taxes. Let's see the govt cut spending by 20% before we even CONSIDER making some drastic change to our tax system.
Here is a classic conservative saying:
"We robbed Peter to pay Paul"
In response to that, let me say that Peter is employing Paul. Peter likes his money. In order for Peter to have lots of money, he pays Paul just enough to keep Paul and his friends from revolting. As a result, Paul cannot afford to have a Paul Jr who will work for Peter Jr. Therefore, Peter is dooming his business, Peter Inc., by not paying his employee enough to raise the child that will one day work at Peter Inc. The government sees this problem and knows that the county needs Peter Inc. to be a part of its functioning economy. Therefore, they take more of Peters money and less of Paul's money so that Paul can afford to raise his son to be a part of the working class in the future. Because a lot of money minus an additional 10% is still a lot of money, Peter still has lots of money and Paul still barely gets by but now he gets to raise Paul Jr.