RE: Cruz tax plan
March 6, 2016 at 11:54 am
(This post was last modified: March 6, 2016 at 11:57 am by Tiberius.)
All tax plans look good on their own. What tax plans really need to do is explain how they will raise enough money in order to (1) pay for current government services, (2) pay for any new programs Cruz wants to implement, and (3) pay off the deficit.
If a tax plan can't do any one of those, it's a bad plan.
I don't see how a 10% flat tax on personal income, and a 16% flat tax on business income will solve any of the above, but mostly (3). It seems like the US government would be taking in much less in taxes under such a plan.
Things I do agree on though:
1) The first $X shouldn't be taxable. The X would change according to the situation (i.e a family of 4 would have a higher X than a family of 2)
2) Obamacare penalties should be abolished. Obamacare is good, but people shouldn't be forced to buy healthcare if they don't want it, or punished by the IRS if they don't have it.
3) Death tax / inheritance tax should be abolished. Money / assets have already been subjected to taxes, so it makes no sense to subject them to taxes again.
If a tax plan can't do any one of those, it's a bad plan.
I don't see how a 10% flat tax on personal income, and a 16% flat tax on business income will solve any of the above, but mostly (3). It seems like the US government would be taking in much less in taxes under such a plan.
Things I do agree on though:
1) The first $X shouldn't be taxable. The X would change according to the situation (i.e a family of 4 would have a higher X than a family of 2)
2) Obamacare penalties should be abolished. Obamacare is good, but people shouldn't be forced to buy healthcare if they don't want it, or punished by the IRS if they don't have it.
3) Death tax / inheritance tax should be abolished. Money / assets have already been subjected to taxes, so it makes no sense to subject them to taxes again.
