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Prez want's minimum 15% corporate tax. From latest message before heading out.
Right now, the dems are imploding in DC proving the adage, that the democrats are stupid and the republicans are mean. Being a 3rd term elected republican, I take it further to state that most republicans are dirty old white men who are racist sexist religinazi creeps that should even be allowed in public off leash and without a handler. As for taxes, rono rolls out his solution. 15% on all forms for income (wages, cap gains, rents, interest, etc.) with zero deductions. None. Give every person (including corporations) a $25,000 personal exemption. This would mean a family of four wouldn't start paying taxes until they hit $100,000. Very easy - just pay at the window.
15% on all forms for income (wages, cap gains, rents, interest, etc.) with zero deductions. None. Give every person (including corporations) a $25,000 personal exemption. This would mean a family of four wouldn't start paying taxes until they hit $100,000. Very easy - just pay at the window. rono
Nice. I would add a deduction (childcare credit for working parents) or stay at home credit for parents with kids under 5 years of age. If you choose to stay home, a credit. SS and Medicare deductions worked into that credit to recognize that staying at home raising kids is a job. Stay at home requirement - both the child and the parent participant in Pre-K /Adult Training offered in the same facility.
Corporations and small businesses offer a paid / government supported entry level work program for graduating parents. This offers offers full-time pay of $50K / year.
Which leads me to the question of how do we get a handle the welfare side of government programs? Can this be simplified as well?
No deductions. None. And I assume the tax applies to all income. For all taxpayers including businesses, which is the subject of this thread.
So we eliminate the deduction that mutual funds get for passing through their earnings to investors. Make no mistake, that's a deduction that they get now. See IRC 26 USC § 852, that talks about "the deduction for dividends paid", including "capital gain dividends". Mutual funds will be taxed on their earnings.
And we eliminate the IRA deduction. That's an "above the line" deduction rather than an itemized deduction, but a deduction is a deduction. We want to keep things simple. Obviously HSA, FSA, 401k deductions, and so forth also get tossed.
And income is income, no special cases there either. In the above cited 26 USC § 852 is §852(b)(6). That excludes certain sales of appreciated property from being counted as income. Of course that special treatment has to go in pursuit of simplicity and fairness. That's the exclusion that enables ETFs to spin off capital gains without them being taxed. So now we tax the ETF in-kind transactions like all other income.
@LewisBraham and @rono: in the case of Manchin, it may not be party affiliation but the state he represents. A close friend, native of SE MI, moved a few years ago to WVA because his spouse got a new job. He says it’s an entirely different world there, even though the driving distance amounts to 6 hours. I have no reason to doubt him based on the anecdotes he has supplied.
I drove to West Virginia several years ago just for pleasure. Stayed about a week. What gorgeous mountain vistas!. Very nice / friendly people - but a lot of poverty. Like any scenic region, there’s also a few secluded areas of opulence.
Yes - Manchin is a bit of a political paradox. Tough state to be a Dem. (I suppose we could try and analyze / understand the tendency of some groups to vote against their own self-interest.)
Comments
Right now, the dems are imploding in DC proving the adage, that the democrats are stupid and the republicans are mean. Being a 3rd term elected republican, I take it further to state that most republicans are dirty old white men who are racist sexist religinazi creeps that should even be allowed in public off leash and without a handler.
As for taxes, rono rolls out his solution. 15% on all forms for income (wages, cap gains, rents, interest, etc.) with zero deductions. None. Give every person (including corporations) a $25,000 personal exemption. This would mean a family of four wouldn't start paying taxes until they hit $100,000. Very easy - just pay at the window.
and so it goes,
peace and keep wearing the damn mask,
rono
Corporations and small businesses offer a paid / government supported entry level work program for graduating parents. This offers offers full-time pay of $50K / year.
Which leads me to the question of how do we get a handle the welfare side of government programs? Can this be simplified as well?
So we eliminate the deduction that mutual funds get for passing through their earnings to investors. Make no mistake, that's a deduction that they get now. See IRC 26 USC § 852, that talks about "the deduction for dividends paid", including "capital gain dividends". Mutual funds will be taxed on their earnings.
And we eliminate the IRA deduction. That's an "above the line" deduction rather than an itemized deduction, but a deduction is a deduction. We want to keep things simple. Obviously HSA, FSA, 401k deductions, and so forth also get tossed.
And income is income, no special cases there either. In the above cited 26 USC § 852 is §852(b)(6). That excludes certain sales of appreciated property from being counted as income. Of course that special treatment has to go in pursuit of simplicity and fairness. That's the exclusion that enables ETFs to spin off capital gains without them being taxed. So now we tax the ETF in-kind transactions like all other income.
Regarding the suggested tax regimen generally, Milton Friedman was more considerate of the poor. In 1962 he proposed what he called a negative income tax. The amount paid on zero income would be negative, and taxes increased (at a flat rate) as one's income increased.
https://www.nytimes.com/2006/11/23/business/23scene.html
https://mitsloan.mit.edu/ideas-made-to-matter/negative-income-tax-explained
I drove to West Virginia several years ago just for pleasure. Stayed about a week. What gorgeous mountain vistas!. Very nice / friendly people - but a lot of poverty. Like any scenic region, there’s also a few secluded areas of opulence.
Yes - Manchin is a bit of a political paradox. Tough state to be a Dem. (I suppose we could try and analyze / understand the tendency of some groups to vote against their own self-interest.)
Here’s some demographics.