Flat Tax?

[DVCKev]

No way on a flat tax, the rich need to pay more and the loopholes in the system just need to be removed especially for corporations. How the heck does GE make a profit of over $14 billion and not pay a single dime in taxes?? Don't believe me google it and see for yourself. All a flat tax will do is stick it to the middle class even more imo.

 

[StacieDreaminODisney]

Yes, certainly would be unfair for a guy making $1M a year to pay $170K in taxes while the guy making $40K has to pay $6800..

I vote no because I would rather have the fair tax. That way even people who have decided to be a bum for life have to pay. In my town, there are too many people living off the system while the rest of us pay for them. It's time for them to do their part.

 

[HHSTigerFan]

No way on a flat tax, the rich need to pay more and the loopholes in the system just need to be removed especially for corporations. How the heck does GE make a profit of over $14 billion and not pay a single dime in taxes?? Don't believe me google it and see for yourself. All a flat tax will do is stick it to the middle class even more imo.

The rich would pay more, its a percentage of income.. family making $1 million a year would pay $170K while a family making $100K would only pay $17K.. but most importantly, a family making $30K would pay SOMETHING..

 

[DVCKev]

The rich would pay more, its a percentage of income.. family making $1 million a year would pay $170K while a family making $100K would only pay $17K.. but most importantly, a family making $30K would pay SOMETHING..

The rich need to pay more than they pay now, and why is it more important to make a family making $30k and probably struggling as everything has gone up dramatically such as gas, pay something? The rich can afford it a LOT more than a family making $30k and probably just keeping their head above water. I just don't understand that logic. It seems to me that in this country right now the rich get richer, the poor get poorer, and everyone in between pays for everything.....

 

[HHSTigerFan]

The rich need to pay more than they pay now, and why is it more important to make a family making $30k and probably struggling as everything has gone up dramatically such as gas, pay something? The rich can afford it a LOT more than a family making $30k and probably just keeping their head above water. I just don't understand that logic. It seems to me that in this country right now the rich get richer, the poor get poorer, and everyone in between pays for everything.....

So basically you feel the wealthy should flip the bill for those that don't take care of themselves, lets penalize people for being successful and give those that aren't as much a free lunch on the backs of others... is that a good motivational technique? Or should we get back to dangling that carrot in front of people?

 

[leahjade]

[Also read the report that noted that many at low income have more disposable income than families making 60K/QUOTE]

You are so right! I have a co-worker who paid no income taxes in this year but got a REFUND of $3000 due to being a single mother - child tax credit etc, head of household . There is something very wrong with a system that gives you a refund when you paid NOTHING in. No wonder this country is in the financial trouble that it is in!

 

[Disneycrazymom]

I think it is important for everyone to pay something, even if it is $10! If you know you have some responsibility you think differently about how that money is spent. It becomes everybody's money Washington has.

Right now it is only like 50% of American's that actually pay taxes. So that 50% cares very much what is done with the money but the other 50% may not care at all. They have no worries about it - many of them actually make money (Earned income credit ans such) so they may not feel as strongly about making sure we use the tax money wisely.

I think everyone should pay something and I believe it would change the attitude from Us vs Them to We! Isn't that what America is supposed to be? A country of WE the People? I think so!

 

[allison443]

The IRS is talking again about simplifying the tax code. I think a flat tax would be so much more beneficial to the country. It would make everyone pay, even the people making money "off the books", and those not claiming all the make ie. Servers, Pizza delivery, illegals.

What are your thoughts on this?

Are you talking about a flat tax on income, or a national sales tax?

How would a flat tax on income "make everyone pay"?

 

[kamik86]

The rich need to pay more than they pay now, and why is it more important to make a family making $30k and probably struggling as everything has gone up dramatically such as gas, pay something? The rich can afford it a LOT more than a family making $30k and probably just keeping their head above water. I just don't understand that logic. It seems to me that in this country right now the rich get richer, the poor get poorer, and everyone in between pays for everything.....

Because I believe that no one should have to carry others because they made good choices in life and were successful enough to be making millions a year. It doesn't matter that person A could afford 1000's of used cars and person B is struggling to pay for theirs that does not mean that person A should have to buy person B a car. Everyone gets benefits from what we pay in taxes, thus everyone should pay something. The rich should pay more yes but they should not be the only ones to pay. The rich also should not be able to pay almost nothing as a percentage because they have all their income in tax shelters and loop holes.

I still think the fair tax is better but the situation would be similar. The poor would get a prebate but still most likely end up paying something in the end. The rich would get a prebate still but they spend so much more that they would definitely be paying. The middle class would pay based on what they spend. The only way to not pay is to just sit on your money and do nothing with it... in which case it will either do you no good or will get taxed at some point.

 

[Hoodie]

The rich need to pay more than they pay now, and why is it more important to make a family making $30k and probably struggling as everything has gone up dramatically such as gas, pay something? The rich can afford it a LOT more than a family making $30k and probably just keeping their head above water. I just don't understand that logic. It seems to me that in this country right now the rich get richer, the poor get poorer, and everyone in between pays for everything.....

Because if you don't pay anything, you have no skin in the game and reduced interest in how someone else's money is spent. I've actually heard people suggest that you must be an actual taxpayer to vote (this would never happen, but it remains...we supposedly have "no taxation without representation" but there are many, many people who have representation without taxation.)

The tax debate is interesing. We have slowly moved toward an entitlement system that is becoming similar to Europe. However, we have not adjusted our tax system accordingly. If we did, the "rich" would be paying more, but the lower 50% would be paying A LOT more. Minimum income tax in England, for instance, starts at around $5000 for the year. This doesn't include VAT tax. Everyone pays something. In reality, while not popular, the ones NOT paying their "fair share" are the 47% that pay no income tax at all whether they make $30,000 or $1,000,000.

We are beyond being able to "tax the rich" to get out of this mess. Households making over $250k would have a tax rate of 132% to pay for the current budget. Needless to say, that can't happen. We either need to slash spending in a big way or the middle and lower classes are going to see their tax rate go up substantially as well.

 

[leahjade]

The rich need to pay more than they pay now

In 1995, the richest 5 percent of taxpayers contributed 45 percent of all income tax revenue. So even if you taxed the rich at 100%, it still won't be enough if 47% of Americans are paying NOTHING. And how is that fair? SO the people who are working (small business owners etc) are to be taxed more and more while those who are producing nothing yet are taking from public assistance, tax breaks etc pay nothing? Let's just push those job creaters right out of this country so we can finally be totally owned by the Chinese. I think we need a little financial education in this country when people make such ignorant statements.

 

[leahjade]

Who definition of RICH are you using? The $50,000 that your family makes each year if rich compared to someone making $20,000 a year so let's tax YOU at 50% then! The jealousy in this country is tearing us apart. Why should someone be penalized for working hard (like my husband working two jobs, taking any overtime offered) to get ahead when there are those who just take, take, take?

 

[moburg]

Its not really a complete poll. I'd certainly take a flat tax over the current abomination, but I'd prefer the Fair Tax.

 

[Muushka]

Flat Tax: NO

Fair Tax: YES

The fair tax is based on consumption. You want to stick it to the millionaires? Tax them on what they consume. A fair tax encourages people to work because it is not punishing them for working hard. A fair tax would take care of those who choose to work under the table (drug dealers, prostitutes....).

With 47% of the population not paying federal income tax, you can imagine how that vote would go for "Should we raise income taxes?"

 

[moburg]

I think it is important for everyone to pay something, even if it is $10! If you know you have some responsibility you think differently about how that money is spent. It becomes everybody's money Washington has.

Right now it is only like 50% of American's that actually pay taxes. So that 50% cares very much what is done with the money but the other 50% may not care at all. They have no worries about it - many of them actually make money (Earned income credit ans such) so they may not feel as strongly about making sure we use the tax money wisely.

I think everyone should pay something and I believe it would change the attitude from Us vs Them to We! Isn't that what America is supposed to be? A country of WE the People? I think so!

 

[leahjade]

The fair tax is based on consumption

That sounds good to me! Add it on to sales tax then everyone is paying even those who aren't working but still seem to be able to afford Iphones, designer purses etc. Then everyone has to pay something!

 

[Planogirl]

No more deductions at all? I'm not so sure about that.

I would like to see corporations pay their fair share.

 

[Colleen27]

The problem with the flat tax is that you have to define income. It's easy for wage earners and for investment income. But what about someone starting a business? What about someone who is a consultant? They could be earning big bucks, but they pay huge expenses to travel to client sites. With a flat tax are they taxed on net or gross?

There would be no effect - a flat income tax wouldn't do away with the schedule C (or something similar) to calculate profit/loss for a sole proprietor. They'd still be taxed on profit, not total revenue.

I think it is important for everyone to pay something, even if it is $10! If you know you have some responsibility you think differently about how that money is spent. It becomes everybody's money Washington has.

Right now it is only like 50% of American's that actually pay taxes. So that 50% cares very much what is done with the money but the other 50% may not care at all. They have no worries about it - many of them actually make money (Earned income credit ans such) so they may not feel as strongly about making sure we use the tax money wisely.

I don't buy that thinking for a couple of reasons - first of all, many people misunderstand our tax system and a large percentage of that non-paying group thinks they pay in because taxes are withheld and because they pay into SS/medicare. Secondly, most people are in that non-paying category for a fixed period of time while raising children or in retirement, but did pay into the system and in the case of young families will pay into it again.

And if that logic is so valid, why do we never hear it about the class that does not pay into social security or medicare?

The tax debate is interesing. We have slowly moved toward an entitlement system that is becoming similar to Europe. However, we have not adjusted our tax system accordingly. If we did, the "rich" would be paying more, but the lower 50% would be paying A LOT more. Minimum income tax in England, for instance, starts at around $5000 for the year. This doesn't include VAT tax. Everyone pays something. In reality, while not popular, the ones NOT paying their "fair share" are the 47% that pay no income tax at all whether they make $30,000 or $1,000,000.

We've not gone anywhere near a European system of entitlements. We have a patched-together, partially privatized social safety net that in many cases is more beneficial to business than to the actual recipients. We do not provide the basic needs protections that most European nations provide, which makes it all the more important that we not add a tax burden to those who would have to choose between paying their taxes, their mortgage, or their health insurance.

 

[leahjade]

I would like to see corporations pay their fair share

Yes, let's tax all corporations and small businesses to death so they move overseas - that will help us all! I wonder where we'll get our jobs then? If you only knew how many different taxes that businesses pay!

 

[moburg]

No more deductions at all? I'm not so sure about that.

I would like to see corporations pay their fair share.

I wouldn't mind eliminating deductions, but only if tax rates decreased accordingly.

Do it on averages. If the average household in the 75,000 to 100,000 tax bracket currently deduct 15,000 and pay 25% on that, eliminate the deductions and tax at 20% or 21%. So the tax amount is the same, on average. Some will pay a little more, some a little less. That would be a good start within the current tax system, but the whole thing really needs to be scrapped.

Of course, the real issue is spending, not revenue. But the current tax system is far too cumbersome and confusing.