The Motley Fool Discussion Boards
Politics & Current Events / Conservative Fools
|Subject: Re: Shocker: Zero the Actual Liar||Date: 10/10/2012 3:54 PM|
|Author: xLife||Number: 107221 of 131920|
Romney's plan is to basically simplify the tax code by getting rid of some deductions. Your tax rate will actually be pretty close to what the IRS schedule says you should pay (depending on what deductions aren't cut, of course.)
First, thanks for the explanation. Second, I'm a huge fan of simplifying the tax code.
But that's a very big "depending on..." And that's why it's impossible to evaluate the effect of the plan without the loopholes details. Romney says he's not going to touch the two biggest deductions, home mortgage interest and charitable gifts, so where is the money going to come from to make it revenue neutral?
The fact of the matter is that when you change the tax code in a revenue neutral way, there are winners and losers. Who are the winners and losers in Romney's plan? Based on what he's said (insofar as he's consistent) it has to be the middle class. I don't see any way around it.
And those rates will be lower, which should stimulate the economy and lead to higher government revenues (which happens to work EVERY TIME it's tried).
Every time? Which time? Revenues did not increase in 2001, 2002 or 2003 after tax cuts.
Get rid of some of the crap government pays for but shouldn't (PBS was an example, not a complete list of course) and suddenly we can do an odd thing, pay down some of our horrendous debt.
PBS is a bad example. The amount of money involved in tiny. Cutting it (fine by me) won't solve anything. It's like saying you're going to pay your mortgage with the coins you find in the sofa cushions.
What deductions can he cut? Hell, how many thousands of pages is the tax code? That it is so long is beyond ridiculous, it's absolutely disgusting.
Sure, but you can't honestly say "closing loopholes will offset the 20% rate decrease unless you know what those loopholes are and how much they'll save."
Still, what is 0bama's solution? Make the tax code more complicated and add more loopholes to benefit his favored groups?
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|