Ordinarily, just seeing a picture of Charlie Rangel gets me irritated. Hearing a tax plan from him... well, that just gets me ticked! You can read the details of it
here. I wouldn't necessarily recommend doing it, mainly because the lost minutes of your life just aren't worth it.
Let me sum it up like this. Repeal tax cuts which have helped to spur on the economy and create the greatest amount of revenue to the federal government in HISTORY. Add a special tax to those making greater than $150K a year and a greater increase to those making $500K a year. I understand the attempt at logic. But when you look at the facts, it just doesn't make sense. First of all, the people who make greater than $150K a year are already being taxed at a higher rate. Also, a lot of the people in this bracket are small business owners who are not only funding their own retirement plans, but are paying for all of their own health insurance and trying to put money aside in case business slows down, which if you look at the housing sector, is a real posibility. On top of that he also wants to add payroll taxes to these small business owners. Good grief, it appears that the Dems want to crush one of the most vibrant (and tax lucrative) parts of the economy! STUPID!
While we are on the subject of taxes, maybe you should go back and read the article, just so you can get a glimpse of how ridiculously complicated our tax code has gotten. I normally consider myself a fairly intelligent person, but quite frankly, I'm lost on most of this stuff. Plus there are two very large sections of the country that get away with very little, if any, taxes.
1) The super rich, not the people who are actually making money, but the people who HAVE money. The shear nature of their income makes it very difficult to track and tax. Add the right lawyers and accountants and it would appear that they don't have any income.
2) Those who make their money outside of the normal legal channels. Quite frankly if you are breaking the law to make money, you are certainly not going to be following the tax code in reporting it.
The solution is what is known as the Fair Tax or a consumption based tax system. Staples are excluded, but all other items are taxed at the time of purchase. Doesn't sound good to pay 15% sales tax on anything, but if you don't have an income tax, capital gains tax, tax on savings accounts, payroll taxes for employers, or the unlimited other taxes that strangle and strip your funds before you ever see them, then a hefty sales tax becomes very reasonable. If you want to save your money... great! Why should the government profit for you being responsible with your money? Of course, eventually you are going to spend it and when you do, you'll get taxed and the government will get it's money. Even less scrupulous income earners eventually want to spend their illegal cash and when they do it will be taxed. The same goes for those fortunate enough to be sitting on the family trust fund; eventually they will buy things, and when they do, they'll get taxed.
I don't know, it makes sense to me, which is a lot more than I can say for the tax code.
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