Rand Paul's Flat rate Tax?
June 30, 2015 at 3:10 pm #135561cprteacherParticipant
I have long thought that a Flat rate Income tax would be the fairest way to make sure that all tax payers share the tax burden equally. Rand Paul is now declaring this to be one of his basic platforms to become our next President. I belive Mr Paul has some good points and some bad points. Not quite sure I am ready to throw all my support to him. Any one care to weigh in? Thanks, BillJuly 3, 2015 at 12:00 pm #136050ComfortableParticipant
I agree that it is long past-due! The tax laws get crazier each year and there is no longer any such thing as an easy tax form. I appreciate that Rand Paul speaks common sense and doesn’t bother being PC. He has political history and connections (his and through his dad). I don’t know who I would vote for today, but he’s on my short list.August 4, 2015 at 11:25 am #139697SherrieLParticipant
Well, in theory, it’s a good idea, but I see a couple of problems. One, the market for houses and condos for sale will drop through the floor. Without the deduction for mortgage, most people considering a first home purchase will look at the costs of borrowing, the fact that one assumes the onus of repairs that are taken care of in rentals, and the lack of flexibility in mobility to outweigh the advantages of owning. As the value of real estate falls, the property taxes collected by states and municipalities will fall, as they did during the last crash, forcing these taxing bodies to raise taxes to the limits of whatever levies they are allowed, or cut education, roads, and other services that property taxes cover.
Two, it will hit the lower-income people hardest, even though in theory it is income neutral. Example: You are a $10 an hour worker. a 10% tax only takes $1 from you, but boy, that HURTS! Your are a $100 an hour worker, and a 10% tax takes $10 from you. Hurts a whole lot less. I have been, at different times in my life, both a $10 an hour worker and a $50 an hour worker. I didn’t notice expenses at $50 that hurt like heck at $10, but those expenses, like medical expenses, insurance on home and life, and transportation, did not change as my income changed.
I have other examples, but this is a long post even for me.
The forum ‘In the News’ is closed to new topics and replies.