Skip to comments.Steve Forbes: Feeling flat (The long American tax nightmare is ending)
Posted on 10/24/2011 6:50:11 AM PDT by SeekAndFind
The Rise of Herman Cains 9-9-9 and other Republican plans show the nation is hungry for a flat tax
The nightmare on Main Street -- the federal income tax code -- is ending, which is fantastic news for our beleaguered economy. Dramatically simplifying this monstrosity would unleash a powerful wave of prosperity and job creation.
Thankfully in 2012 we will get a mandate to make this happen. Presidential contender Herman Cain vaulted to the head of the Republican pack when he proposed his 9-9-9 plan -- a flat 9% income tax, corporate tax and national sales tax. Even better, Texas Gov. Rick Perry will, in a few days, unveil his version of a flat tax, a concept that I have long advocated.
To put things in perspective: Lincolns Gettysburg Address, which defined the character of the American nation, is only 272 words; the Declaration of Independence, 1,500 words; the Constitution with all its amendments, 7,200 words; and the Bible, which took centuries to put together, 773,000.
The federal income tax code and all its attendant rules and regulations -- almost 10 million words and rising.
The code has been changed 14,000 times since 1986; last year alone there were 500 changes. The cost of compliance is horrific. The IRS itself calculates that we spend more than 6 billion hours a year filling out tax forms, the equivalent of almost 3 million full-time jobs. The Tax Foundation calculates that by 2015 annual compliance will be costing the American people some $483 billion a year.
The flat tax would junk the current code and replace it with a single rate that would apply to all incomes after generous deductions. There would be no tax on your savings -- you should be allowed to leave the world unmolested by the IRS.
(Excerpt) Read more at nypost.com ...
What plan is in place to reemploy the nation’s millions of accountants?
They would still be employed. Companies still have to do their annual statements, have audits as required by banks and bonding companies, etc. Lawyers can just slip into other fields. Plus, there would be so much growth that they can easily make a living helping to open busnesses, guiding people through the process of articles of incorporation, getting permits etc etc etc.
What plan is in place to reemploy the nations millions of accountants?
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They will be out there with the buggy whip salesmen and Morse Code Operators.
How about the plight of the plain, ordinary, run of the mill bill collector?
When the lawyers got overrepresented in business they turned to bill collecting.
If if weren’t for the draconian, tiny print tax laws, you wouldn’t need thousands of IRS agent and accountants to figure out how to ‘screw each other’.
Same reason we will never end the ‘war on crime’. Think of all the building security guards etc that would be on the street if we couldn’t fear an ‘ordinary man’ walking into an occupied building....
RE: What plan is in place to reemploy the nations millions of accountants?
Taxes still needs to be paid, but their jobs get a lot less complicated.
And of course, TAXES ARE NOT THE ONLY THING ACCOUNTANTS WORK ON IN A COMPANY.
The fundamental tasks of the occupationproviding information to clients by preparing, analyzing, and verifying financial documents still needs to be done. Many accountants also offer budget analysis, financial and investment planning, information technology consulting, and limited legal services will still need to be performed.
The only difference is — THEY WILL NOW FOCUS THEIR TALENTS AND EFFORTS ON HELPING THE BUSINESS RUN MORE EFFICIENTLY (e.g. being cost effecitve) INSTEAD OF TRYING TO HELP IT PLAY THE CAT AND MOUSE GAME WITH THE IRS.
RE: They will be out there with the buggy whip salesmen and Morse Code Operators.
The idea that taxes are the only thing that accountants do ought to be dissociated from our minds.
Accountants do MORE than taxes. There are Management Accountants, Cost Accountants, Auditors, and a whole slew of other specialties that they can work on.
They will still have jobs, but their efforts will be focused MORE on helping a company run more efficiently, not trying to negotiate the maze of a 75,000 page tax code.
It does not broaden the tax base thus leaving the current system of payers and payee in play for future political exploitation.
It maintains the current focus on taxing income instead of consumption thus punishing the producer at the expense of the users.
It leaves in place the current ability for trust funds and the massively wealthy to avoid paying any tax by structuring their payouts in forms other then income.
It does nothing to tap the underground off the books economy.
So while the Flat Tax is a massive improvement over the current system, it is merely rebuilding the existing tax code on the same corrupt, flawed foundation.
Of the two, Cain's 9-9-9 is the better plan.
They could become financial planners for all the newly-created wealthy? Or perhaps many could become employment couselors for out-of-work lobbyists?
The Flat Tax does not end the IRS
The Flat Tax does not lower or end the Corporate Tax.
The Flat Tax does not draw income from the underground economy, illegal immigrants, foreign visitors.
There is a reason so many people switched to the consumption tax - Fair Tax.
That is why I support Cain’s plan. 999 (phase 1)/Fair Tax (phase 2)
It is simply unamerican to hold an American citizen guilty until he or she proves their innocence.
Freezing bank accounts, seizing assets and instilling fear into ordinary citizens in many cases for falling on hard times.
Story after story of government officials using the IRS to intimidate political opponents or citizens lodging legitimate complaints of official misconduct (hint hint....Slick Willey).
They could become financial planners for all the newly-created wealthy?
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But that would mean ‘finding’ something somewhat different.
I left the Navy as a Morse Code Operator and went seeking employment...other than the Merchant Marine and a few ‘spook’ type jobs, the market was pretty well no longer there.
Couldn’t even find work in my old profession, pin setter at a bowling alley.
So, I stuck my head up my arse and moped, collecting unemployment for the next 50 years....
Maybe I just looked around, found the Asphalt Paving Business available and to my liking, became proficient at it and when it ran its course, got the right vehicle(s)and went into the Delivery/Courier Business.
There is work out here and all you have to do is apply yourself, your past profession can always assist you in something else.
If it was a decision for Unemployment/food stamps or washing dishes at Mickey D’s, look for me with the cap on, working his way up to “Do you want fries with that” to managing the dump.
Now of course, if my parents had wasted a small fortune on sending me to college, I would be above being in the asphalt or Mickey D line of work..../s/
Spoken like a true class warrior. Obama would be proud.