Obama Weighs a Broad Tax Overhaul (simplifying income taxes for corporations and individuals)

New York Times ^ | 12/10/2010 | Jackie Calmes

[SeekAndFind]

WASHINGTON — President Obama is considering whether to push early next year for an overhaul of the income tax code to lower rates and raise revenues in what would be his first major effort to begin addressing the long-term growth of the national debt.

While administration officials cautioned on Thursday that no decisions have been made and that any debate in Congress could take years, Mr. Obama has directed his economic team and Treasury Department analysts to review options for closing loopholes and simplifying income taxes for corporations and individuals, though the study of the corporate tax system is farther along, officials said.

The objective is to rid the code of its complex buildup of deductions, credits and exemptions, thereby broadening the base of taxes collected and allowing for lower rates — much like a bipartisan majority on Mr. Obama’s debt-reduction commission recommended last week in its final blueprint for reducing the debt through 2020.

Doing so would offer not only an opportunity to begin confronting the growth in the national debt but also a way to address warnings by American business that corporate tax rates and the costs of complying with the tax code are cutting into their global competitiveness.

Mr. Obama signaled his inclination in off-the-cuff remarks on Wednesday as he was defending the tax cuts deal negotiated with Congressional Republicans this week. “We’ve got to have tax reform,” he said.

Economic and political advisers say the process is in its early stages, and Mr. Obama ultimately could decide against such action, given the pitfalls, both political and substantive. In the past, any effort to alter the tax code has provoked powerful opposition among interest groups, and the picking of winners and losers.

[Yo-Yo]

This is what Reagan did. He lowered tax rates and also reduced deductions (got rid of the two martini lunch deduction, for example.)

The mantra of the day was “revenue neutral.”

Why do I get the impression that Zero will reduce deductions, but not reduce tax rates?

[traditional1]

Going to formalize wealth-redistribution to "equalize incomes" because there's "too much income disparity in the U.S. today".

We gottsta share the "pie".

[Pearls Before Swine]

It took two years to think about tax simplification? Obama style simplification: 1) What did you make? 2) Send it in!

Unless of course, you’re a favored class taker.

[sappy]

“.... to lower rates and raise revenues.”

odd phraseology coming from the slimes.

[Pietro]

....and so the triangulation begins.

This could be a good start, if properly pursued, to end the IRS as we know it. Naturally, that's not what O has in mind, but from such little seeds..........

[concerned about politics]

A consumer tax is the answer. First, the more you consume - the more you pay. Second, the drug dealers and pimps would finally have to pay like everyone else. Third, and most important, the welfare dependents would also have to pay. If they had to pay, they'd think twice about voting for new social programs and additional government jobs and pensions. THEY'D also be paying for it - or at least believe they are. They'd be voting themselves LESS money every time the democrats win instead!
If EVERYONE had to pay, higher taxes would become a campaign killer!

[liberty_lvr]

Dubya talked about spending his political capital in the second term to try and enact reforms to increase the "ownership" society, including a major revamp of the tax system.

We all know how well that worked out - he didn't even get out of the starting gate with his ideas.

And now President Trainwreck thinks he has enough capital to pull this off?? The arrogance of this little man just never fails to astound me.

[ScottinVA]

0bama + “Overhaul” = A VERY bad mix!

[TribalPrincess2U]

As long as it’s not VAT. That is scary.

[concerned about politics]

We gottsta share the "pie".

Instead of sharing money, why not start a campaign to share the WORK instead? If the labor is shared, the wealth will automatically redistribute itself.

Support financial equality. Share the WORK. The money will take care of itself.

[Bigun]

There is only one tax reform measure worth doing and that is to throw the communist inspired income tax onto the ash heap of history, where it so properly belongs, and replace it with a broad based consumption tax such as the Fairtax bill currently pending in the House Ways and Means Committee!

[Vaduz]

Obama signaled his inclination in off-the-cuff remarks.Puts finger to wind.

[from occupied ga]

Obama Weighs a Broad Tax Overhaul (simplifying income taxes for corporations and individuals)

Obama Weighs a Broad Tax Overhaul (simplifying increasing income taxes for corporations and individuals)

There - fixed it.

[Carley]

Lies and more lies.

Remember when he said before the mid terms that he was going to lift the ban on offshore drilling.

Who is going to be fooled by his bull. No one.

[MrB]

That’s the NRST.

With the NRST, the citizen is in charge of how much he pays in taxes by his consumption choices.

With the present system, with its unequal application due to special exemptions and deductions, the politicians have the power.

They aren’t going to give this up easily.

[WOBBLY BOB]

Barry wants a simple flat rate of 100%

[Pietro]

"..President Trainwreck..." I can hope, afterall, can't I?

[MrB]

I like the simplicity and straightforwardness of this translation:

Proverbs 16:26 (Contemporary English Version)
The hungrier you are, the harder you work.

[from occupied ga]

because there's "too much income disparity in the U.S. today".

But what about the effort and ability disparity? Shouldn't all of the smart people have brain surgery to damage their brains and lower their IQs to reduce the disparity? Shouldn't all of the hard working people be forcibly addicted to heroin to lower their work ethic? Shouldn't all of the athletes... Oh wait - nevermind, It's OK to recognize athletes have abilities that other people don't have, It's just not ok for anything other than physical ability.