I have heard of several different tax plans: Everything from 999 to lowering the corporate tax rates. What is wrong with a flat sales and service tax?
One flat tax across the nation. This tax would undo all others and be the only tax in the nation. It would have to be fairly high, probably between 25%-30%, but you would pay no other taxes at all. You only pay taxes when you spend money.
It could be proportional across the nation, something like 19% to the federal government, 6% to the state where that fare was charged, 3% to the county/parish where the fare was charged, and 2% to the local municipality.
In the long run, I believe that this would put more money, into the local government's hands and then they would need less hand-outs from higher echelon's of government. It could possibly allow for the deletion of, or at least a severe drawn down, for such agencies as the Dept.'s of Education and Transportation. If monies gathered locally were more, then those monies could be placed right back into the community that needs it and spent it and we would not have to pull monies from the other side of the nation. Case in point...there is an island at the southern end of NJ called Wildwood. It is a summer beach community/tourist site. There are 3 bridges to/from the island. Is it really fair for the people in Anchorage, Alaska to have to help pay the bill through the Dept of Transportation when Wildwood needs a new bridge or an older one repaired? No. The people who live in Wildwood and the surrounding areas are the ones who benefit from those bridges. Thus, they should be the ones paying for it.
Sales and Service tax defined a little more.. Straight up sales tax at the register or when the bill of sale is completed. Also, the service part...employers would pay an equivalent tax for each of their employees, proportional to the wages paid to their employees. That's it. No other taxes, at all.
Tell me, Mr Governor, what is wrong with this plan?
"The World According to Dave" an essay completed while I was in college. I no longer have that essay readily available, so I cannot say from where I acquired my references.