A new Tax System in now Needed.

Something to think about.

We must eliminate the IRS and go to a Flat Tax or a Fair Tax (sometimes called a consumption tax).  This would eliminate at least 95% of the IRS and make filing taxes easier.  Under a Flat Tax of 17% everyone, including businesses would pay 17% on income regardless of the amount of income reported whether you make $1 or $100 Million with either no deductions or limited deductions to charities (bonafide charities) and religious organizations. The mortgage deduction could be only 50% or not at all.  The 17% would also include the money deducted for SS and Medicare that is presently taken our of your salary. 

The Fair Tax would be a tax of approximately 23% on all purchases.  Now we know that seems high, but your income would not be taxed and the 23% would include present deductions taken out of your salary for SS and Medicare.  Also, this tax would be paid by everyone who makes a purchase, even tourist and those who make money illegally and not reported, but must buy items.  So, if you purchase a $25,000 car you pay $5,750 in taxes and if you purchase a $70,000 car you pay $16,100.  The more you buy and the more an item cost, the more you pay.  When you review how much is taken from your salary in deductions today, you will see that you will come out ahead or at least break even, but more income would come into the government and no need to file returns.  Of course this tax does allow some type of rebates to taxpayers but you must research this to better understand the benefits.  At least those three letters IRS will not frighten you anymore.  And one additional benefit of either of these two tax systems is it would eliminate our honest politicians in Congress from granting tax exemptions to their friends that has only increased the tax law to over 70,000 pages that nobody fully understands not even the IRS.  Remember, power corrupts and our present tax laws are made to corrupt.