Just as reactionary legal activists slowly and methodically captured the Court, greedy, selfish antitax zealots have slowly and methodically imposed their will on federal tax policy.
Thanks, Greg. I used to complain about taxes until my mom told me she thought of the government as a "silent partner" who needed funds to operate effectively for the benefit of the country.
Fingers crossed that Michael Graetz (and you) will help me have a better understanding of the anti-tax movement and how we can push against it. I do understand that eliminating tax cuts for the wealthy is key to most of the inequity?
I mean, no one WANTS to pay taxes. No one is excited about it. But it takes a more sophisticated, evolved human to understand that it is necessary for the collective good. That it isn't theft or slavery. How many billions do these people need?
The solution to the problem is simple if, in light of the filibuster, politically impossible. Put tax rates back to pre-Reagan levels, if not Eisenhower Era levels. Tax capital gains as income. End the carried interest loophole. Raise the corporate tax rate to 52%. Rich people will still be rich. Corporations will still be profitable. But the middle class will no longer carry the entire tax burden of the country on its shoulders.
just to play devil's advocate, a 52% corporate tax rate would lead to a mass exodus of corporations to other countries. 10 percent of the US GDP comes from tech companies and they are pretty simple to relocate.
If you couple the new tax rate with a repeal of two other Reagan Era giveways - tax deductibility of restructuring costs and deductions for income made outside the US, it becomes far less interesting from a corporate perspective.
That is the fear, and the corporations have us all hostage. They can incorporate in [insert tax haven country here]. But there must be ways to discourage that.
When Trump and his collaborators passed the Tax Scam they set the SALT deduction at $10,000 they put a real crimp in the mortgage deduction. I live in a modest house in Central New York in a town with a "reasonable" tax rate and it caused my taxes to go up. The right answer is to eliminate the tax and interest deductions on non-primary residences. This would hit the second. third and fourth (or more) homes of the billionaires, and the apartments in NYC or Miami owned by Russian oligarchs or South American drug lords.
This subject is timely (as I’m planning to take my paperwork to the tax preparer today), disturbing, and mind-bogglingly complicated. I think I’ll be happier today if I think about other things besides how the super-rich and power-hungry politicians are jerking us around.
I've been forced to wonder a lot recently whether there have been generations before where I am now at 66, who hoped that all of the things that are most certainly coming, will happen after I'm dead. The many breeds and flocks of chickens on their way home to roost will have big claws.
You’re lucky. I’m still waiting on mine-from last year. Been talking with IRS. All nice reps but I’m getting a different story each time as to why they haven’t sent me my $1,000 refund. I’m 77, retired and could use it.
And tourism is down under DeSantis...
Good point, Rick.
And yes, he's so old. SMH!
My education continues. Wow. This was the best essay I’ve ever read on the subject. Mt feeble mental wheels are spinning. Billserle.com
Thanks, Bill!
Thanks, Greg. I used to complain about taxes until my mom told me she thought of the government as a "silent partner" who needed funds to operate effectively for the benefit of the country.
Fingers crossed that Michael Graetz (and you) will help me have a better understanding of the anti-tax movement and how we can push against it. I do understand that eliminating tax cuts for the wealthy is key to most of the inequity?
I mean, no one WANTS to pay taxes. No one is excited about it. But it takes a more sophisticated, evolved human to understand that it is necessary for the collective good. That it isn't theft or slavery. How many billions do these people need?
The solution to the problem is simple if, in light of the filibuster, politically impossible. Put tax rates back to pre-Reagan levels, if not Eisenhower Era levels. Tax capital gains as income. End the carried interest loophole. Raise the corporate tax rate to 52%. Rich people will still be rich. Corporations will still be profitable. But the middle class will no longer carry the entire tax burden of the country on its shoulders.
AGREE
just to play devil's advocate, a 52% corporate tax rate would lead to a mass exodus of corporations to other countries. 10 percent of the US GDP comes from tech companies and they are pretty simple to relocate.
Good point. But...
If you couple the new tax rate with a repeal of two other Reagan Era giveways - tax deductibility of restructuring costs and deductions for income made outside the US, it becomes far less interesting from a corporate perspective.
That is the fear, and the corporations have us all hostage. They can incorporate in [insert tax haven country here]. But there must be ways to discourage that.
Co-sign! Thanks for spelling this out, Peter.
Any objective look at reforming the tax code would also do away with the mortgage deduction, but good luck with that...
When Trump and his collaborators passed the Tax Scam they set the SALT deduction at $10,000 they put a real crimp in the mortgage deduction. I live in a modest house in Central New York in a town with a "reasonable" tax rate and it caused my taxes to go up. The right answer is to eliminate the tax and interest deductions on non-primary residences. This would hit the second. third and fourth (or more) homes of the billionaires, and the apartments in NYC or Miami owned by Russian oligarchs or South American drug lords.
This subject is timely (as I’m planning to take my paperwork to the tax preparer today), disturbing, and mind-bogglingly complicated. I think I’ll be happier today if I think about other things besides how the super-rich and power-hungry politicians are jerking us around.
I hope you get a nice return!
I've been forced to wonder a lot recently whether there have been generations before where I am now at 66, who hoped that all of the things that are most certainly coming, will happen after I'm dead. The many breeds and flocks of chickens on their way home to roost will have big claws.
That is a wonderfully poetical last sentence, Steve. Well done.
It was Louis XV who said "apres moi, la deluge," which means, basically, after I'm dead I could give a fuck.
Just got my refund.
You’re lucky. I’m still waiting on mine-from last year. Been talking with IRS. All nice reps but I’m getting a different story each time as to why they haven’t sent me my $1,000 refund. I’m 77, retired and could use it.
My mom had this problem last year. It took over a year. No idea why.
You asked in another comment about the Whitehouse interview:
https://podcasts.apple.com/ee/podcast/captured-an-interview-with-senator-sheldon-whitehouse/id1553506699?i=1000540110863
Thanks for the link Greg.