|
|
Flat Tax Helps Domestic PolicyApr 01 '00 Write an essay on this topic.The current tax code allows political tampering to infest domestic policy decisions. There are numerous cases of tax regulations implemented to aid a specific cause or a particular Congressman's district. The tax code, like any tool of power, will ultimately be misued by those entrusted to manage the code (US congress and Senate) Domestic policy decisions should be made on the merits of the pros and cons of the particular issue at hand.A flat tax would eliminate a misused domestic policy tool(the tax code)which would encourage domestic policy decision making on the basis of facts. The flat tax is not automatically regressive. In fact, it can be setup in a way that helps lower income people. For example, the flat tax can be setup so that a person's first $25,000 of income is not tax. the flat tax would only be applied to income over the $25,000. In this way, the people who can "most afford" to pay tax will pay tax. In reality, the current tax code is regressive because upper income earners have more opportunity to take advantage of deductions (i.e. large charitable contributions). Because they are unable to donate to charity or conduct other activities that may allow them to take advantage of itemized deductions, they are not able to reduce their overall tax bill. While the percentage they pay may be lower than upper income earners, the actual dollars they pay has a more significant impact.  |
| Write the first comment on this review! |
