What about the tax code?

I guess now that the stimulus plan is semi-implemented, your employees are much better off with the reduction in their employee withholding. Right? Probably wrong! Although getting anything may be better than nothing, I suppose. It might be too little too late or too little for not long enough. As an employer, you should be outraged by our tax structure and tax code anyway.

I have always been in favor of a flat tax. !0% for everyone and all businesses. You make a dollar, you pay a dime. You make a million, you pay one hundred thousand, etc. There would be no deductions at all. I could live with deductions for mortgage interest and contributions/donations to certain organizations like churches, Goodwill, Red Cross, and many local charities provided it did not exceed say 20% of their gross income. If my calculations are correct, there would be a surplus especially with the reduction in costs at the IRS and CPA's and tax attorneys.

HOWEVER, the more I hear about Mike Huckabee's proposed "Fair Tax", the more I like it. It would be a consumption tax paid the same by everyone. Some have called it a National Sales Tax for lack of a better term. It might eliminate the IRS and provide the basis for everyone to participate equally. Under Governor Huckabee's plan, there would be deductions for charitable contributions and mortgage interest, but little, if anything, else. If you buy a new Chrysler 300M, you pay the same tax as for new computer or new sofa. I am not sure, but under his plan food might be treated differently as well. Overall, it is a good idea. Then you and your employees can determine what they will do with all their money because they would know what the tax ramifications are upfront!

What do you think?