The Current Tax Code For The United States - 1626 Words

The current tax code for the United States is almost 74,000 pages long. Or to put that into a different light: About 116 copies of Herman Melville’s Moby Dick. It is small wonder that a few of the announced candidates for President of the United States, have again begun to kick the tires on the topic of a Flat Tax. But is a flat tax actually a solution to our country’s growing tax complexity? What are the potential economic effects of a flat tax (both positive and negative)? Finally, is a flat tax even a viable solution? In short, will it work? As a concept, a flat tax is spectacular. Simplicity at its finest. As a fiscal policy, I believe that same simplicity must be examined and inspected closely. The federal tax code has a level of complexity so great, that reforming it should be the one thing Republicans and Democrats can agree on. Instead, proposal after proposal calling for reform die in Congress. And there have been a lot of proposals. Arlen Specter (D-PA) put some form of a flat tax/tax reform proposal into Congress’s hands every year from 1995-2010. This is because, for the most part, the fight for reform always comes down to a two sided debate. One side wants to keep the current complex structure and the other sees no other alternative than blowing this current structure up and moving to a flat rate system. All of this brings me to the arguments for/against the flat rate tax system. Underreporting (whether intentional or unintentional) and taxShow MoreRelatedFlat Tax Reform : A Call974 Words   |  4 Pages Flat Tax Reform: A Call to Action â€Å"I love paying my income tax! This tax system is so easy to understand!† said no United States citizen, ever. No one has ever said this because it is highly unlikely that no one actually enjoys struggling with the complexity of the current income tax system in the United States. The concept of contributing to the good of the community, county, state, and nation through taxation is not new, nor is it generally opposed by American citizens. Most tax paying citizensRead MoreBarack Obama s Current Tax Code1728 Words   |  7 Pages different tax policies are being debated between the candidates. Whether it is proposed by a Democratic or a Republican presidential candidate, there have been many possible solutions presented on how to reform the current tax code. Focusing specifically on four candidates, two from the Democratic Party, and two from the Republican Party, I will compare and contrast their respective tax proposals. While the Democratic candidates generally agree w ith President Obama’s current tax code, all four candidatesRead MoreThe Long And Complex Tax Code The United States1241 Words   |  5 PagesThe issue at hand is the long and complex tax code the United States currently has in place, there are more than 74,000 pages in the tax code. From 2001-2010 4,430 pages were added to the tax code, an average of a page a day. Because of the extensive tax code, there are many loopholes that allow people and businesses to evade paying large amounts of taxes, some people save billions of dollars. There are at least six loopholes that the average tax filer can exploit to save large amounts of money onRead MoreEncouraging Economic Growth with the Fair Tax Act1728 Words   |  7 Pageshave a problem. The President’s 2010 Debt Commission reported that the United States tax code must be drastically reformed in order to avert a long term economic crisis. The report stated that: The tax code is rife with inefficiencies, loopholes, incentives, tax earmarks, and baffling complexity. We need to lower tax rates, broaden the base, simplify the tax code, and bring down the deficit. We need to reform the corporate tax system to make America the best place to start and grow a business andRead MoreA Fair System Of Taxation1569 Words   |  7 Pages Since taxes have been collected in the United States, there has been substantial debate about what constitutes a truly fair system of taxation. After all, taxation without representation was the basis on which the Revolutionary War was fought against England; the new colonies were loathe to continue to accept a system in which they had to pay taxes that were dictated by a monarchy that appeared to have less and less interest in fairness. In fact, Great Britain had become completely engaged inRead MoreTax Reformation Common Ground1097 Words   |  5 PagesThe tax policy in the United States is very confusing. When the tax policy was originally written in 1913 it was four hundred pages. Now, over the past ninety one years, that tax policy has evolved to over 72,000 pages. Since the tax code has become so lengthy and nearly impossible to understand, the topic of tax reform has been in the minds of many. Although, most barely think about tax reform until tax season. It is a controversial subject due to the impact a change in tax code would have on theRead MoreUnited States Should Institute A Flat Tax System1524 Words   |  7 Pagesis to tax its people, like the Federal Income Tax. Many question the Federal income tax, asking if this is a tax to support the welfare of our nation, or has it become a wealthy industry under the guise of social justice. The United States should institute a flat tax system, because it is simpler, it would eliminate double taxation. And remove obstacles to building wealth. A flat tax would be much easier to calculate and enforce, reducing the enormous cost in complying with current tax codes. TheRead MoreThe Current American Tax Code1566 Words   |  7 Pagesand Bernie Sanders, maintain a fixed position on the way they think the current tax code should change. With all the issues and criticism the current American tax code faces there is an ongoing debated on how it should be dealt with. This Paper will explore all four, of the previously stated candidates’ tax plans Retired American Neurosurgeon and Republican Presidential Candidate Ben Carson’s tax plan consist of the Income Tax section, which establishes a flat rate of 10% to 15% on ordinary incomeRead MoreThe Tax Laws And The United States Constitution1097 Words   |  5 Pagesof the 16th amendment to the United States Constitution, Americans have faced the burden of federal income taxes. Income taxes were first proposed as a better way of gathering revenue, as well as an effective measure to manipulate economic spending. However, the current tax code bears very little resemblance to the relatively simple codes that were originally written into law. Today’s tax laws have grown astonishingly complex and unequally distributes the burden of tax liabilities. Our country shouldRead MoreAmerica s Tax Policy Is Not Appropriate For The United States1236 Words   |  5 Pagessociety is America s tax policy. Currently, there is three different solutions to the current tax system. One is lowering the rate for progressive tax, our current tax system, which is progressively higher tax rate with more income. The second is fair tax, which is where people are only taxed for buying goods, not their income. The most suitable solution, is where everyone is treated fairly and must pay the same percentage of tax; this is known as flat tax. Our current tax policy is not appropriate