Republicans, here's your chance.

[Mac1958]

I have provided many times multiple ideas on exactly how to not only cut spending, but also cut tax rates for everyone, and pay down the debt all at the same time.

Unlike others who speak in overly broad terms, I have very specific details on what to do.

I will list them again:

1. Ban all tax expenditures. We spend $1.4 trillion a year on tax expenditures. Just banning those alone would balance the budget with money left over. Tax expenditures are the primary driving force behind high tax rates and high borrowing. It is total horseshit to blame our overspending on the poor. The only tax expenditure I would leave in place is the EITC. The EITC is proven to increase worker productivity.

No politician will ever campaign on banning tax expenditures because a large part of their campaign contributions come from special interests who pay them to put those expenditure in the tax code. But if we did ban tax expenditures, it would have the serendipitous effect of driving money out of politics which Dems are constantly complaining about. So this could and should be a bipartisan effort.

Banning tax expenditures would also allow us to lower tax rates for everyone.

This is why banning tax expenditures is my number one priority on the list of things we need to do.


2. Raise the Social Security and Medicare eligibility ages to 70, and index the age to 9 percent of the population going forward. When Social Security was enacted, only 5.4% of the population was over the age of 65. Today, about 15% of the population is over 65, and climbing. This is an unsustainable trend.

The simple fact is that we are living much longer than our ancestors and so we should be working longer.



3. Abolish the income tax and enact the Fair Tax. The income tax is a tax on production, the Fair Tax is a tax on consumption. Consumption taxes are economically superior to production taxes.

Another advantage of the Fair Tax is that our politicians are able to place hidden tax increases in the income tax code without the American people catching on. If you asked the average person how much they paid in income taxes for 2020, I would bet more than 90 percent would be unable to tell you. They might remember how much their refund was, but they won't know how much tax they actually paid, or if it was more or less than the year before.

With the Fair Tax, everyone everywhere would immediately know if their taxes increased. Politicians would have a much harder time scamming the public.

This all hinges, of course, on banning all exemptions from the Fair Tax. People seem to be under the impression, especially proponents of the flat income tax, that tax expenditures are strictly an income tax thing, but they aren't. Just ask anyone who lives in a state that has a sales tax what items are exempt. Exemptions are a type of tax expenditure which requires a higher sales tax to make up the difference. Just like tax expenditures in the income tax code require higher tax rates to make up the difference.



4. Cut defense spending. The more war toys we have, the more we want to play with them and we end up embroiled in places we shouldn't be. It's time for our allies to step up to the plate and do their fair share. They mock us for our entitlement programs not being as generous as theirs, but who do they call first when they need someone to go to war for them? Fuck. That. Shit.

Holy shit, some good stuff there. What a refreshing detour from the rest of the thread. While I disagree with the tax stuff (to be explained) that's an interesting mix that isn't full of partisan talking points.

Yes, Social Security and Medicare have simply outlived their original structures and must be addressed. I don't see a way around that. Other possible options are accelerating the retirement age increases and increasing/eliminating the payroll tax on SS. And as we've been discussing here, it's hard to imagine that tech advances haven't improved military efficiencies that should produce savings.

Regarding taxes: I spend a lot of time dealing with clients on their taxes, both during tax season and proactive tax planning, personal and business. At this moment (and admittedly subject to change) most of the various incentives (expenditures) built into the tax system are a net positive in my book. In other words, the behaviors they incentivize are largely appropriate and constructive.

That said, your point is rarely addressed in the discussion. This isn't just about marginal rates, it's about what happens when you dig deeper. It's those more behind-the-scenes tweaks that can make a huge difference.

 

[Fort Fun Indiana]

Yes, Social Security and Medicare have simply outlived their original structures and must be addressed.

Simple mathematics. We arent too stupid to figure it out. We are just too stupid and dysfunctional to implement to the solutions.

 

[easyt65]

You guys keep trying to change the subject. I invite you to start another thread.

Clearly you don't want to take responsibility for anything.

Democrats wanted power.
YOU wanted the Democrats in power.
The Democrats ARE in power.
So stop asking the MINORITY to now lead the Majority who is now in power - Democrats.
So stop asking the minority GOP to do what the Majority Democrats refuse to do.

 

[Mac1958]

You never addressed the first post which was full of my thoughts on cuts. You skipped the topical content and went straight to crying about my "meanness"

Sissy boy

Why did you put "meanness" in quotes? I didn't say that. The alternate universe remains.

Okay Gramps, never mind. I'm not gonna chase you down the rabbit hole you now occupy.

 

[Mac-7]

The Earned Income Tax Credit Raises Employment

www.nber.org

This largest federal cash transfer program also successfully meets its explicit goal of encouraging low-income parents to go to work by, in effect, lowering their tax rate and providing a financial bonus for that work effort.

It takes very little effort for a single mom to collect thousands at tax time

Just work a few pay periods and she’s home free

 

[sartre play]

Went back and read post 39 again, interesting but I have some lack of faith in the Republicans & how they deal with S S. As they tried to get rid of it in Bush 2 reign. This is a hot button issue for all those retired or will become retired in the coming years. that are not in a high income bracket. Question things like why there is a cap on how much high incomes have to pay into SS. Asking questions about were why when we should tax spend or cut are good questions to ask. This is an issue that is tip toed around after the Bush failure to destroy SS.

 

[Fort Fun Indiana]

It takes very little effort for a single mom to collect thousands at tax time

Good. That money helps her kids. Of course, in the minds of delusional xenophobes, it is all spent on crack or shot into space, instead of helping the kids and being put right back into the economy.

 

[Remodeling Maidiac]

Why did you put "meanness" in quotes? I didn't say that. The alternate universe remains.

Okay Gramps, never mind. I'm not gonna chase you down the rabbit hole you now occupy.

Why the hell would that be the FIRST thing to cut?
There are tons of frivolous programs to cut.
There are redundant departments to cut.
Massive amounts of foreign aid.
Etc...

Your post is ridiculous

There is THE VERY FIRST RESPONSE in this thread. My response.
You've spent 3 or 4 posts now crying about my demeanor and completely ignored my point.

You CLEARLY weren't looking for any legit responses. Troll

 

[g5000]

g5000
Not as much as cutting them did.

You ever get tired of making shit up?

 

[Mac-7]

Good. That money helps her kids.

Sure


It helps the kids enjoy a new big screen tv or the latest iPhone

Welfare bums spend that money in just a few days

 

[DBA]

See? You're whining like a welfare queen.

Tax expenditures cause everyone to pay higher tax rates. Everyone is being robbed to pay for your deductions, exemptions, and credits.

In terms you understand, you are getting "free shit", and everyone else has to pay for it by paying more taxes. You are stealing from other tax payers.

Just like food stamps.

And it is a fact that the employer provided health insurance deduction drives the cost of healthcare UP. It needs to go away. You should be buying your health insurance the same way you buy your auto, home, and life insurance, and you should be asking yourself why both parties are preventing you from doing that.

Sorry but not paying as much is not the same as getting free stuff. I get to keep more of what I earn, not get a check in the mail. Maybe you are the person that believes that you actually made $20 if you got 20% of a $100 dollar purchase.

Your food stamps example is quite the opposite.

 

[pknopp]

And it was that tax cut which contributed to the debt increase.

Along with the massive spending.

 

[Claudette]

g5000
You don't seem to get tired of it.

 

[g5000]

Clinton raised taxes in 1993. Tax revenues between 1993 an d1994 went up 9.2 percent.

Bush cut taxes in 2001. Tax revenues between 2001 and 2002 went DOWN 9.2 percent.

Bush cut taxes again in 2003. Tax revenues between 2003 and 2004 went up 9.4 percent.

Obama increased taxes in 2013. Tax revenues between 2013 and 2014 went up by 9.2 percent.

Trump cut taxes in 2018. Tax revenues between 2018 and 2019 went up 9.6 percent.

U.S. Federal Government Tax Revenue

The federal government generates tax revenue through sources like income and corporate taxes. Learn how much tax revenue the U.S. generates each year.

www.thebalance.com

Historical Federal Individual Income Tax Rates & Brackets, 1862-2021

How do current federal individual income tax rates and brackets compare historically?

taxfoundation.org

 

[Fort Fun Indiana]

It helps the kids enjoy a new big screen tv or the latest iPhone

As i was saying...delusional xenophobes lying out loud to themselves... Thanks for the immediate illustration. I can always count on your reflexive cruelty and stupidity.

 

[DBA]

Wrong again, I pay a lot of attention to the markets. I am a data geek, I trust things that are quantifiable. An accomplishment that is not quantifiable is meaningless to me.

Saying something like exceeding expectations from the government "experts" is nothing but an empty platitude unless it can be supported with data.

It is supported with data. Supposedly, the economic "experts" use quite a bit of data to develop their forecasts. What they didn't take into account, or failed to acknowledge, was the favorable impact of the Trump policies on the labor market and the overall economy. If not for his favorable policies, one could surmise that the numbers would have been inline with the projections. If he had continued Obama's policies, those projections may have been right on the money.

 

[g5000]

I'd agree, but I don't see how we do that with govt and health care industry employees. And telling man/woman who works for his/her family that he'll get the same insurance as woman with no jobs and kids from mult fathers ... is an insult

Why would a family man/woman who buys their insurance the same way as they buy their home/auto/life insurance be getting the same insurance as a welfare mother?

I am not following.

 

[Claudette]

g5000
Trumps tax cuts but 1.8 trillion into the Fed.

 

[g5000]

Those are very stupid ideas and will never happen. Rand Paul is a moron and knows even less than his moron father about modern economics.

It always makes me laugh when Libertarian posts one of those quizzes which supposedly shows where on the political spectrum you fall, and they use a diamond-shaped figure to plot where you are.

The push poll gives Libertarians the mistaken impression that a lot of people are Libertarians and just don't know it.

Then I post the wackjob beliefs Libertarians have to show that the American people rightly laugh them out of the ring.

 

[whitehall]

Solid advice about fiscal responsibility to cut spending before cutting taxes. Why doesn't the democrat party follow it?