posted on Apr, 18 2004 @ 10:03 AM
I have much to add to the topic of taxes and little time to explain. I don't always try to be correct as much as to add different ideas to the
A tax cut that results in a budget deficit is not a tax cut for the Federal government. The Federal government can just get the Federal Reserve to
print money to purchase the bonds needed to fund the deficit. This results in the value of the dollar dropping and prices rising. This is the Bush
economic plan so Bush didn't lower taxes at all. Bush just switched the taxation to a form that most people won't recognize as a tax. This is a
stealth tax known as inflation. It hits everyone holding dollars and dollar debts. It hits the poor hardest because they don't have the resources or
knowledge to hedge against this. They just end up paying more for food, energy, insurance, health care and most everything. Some of the rich are
stupid and never notice the value of their dollar holdings going down. Their cost of living is small relative to their wealth so they don't feel the
impact of higher prices. The wealthy with good financial advisors know what is going on and can hedge against the value of the dollar dropping.
I can't believe people accept the idea of an income tax in a democracy. Being forced to submit an annual report on your activities is the ultimate
invasion of privacy. We should get rid of the income tax as soon as possible. The wealthy really laugh at the income tax but they pretend to hate it.
The wealthy don't need income so it's just a big joke to them. Any one think Bill Gates worries about how much income tax he pays?
Here are my feeble solutions,
1) The size of the Federal government has to be reduced.
2) The Social Security/Medicare system has to be completely separated from rest of the budget. Also it should be reformed to reduce it's size. Make
it more of a safety net than a mandatory pension plan.
3) Fund what's left of the government with corporate income taxes, import taxes to regulate trade, and tax on oil to promote alternative energy.
[Edited on 18-4-2004 by heatratio]