Income tax was originally sold to the American people as a way to get money out of the rich without ever touching the middle class. We all know that isn't the way it turned out. I think income tax should be done away with, on the federal, state and local levels. I also believe that social security tax should be done away with. To put it simply, I think you should get your whole paycheck.
Governments should raise money the old fashioned way, through sales tax. That way, all taxes are voluntary. You know what you are paying, going in. Either you buy the product, with the sales tax, or you don't. And there's no need to file a tax return every year and to keep track of things or pay accountants. The IRS can be eliminated.
I would place different rates of tax on different items. Essentials like baby food should have no sales tax at all. I really don't believe that our government needs to shove its hand into your pocket when you are feeding your baby. I would also not place any sales tax at all on fruits and vegetables, and maybe some other food essentials. There might be other items with no sales tax at all.
At the other end of the scale, extreme luxury items should be taxed most heavily. If someone wants to buy a new private jet each year at several million dollars a pop, that is a person that America has done very well by, and that person can "give back" to America at the highest rate of sales tax. I'd much rather impose a hefty sales tax on private jets than impose any sales tax at all on baby formula.
As for state and local taxes, I can see them being forced to adopt the same rules as the federal rules. So baby formula would by federal law be free of all sales tax, for state and local taxes as well as for federal taxes, and private jets would be at the highest rate of state and local taxes as well as federal taxes.
It is just a matter of mathematics to make sure that the governments collect what they need through sales tax instead of income tax.
I believe that this change would benefit the working people and would tax the filthy rich much more. And that is the way it should be. The people getting the most, financially, out of the American way of life should be the people giving the most back.
I would also favor the elimination of the social security system. It should be replaced by a 10% automatic pension plan. Every employer would have to give 10% of everyone's salary to their IRA, instead of sending money in to the federal government as tax withholding against their income tax. I don't think any money at all should be deducted from your paycheck. Everyone has their hands in your wallet.



