Obama to propose tax reform plan

[rightwinger]

Obama may propose sweeping tax reform plan - The Oval: Tracking the Obama presidency

Changing the tax code, as was last done in 1986 under Ronald Reagan, would involve a basic trade: Get rid of many, if not most, of the $1.1 trillion in tax breaks, exemptions and deductions built into the code, and use the money to lower tax rates.

The 18-member bipartisan fiscal commission voted 11-7 for a deficit reduction plan that would wipe out nearly all those tax breaks, keeping only those for children and families, charities, health insurance and home mortgage interest. Some on the panel wanted to get rid of those as well.

In return, tax rates would tumble, with the top rate dropping from 35% to no more than 29%. The panel would use some of the savings for deficit reduction as well.

 

[StevenC]

I would love to see this happen.
It is past time to get rid of the loopholes.

 

[Jarhead]

I would love to see this happen.
It is past time to get rid of the loopholes.

When tax shelters were eliminated, the loopholes were gone....loopholes is the wrong word to use here.

My question is, other than the exempotions that are listed as being retained...what are the ones they would eliminate?

Capital losses? But keep in Capital gains?

Personally, I really dont see this type of reform working.

Flat tax on income is the answer....one tax based on your income. No deductions no exemptions....one percentage for all.

 

[Avatar4321]

Make everyone pay a flat rate and eliminate the loopholes. Otherwise it's not reform. it's just tweaking the current craphole of a system.

 

[blastoff]

Well whatever extreme scheme Barry comes up with won't see the light of day in the new Congress.

 

[Jarhead]

Make everyone pay a flat rate and eliminate the loopholes. Otherwise it's not reform. it's just tweaking the current craphole of a system.

What makes me laugh is how those that pay little to no tax at all want to eliminate the write offs.

Yet, if they had write offs....bet they would be on the other side of the debate.

 

[Claudette]

Flat tax is the way to go.

Everytime some egghead fiddles with the tax code we get another mess that no one can figure out.

 

[loosecannon]

Is the capital gains tax a loophole?

 

[rightwinger]

Is the capital gains tax a loophole?

Big one

 

[Jarhead]

Is the capital gains tax a loophole?

loophole refers to legal "manipulation of the tax code" to pay less than you are supposed.

So how can capital gains tax be a "loophole"?

 

[Meister]

Obama may propose sweeping tax reform plan - The Oval: Tracking the Obama presidency

Changing the tax code, as was last done in 1986 under Ronald Reagan, would involve a basic trade: Get rid of many, if not most, of the $1.1 trillion in tax breaks, exemptions and deductions built into the code, and use the money to lower tax rates.

The 18-member bipartisan fiscal commission voted 11-7 for a deficit reduction plan that would wipe out nearly all those tax breaks, keeping only those for children and families, charities, health insurance and home mortgage interest. Some on the panel wanted to get rid of those as well.

In return, tax rates would tumble, with the top rate dropping from 35% to no more than 29%. The panel would use some of the savings for deficit reduction as well.

I'm all for the concept....I just need to know the details, and of course, the earmarks.

 

[Jarhead]

Is the capital gains tax a loophole?

Big one

Strong assertive answer.

So please explain. How can a tax be a loophole?