we are already treated equally on income taxes under the law....every taxable income bracket is EQUAL for everyone in it...no one pays a dime more for every dollar earned in THAT taxable income bracket.
This snake sort of eats itself. As soon as you put people and brackets and treat them differently - well, that's not equal, but ...
It's discriminating on one isolated factor (income level). And even a flat tax has a level of inequality to it, in that people who make more money still pay more in taxes.
What makes our income taxes UNFAIR or UNEQUAL, is all the tax write offs and loopholes written in to the tax code that favors some over others.
This is, by far, the most egregious corruption of our tax system. And, while I would favor a flat tax over a progressive tax, ending the loopholes and incentives polluting the tax code would be the bigger improvement, and should be done first.
so, how about a flat tax with no deductions using a tax bracket system similar to what we have now...only NO DEDUCTIONS allowed, but lowering the tax percentages for each bracket with the money earned in the highest bracket being 20%....and maybe the taxes at the beginning tax bracket at 2%?
the only problem with any of these measures of a flat tax, yours and mine, is that the SC in a decision of some sort way back when, said that taxable income is "profit" being taxed, not plain income....so our standard deduction and personal exemption covers our minimal living expenses, and none of us are taxed for the first X amount
of income earned.... that has to be taken out, before we have taxable income with a flat rate.
Heh... a "flat tax" with brackets isn't exactly flat, is it?
But apart from the semantic complaint, this sounds like a great proposal. The key in limiting deductions and loopholes is to eliminate all deductions outside of legitimate business expenses. That means no deductions for 'dependents' or child-care or health-care or mortgage debt or any of the other things we are responsible for that aren't directly related to calculating net income. There will be some grey area there, to be sure, but it's something to aim for. The point is to stop using taxes as a game to manipulate the economy (and frankly, people), and to constrain the taxation power to an honest means of financing government.