1. I recommend a new Grace Commission to do a scientific study of the Federal government an to provide recommendations how to reduce the Budget responsibly. Where to eliminate duplication and waste. To make the Federal government more cost-effective.
2. We can't cut the Budget to get back to Balance, we borrow ~$2T a year, we need new Revenue, in addition to cutting spending, say 1% a year for 10-years.
3. Here are my recommendations to get new revenue, in addition to the 1% cuts:
1. Add a 4% Federal Sales Tax on all sales (gains ~400b/yr)
2. Add a 0.1%? financial transaction tax on ALL financial buy/sell transactions (stocks, bonds, derivatives, bitcoin, etc.) (gains 777b/yr)
3. Add a Remittance Tax on all money sent out of the US (gains ~$150b/yr, see below)
4. Remove the cap on SS tax, and raise the ages from 62/67 to 63/68 (saves SS)
5. Raise the tax and co-pay for Medicare
6. Add a co-pay for Medicaid
7. So if all of the above taxes were implemented, the $1T Budget Deficit would become a $350b surplus to start paying down the $32T Debt
A financial transactions tax is levied on trades made of stocks, bonds, derivatives and other financial products. It is favored by progressives.
smartasset.com
Many Americans know very little, if anything, about “remittances,” (also known as “remittance payments”) and how they affect the U.S. economy. The term “remittance” refers to money earned in the United States that is transferred to relatives, friends or business associates who are still abroad...
www.fairus.org
Let me address your revenue proposals.
1. Non-starter, highly regressive. Inflationary, places an undue burden on retailers who have to collect, and submit, the tax, doubling the work they do now collecting state sales taxes
2. Why just .1%? How about removing the decimal point and making it a full one percent. The markets churn too much as it is. A tax will slow that churn and reduce volatility.
3. Too easily circumvented, inflationary--those remittances help keep inflation lower, it is less dollars here chasing the same amount of goods. The tax would only bring more dollars here and reduce the positive impact those remittances have in combating inflation.
4. That is a solid proposal and should have been done a long time ago.
5. Increasing the Medicare tax is just unfair to younger people. The damn boomers are collecting both Social Security and Medicare now and they paid damn near nothing in taxes during their working years. Especially prior to Reagan taking office. And if you are talking about co-pays, well the standard has been 20%, after the deductible, of which they are two. The Part B deductible is slated to rise to $248 in 2024, it has increased by 500% since 1993. The Part A deductible is $1600 per hospital admission this year, will increase significantly next year, and that is a per incident deductible paid on each hospital admission.
6. What do you mean add a co-pay to Medicaid. Jesus, the whole reason someone is on Medicaid is that the government has determined they don't have the resources to pay for medical care. Where the hell is the co-pay going to come from? I mean these people don't even have $2,000 in the bank, or even in cash value life insurance. Get real here.
Now, I have some counter proposals.
1. Increase the corporate tax rate, at least back to what it was before the Trump tax-cuts. And increase the minimum corporate tax rate to companies making over a billion a year to 20%.
2. Eliminate the capital gains tax. Tax all capital gains like earned income. I mean if you take money out of your 401k it is taxed as income. But if you take it out of your investment account it is taxed as capital gains. HORSESHIT. Income is income, I bust my ass with manual labor and pay over twenty cents on the dollar while some Walmart heir cashing in some of their stock pays fifteen cents on the dollar. That ain't right.
