We need a flat tax

Hi

With the result of the recent elections behind us time time to change has come. Here are what I think congress must do:

First: Enact a fair or flat tax. I say this with great hopes for reform. We need to fix it so that if liberals get control again they cannot mess up our economy with excess taxes. We would have to repeal the Contitutional amendment that authorizes the income tax and replace it with a simpler and more equitable taxing system. Prior to the election cycle a couple of ideas were floated. One, favored by Pelosi, would have been a one time tax on all pension accounts of either 15 or 35%. The second idea, favored by Rep DeFazio, is a tax on all bank transactions. This tax would charge 1% on all bank transactions, deposits and withdrawals. The liberal establishment revelsin tax hikes, (wealth redistribution), we must permanently take this power away from them.

Second: Because a fair tax would require much less intrusion by the federal government, we can either use the savings to reduce the national debt or to swing the jobs from IRS to Border Patrol.

Most of what should be done is nothing more than common sense, we must demand that from our elected officials. Stay alert.

Now I ask that you remember our brave and dedicated service people in your prayers.
GOD Bless

Fair tax - why we need it

Hi

In this writing I will try to lead you to an organization which is working to get a fair tax adopted. Here is the address:

www.fairtax.org

They are located in Houston, Texas and they have a lot of useful information about how the tax works.

This is the last of this subject but by no means should it be the end of discussion. Please do yourself a favor and learn about this concept, America needs your help.

Please go on praying for our brave heroes in the military. Thank you.
GOD Bless

Flat/ fair tax

Hi

Perhaps we should discuss what is exactly a flat tax. Legally speaking there is a difference between the two but for our purposes we can consider them similar. I may use the terms interchangeably so please bear with me.

Under a flat tax system there is a very simplistic method of computing the tax. One rate and no deductions.

Take an example of a person who works for $20 per hour and works for 8 hours. He/she would get 8 times $20 or $160 dollars pay. Under our current system of taxes we deduct FICA, Medicare and Federal withholding. The result is that the net check is less than the $160 earned. The taxpayer is ahead, but wait - who pays for NEEDED government services. When our person buys a product or service he pays an addition sum, the flat tax. The manner of computing this tax is to multiply the tax rate times the purchase price of what was bought. At first reading it appears that the tax is a burden because it raises the cost of goods, but here is the solution. Because the employer, the distributor and the manufacturer do not pay all the add on (FICA, Medicare, etc) the cost of the goods are lowered. The party collecting the tax also saves on hiring overhead people such as bookkeepers and accountants who are needed under our current system. He passes this savings on in the form of lower prices. Every body wins.

In future writings I will go into more advantages so please keep reading. Thank you.

Continue to pray for our heroes.
GOD Bless

What a flat tax will do

Hi

Today I am writing about a flat tax, sometimes called a fair tax. I believe that there are two reasons we do not have one already. The first is that most people don't understand what this tax could do. The other is "politician fear of the tax".

People have not gotten the info on the tax because the politicians do not want the facts known. The reason will become evident as I go along.

The tax is passed to replace income taxes. We would need a Constitutional Amendment repealing the enabling amendment which allows congress to tax income. Taxes are a necessity , without taxes we could not fund our government. But having said that I add that taxes should be fair, even handed and balanced. Currently we tax success and subsidize ineptness. Hardly the formula for a continued growth in our economy. The fair tax would fix that problem.

One of the biggest fears we as a people have is that dreaded letter from the IRS. A flat tax would virtually eliminate the IRS, thus giving us the opportunity to replace revenue agents and substitute border patrol agents. Doesn't it make sense that federal agents should be patrolling foreign nationals trying to crash our borders rather than patrolling our own citizens who are good at making a living?

As I go along I will try to help people understand the concept of flat or fair taxation. Stay tuned.

Continue to hold our military in your prayers.
GOD Bless

Flat tax - continued

Hi

If you have been following my blogs you are aware of the fact that I have been writing about the advantages of a flat or fair tax. I would like to refute the argument made by some (see-article by Douglas Dunn referred to earlier).

The main thrust seems to be that the tax will fall on the poor and middle class while benefiting the high income earners. An objection to this theory is that it does not really face the facts as we know them to be true. While the income tax is paid overwhelmingly by the upper earners, other taxes like social security, medicare, unemployment insurance (paid indirectly through your employer) are all paid primarily by the middle class. The objection that is raised does not hold sway. Very little, a negligible amount, is shifted. The problem is that the liberal left in this country always play the class warfare game. This is another example of such false thinking. We should look at what is good for the majority of us and not give in to class warfare. Who needs it. When measured against the many benefits derived from the flat or fair tax we can only come to one conclusion, pass the flat or fair tax. We deserve the control over what we pay. Please consider that many of the tea party and town hall protesters are inline with this flat or fair tax. In November vote out any politician who refuses to follow the wishes of the people.

Please continue to pray for our brave military.
GOD Bless

More on flat tax

Hi

This writing will try to explain some of the advantages of a flat or fair tax. Simplicity is the biggest advantage but there are other equally valuable reasons to enact such a tax.

The flat or fair tax would curtail government spending. Imagine congress limited to how much "pork" comes from DC. Wow. Because the unnecessary spending would be cut it follows that the deficit would also be lessened. In time economic growth would eliminate the deficit altogether. We need this edge to stay competitive on the world economic stage.

Another advantage a flat or fair tax would give is the effect on term limits. Congress would not have as much power derived from taxation, hence, the influence on our lives would be diminished. Because the flat or fair tax would not be subject to special deductions and credits,the need for lobbyists would also diminish. Again this means more control is ceded back to the people. We would take steps back to "government of the people, by the people and for the people". I'm sure Mr President Lincoln would love that.

Now let me ask you to pray for our service people.
GOD Bless

Flat tax continued

Hi

In my blog yesterday I gave a link for a writing which favors a flat or fair tax, so today for the sakke of fairness I will give a link which opposes such a tax. The article is written by a Douglas Dunn, thelink is:

http://www.wordwiz72.com/flattax.html

Before you make up your mind whether you should support or oppose the flat or fair tax you should really read both sides of the issue. I believe that knowing all aspects of any issue makes your decision so much more intelligent, and therefore usually correct. The more one knows the better the choice.

I will try to point out one difference in the structure of the two writings, please note this. Mr Dunn opens his treatise by knocking a proponent of the fair or flat tax, Steve Forbes. Doctor Mitchell, on the other hand, does not use any negative comments about any individual. Which do you think is more effective? Read them both and determine for yourself.

In the future I will go into other reasons why I prefer the fair or flat tax, so stay tuned.

Keep on praying for our brave service people.
GOD Bless

Flat or fair tax -continued

Hi

Today I will attempt to explain what the flat or fair tax is. I will refer the reader to a comprehensive article by Daniel J. Mitchell, PhD. He is more of an expert on the subject than I am and I am sure that the reader will get more out of his explanation. Here is the link.

http://www.heritage.org/Research/Taxes/bg1866.cfm

My writings will include what the advantages of the flat or fair tax are and how they impact other aspects of our economy, job retention and even politics.

The biggest advantage is that we, the American people, actually get to name our own tax. Yes, we control how much our government gets to spend. Lovely concept, isn't it. The only real losers are the spenders in DC. Flat tax, where have you been all my life?

This will be a short writing because I would like you to follow the link and get a real understanding of the mechanics of the tax before I voice my opinion on the tax. Read and enjoy.

Please continue to pray for the brave heroes defending our nation.
GOD Bless

Fair or flat tax

Hi

If you have followed my blogs you know that I am an advocate for a fair or flat tax. It is worth while to demonstrate what such a taxing system would bring.

The first thing that is necessary is that a Constitutional Amendment be made, and this amendment would have to do the following two things.
First: It must repeal the Amendment which gives the government to assess an income tax. Failure to do so would result in a possible double taxation. We know too well that politicians of both major parties would love that, it would be a disaster. At the same time the legislation or amendment authorizing a fair or flat tax would be passed.
Second: Any new amendment must contain a proviso that it can only be amended by a super majority of both houses of congress (67% or even 75%) This would insure that the only way congress can play around with our money is to expose themselves as tax raisers. That would be great, I can see them squirming when time to get reelected comes around.

The fair or flat tax would have to be explained to the people, so I will limit my next few posts to explaining how the tax would work. I find the mechanics of the fair or flat tax intriguing. Stay tuned.

Continue to pray for our brave service people.
GOD Bless

Fiscal responsibility

Hi

Today I will try to make some sense of the current dilemma that is going on in DC. Where is the fiscal restraint? When candidate Obama ran he promised an open government, no earmarks and fiscal responsibility. So far no soap, he hasn't delivered anything close to what he promised.

The bail outs proved to be a farce,all they accomplished was a rip-off of the taxpayers money. We still didn't get any solution to the housing problem. How much longer will the American people tolerate this kind of leadership (or lack thereof). It's past time to rein in the Congress and the President, they have shown no indication of fiscal responsibility nor of any understanding of what is needed to grow the economy.

The problem is made worse when you consider how many jobs are being lost. The government cannot create jobs but can help the private sector do the creating. Tax cuts, or even better, enact a flat tax, and get out of the way. Watch the economy grow and see the deficits diminish. That would require real leadership, some thing our politicians seem to have lost. We can hope that we last until the mid-term elections and we can throw the bums out of congress. Remember this when you vote in November.

For now we can just pray that things don't get any worse.

Please pray for our brave heroes.
GOD Bless

Renewed call for a flat tax

Hi

Anyone who knows me knows that I am a strong advocate for the flat or fair tax. Most people do not know much about how it works or what the effect would be. I am writing this in the hope that I can clear up some of the misconceptions about the tax.

There are several advantages to using this tax structure, probably the major advantage is that it tends to limit the power of the federal government. The only way there can be a tax increase is to raise the rate of tax. That means that the lobbyists and other "power brokers" in DC would be severely curtailed. They derive their power through political donations in exchange for favorable legislation, including tax legislation The power they wield would be diminished and transferred to the people. Imagine, the American people having the power to control their own financial destiny. Great.

With the diminishing of power in DC would come the lessening of the desire to serve perpetually in public elected office. Read between the lines, term limits. There is a saying, "Money is the mothers milk of politics", a flat tax would cut off this supply. The American people would dictate how much tax is sent to DC because the public controls spending.

The Internal Revenue Service could be retrained to do other federal duties. Every body gains. I only hope that there can be a ground up movement to implement this tax.

Please continue to remember our brave warriors and pray for them.
GOD Bless

Flat tax

Hi
In my last blog I went into the concept of a flat tax and now I would like to expand that concept. There was no big explanation of how the tax works so this an attempt to clarify the situation.
When you work for wages you get a paycheck. This paycheck is computed by multiplying your rate of pay times the number of hours worked. If you are salaried you get a fixed salary for each pay period. That is the easy part, now comes the kicker. The politicians in Washington come with their collective hands open, "Where is my share?" So your employer must by law deduct your share of income taxes from your check. If not he may be liable for that amount which should have been deducted. Before your employer sends in your taxes he must make some computations, how much do you owe for income tax, social security and medicare payments. After this computation your employer must then match your deduction for social security and medicare and together with your withholding on income taxes he remits that amount to the government. The employer is mandated to do this but there is no reimbursement for this service so in many cases the employer must hire a professional to do the paperwork or he must purchase a software package which does these computations. I repeat, no federal reimbursement for this. In many cases the state gets into the act and in even some places the local or city government deals themselves in. I quote Jimmy Durante."Every body wants to get into the act." I wish I could poll congress and the bureaucrats in DC and find out how many of them know what is involved, or better yet, if any of them have ever had to meet a payroll. My educated guess is that the answer is close to nil. These are the people who think they can run General Motors and I bet they cannot run a mom and pop candy store. I know they cannot run their own cafeterias.
I add at this time some other tidbits, when your employer remits the tax as computed above, it is not over. He must compute unemployment, both state and federal, workers compensation insurance and in many cases disability insurance. Most of these costs come out of his pocket. The employer however knowing how costly this is generally offers lower wages to compensate for the deductions. In a flat tax there is no need for the employer to figure any "perks" so he can actually raise the workers wages by the amount he would have had to pay the government. Translation, more money for the people to spend as they see fit. (Again Haha on the fat cat politicians). I hope that this simple explanation is giving people the idea of how we can recoup our countryby peaceful means. Now let's get out there and start the ball rolling. More to come. Additional info by reading web sites such as Neal Boortz.
Pray for our service people.
GOD Bless