Tea Party 08' Ron Paul

[delemorte]

I agree we spend way to much money and we need drastic change. but i do believe you still need a central goverment. And a centeral goverment still needs funds so how does he suggest we pay for that? or is his message that we should abolish the federal goverment?

[AzMandella]

So i asked my mother about the flat tax. and how it would benefit america. Shes a CPA just for the FYI and why i asked her.
here is the issue with a flat tax. Flat tax is meant to simplify the tax code and elliminate the IRS. Seems simple. However did you know with out the IRS you dont get to claim any deductions? NO savings no donations no deductions for what you pay on your home or interest paid. Nothing (too many deductions to even list them all, thats why I love my mother... Free accounting and taxes).
I dont know about you guys but i love my deductions and my credits come return time. But yes i guess you could do the math and simply lower the tax bracket but thats another converstion. I think a use tax would be a better system .If you can afford to buy it then you can afford to pay the taxes on it. Observe washington state that has no state income tax but does tax heavily on non essential goods (anything but food and clothing basicly) we can start a new thread on that one but back on point
My original question still stands unanswered. Ron Paul does not support a flat tax or sales tax. He does support aboloshing the IRS and the income tax and i quote "replace it with nothing". If that is the case how does the Fed bankroll the goverment?
That's right it does elminate the IRS. You talk about deductions. If a person such as myself pays out over 30% in taxes throughout the year and files at the end of the year. With my return I still payed out 20-25%. If a flat tax rate of say 20% were instituted I would pay the same or less in the long run without having to deal with all the IRS BS. Not to mention flat tax is payed when you purchase something. So the money you save is not taxed twice(once on income and once on sales tax) and not at all until you spend it. Now all those who work under the table(bartenders,waitresses,landscapers etc. etc. etc.) cannot evade paying their fair share reducing the tax burdon to those of us that do pay our taxes.
No offense to your mother but she is a CPA and she will dissagree with a flat tax rate because it would put her out of buisiness. No tax returns to file, No need for CPA's.

[delemorte]

No offense to your mother but she is a CPA and she will dissagree with a flat tax rate because it would put her out of buisiness. No tax returns to file, No need for CPA's.
The majority of her buisness is thru companies and their payroll. yes tax time is a boost but not her sole livelyhood.
besides she is a CPA and i assure you she hates the IRS more than you do and a flat tax would jsut allow her to say F it and retire..
and if you read my post you will see if you do the math right a flat tax will work, but i just think a use tax is better....
but my original question still stands about Pauls idea of dropping the IRS and not using a flat tax or any kind of sales tax. How does he plan to finance the Fed? Can any one answer how the Gov raises money without Taxation?
Also: a flat tax does not benefit the very poor. at current rates and deductions, some one making under 15K annually and supporting a familly, will pay almost no taxes what so ever.

[AzMandella]

The majority of her buisness is thru companies and their payroll. yes tax time is a boost but not her sole livelyhood.
besides she is a CPA and i assure you she hates the IRS more than you do and a flat tax would jsut allow her to say F it and retire..
and if you read my post you will see if you do the math right a flat tax will work, but i just think a use tax is better....
but my original question still stands about Pauls idea of dropping the IRS and not using a flat tax or any kind of sales tax. How does he plan to finance the Fed? Can any one answer how the Gov raises money without Taxation?
Also: a flat tax does not benefit the very poor. at current rates and deductions, some one making under 15K annually and supporting a familly, will pay almost no taxes what so ever.
Isn't a use tax nothing more than diguised luxury tax. If everyone pays the same tax tha rich will still put more in and use less of it. and even though your mother works with corperations it will still be a hit to her because they will not have to pay out and file employes income taxes since there would be none.

[ULTRA26 # 1]

That's right it does elminate the IRS. You talk about deductions. If a person such as myself pays out over 30% in taxes throughout the year and files at the end of the year. With my return I still payed out 20-25%. If a flat tax rate of say 20% were instituted I would pay the same or less in the long run without having to deal with all the IRS BS. Not to mention flat tax is payed when you purchase something. So the money you save is not taxed twice(once on income and once on sales tax) and not at all until you spend it. Now all those who work under the table(bartenders,waitresses,landscapers etc. etc. etc.) cannot evade paying their fair share reducing the tax burdon to those of us that do pay our taxes.
No offense to your mother but she is a CPA and she will dissagree with a flat tax rate because it would put her out of buisiness. No tax returns to file, No need for CPA's.
AZM,
A flat is a flat % of tax charged on your income. The proposed tax that is charged at point of sale is called the Fair Tax which is being promoted by Republican candicate, Mike Huckabee.
Aagin, the "Flat tax" is a % of income with no deductions and the Fair Tax is a National sales tax somewhere between 28% and 33%.
With regard to Del's question about Ron Pauls, if you dump the IRS how is the Govt supported? This is a very good question that deserves an answer.
One last thing. CPA's do much more that calculate taxes.

[delemorte]

you could could say a fair tax could be called a luxury tax but it makes sense to me. If can afford to have it i can afford to pay the tax. I think the wealthy get off pretty good on that one. Say you make 100 K this year and save 50 K of this. you arent paying takes on that 50 K. Some will say thats not fair but one day someone will spend that and when they do you can tax what they spend it on.
These are all great topics that i think should be addressed in their own threads but this is the RP thread and noone has an answer for my question so i think RP just lost my vote.. sorry RP.. a central gov is key too my thoughts about security for a free country.

[AzMandella]

AZM,
A flat is a flat % of tax charged on your income. The proposed tax that is charged at point of sale is called the Fair Tax which is being promoted by Republican candicate, Mike Huckabee.
Aagin, the "Flat tax" is a % of income with no deductions and the Fair Tax is a National sales tax somewhere between 28% and 33%.
With regard to Del's question about Ron Pauls, if you dump the IRS how is the Govt supported. This is a very good question taht deserves an answer.
OK I've got the two mixed up. I'm sure that a form of IRS will still be there to collect the taxes as they come in wether it be a Fair Tax or a Flat Tax. There will still be a need for someone to account for and distribute it where it is needed to run government. Just not in the form of it's present state. It just would be revamped to take politicians hands out of the cookie jar.

[ULTRA26 # 1]

you could could say a fair tax could be called a luxury tax but it makes sense to me. If can afford to have it i can afford to pay the tax. I think the wealthy get off pretty good on that one. Say you make 100 K this year and save 50 K of this. you arent paying takes on that 50 K. Some will say thats not fair but one day someone will spend that and when they do you can tax what they spend it on.
Del, I think the premise behind the Fair Tax is that you pay tax for what you use and not what you make. I Favor a Flat Tax somewhere between 15 and 20% with no deductions. It has been said that this type of tax would increase tax revenues by nearly 75%.

[delemorte]

Del, I think the premise behind the Fair Tax is that you pay tax for what you use and not what you make. I Favor a Flat Tax somewhere between 15 and 20% with no deductions. It has been said that this type of tax would increase tax revenues by nearly 75%.
I can see both sides and i dont think one is better than the other. I jsut have my preference.
A fair tax allows the poor guy to pay less as he uses less and a rich person to not pay taxes on money he earned but has saved. its a win win to me. a flat tax will actually make the poor guy pay more than he would in todays fubar tax code, as a poor guy gets all kinds of deductions which reduces his actual tax debt.
but still.. i need to hear how RP plans to raise money.

[delemorte]

OK I've got the two mixed up. I'm sure that a form of IRS will still be there to collect the taxes as they come in wether it be a Fair Tax or a Flat Tax. There will still be a need for someone to account for and distribute it where it is needed to run government. Just not in the form of it's present state. It just would be revamped to take politicians hands out of the cookie jar.
with either of these plans you dont need the IRS. The IRS does not disperse funds. the congress approves budgets. The IRS is there to process deductions and to enforce tax code. Get rid of deductions and the tax codes elliminates the need for the IRS.