An age-old issue surrounding every election is tax reform. Our current tax structure is ineffective and detrimental, to say the least. It discourages production, penalizes success, and rewards unemployment. Most politicians simply speak in platitudes by generally offering to cut taxes. Former presidential candidate Herman Cain had a plan in mind called 9-9-9. While I didn’t fully agree with his plan, I immediately fell in love with one of the 9’s – a national sales tax.
A national sales tax is favorable over a progressive income tax because then, the American people are taxed for spending money, not earning money. However, a national sales tax would only be effective if it completely replaced the federal income tax. State sales taxes are unwavering constants and will continue to be used whether or not a national sales tax or a progressive income tax exists. My biggest problem with Mr. Cain’s plan was that it included both a national sales tax of 9%, and an adjustment of the income tax to 9%.
The 16th Amendment of the Constitution allows for the federal government to collect taxes on income. While this is an effective method for collecting money to fund the federal government, it is also damaging the free market economy. The current system is based on progressive ideology straight out of Karl Marx’s Communist Manifesto. Simply put, the more money you earn, the higher percentage you pay in taxes. In other words, those who work hard and become successful are essentially penalized by the government, who takes a higher percentage of the fruits of labor. Inversely, if one doesn’t make as much money or, doesn’t work at all, the government doesn’t require the collection of taxes, therefore, rewarding unemployment.
America needs to shift to a FairTax. It is nondiscriminatory, and makes it difficult to cheat. Most importantly, it would essentially abolish the Internal Revenue Service as we know it. An end to the federal tax system would free up a myriad of time and money Americans normally spend on tax preparation.
According to official tax figures, only 53% of Americans currently pay federal income taxes. As President Obama and Vice President Biden have parroted, “we all need to have skin in the game.” I couldn’t agree more.
Instituting a national sales tax would broaden the base of people paying taxes to include virtually every citizen, actually rendering it fair. A national sales tax would also eliminate the underground labor market that plagues this country. Millions of people, whether legal residents or illegal aliens, likely work “under the table” simply to avoid the taxes automatically withheld from every paycheck.
If I was allowed to keep all of my paycheck every week, I would be inclined to work more hours. Besides promoting a solid work ethic that would result in a more prosperous economy, a national sales tax would change the perception of so-called “rich” people in this country. Progressives don’t look at the fact that maybe someone became rich because they invented a life-saving drug that helped millions of people, or that they may offer a service that millions of people thoroughly enjoy. Progressives only look at how wealthy they are, and then teach their followers to demand something from them. A national sales tax would largely dispel this socialist thinking. The large purchases of the very wealthy would not only create jobs, but they would effectively fund the legitimate functions of government.
I live in a country where the poorest of poor people are constantly being propelled to the top through their own intellect and labor. If one has the desire to pursue the American dream, then they have the opportunity to succeed. Throughout my years in school, I’ve always been told by the liberal instructors that the “rich” have “x” amount of wealth, leaving less for the rest of us. Wealth does not operate like a fixed pie, where I can only have more if someone else has less. Instead, in a free market society, we are able to create wealth through our own labor, whether that be intellectual or physical.
Benjamin Franklin famously said, “when the people find that they can vote themselves money, that will herald the end of the republic.” This is not far from what welfare does. Candidates that support keeping the Marxist income tax in place, as well as simultaneously promoting the expansion of the various entitlement programs, are continually re-elected. With that said, it should be noted that a dependent voter is a dependable vote for the Socialists trying to infiltrate America.