I like some aspects of Republican tax plans. Taxes are needlessly complex. There are too many deductions and credits, and if you don’t take as many as you can, you’re hurting yourself. But if too many people take too many deductions, governments must incease taxes further, hurting the ignorant more.
More and more I feel the standard deduction should be increased substantially, many other deductions removed, all sources of income taxed identically like in California, and tax tiers reduced in number like in the United Kingdom.
Here’s some theorycrafting with absolutely no backing economic data, liable to produce a budget shortfall given the federal government’s current shape:
Then all these numbers are fixed to something like the dollar index, CPI, a commodity basket, or some other unit of account, like they are in other countries, so they don’t need to be updated every few years.
Maybe someone might not even need to calculate and file their own income taxes, for example if they derive their income from employment to another, payroll taxes could be increased.
Banks and brokerages already report transactions to the government, so there’s no reason someone has to calculate what they owe themselves. And with current spending trends and the war on cash (“only terrorists use cash, especially anything above $20!”), more and more transactions will occur electronically for easy recording and processing.
I suppose none of this matters if citizens and governments continue to live beyond their means, but oh well!