Compare the proposed changes of the Tax System for yourself!
| Income Tax | Flat Income Tax | NATIONAL RETAIL SALES TAX | |
| Cost of Filing | Expensive. Costs $300 billion plus a year | Somewhat reduced | No cost to taxpayers |
| Complexity | Very complex. Over 2,000 IRS code pages, 12,000 pages of Regulations, and over 200,000 court pages | Individuals file 13 times/year. More complex for businesses | Individuals do not file. Only businesses deal with sales tax returns which they already do. |
| Hours to Comply | Over 5 billion hours per year | Approximately 750 million hours/year | Zero hours for individuals |
| Penalties | Severe, Arbitrary | Severe Arbitrary | None for individuals |
| Economy | Increases prices, hurts wages, resulting in decreased savings and investment. | Depends on plan | Stimulate and rewards savings Investment & productivity. |
| Interest Rates | Less savings, pushes rates up. | Depends on plan | Massive increases in domestic and foreign savings would result in reduced interest rates. |
| Investment | Decreases. | Depends on plan | Increases investment by U.S. citizens, attracts foreign investment. |
| Jobs | Hurts US companies. | Same | Escalates creation of jobs by attracting foreign investment, making U.S. manufacturers more competitive. |
| Savings | Decreases savings. | Depends on plan | Increases savings. |
| Equality | None. Special rates for special circumstances are unconstitutional and unfair. No control. | Depends on plan | You have control. All pay the same rate and their fair share. |
| Foreign Companies | Subsidizes their U.S. Imports creating unfair competition to U.S. manufacturers and businesses | Same | Foreign companies forced to compete on even terms with U.S. companies |
| Government Intrusion | Massive files, dossiers. | Increases with noncompliance | None. no direct tie to individuals. |
| History | Karl Marx included income tax as a key feature in the Communist Manifesto. | (No history) | 45 states using a retail sales tax have proven its efficiency. |
| Income & Work | From Jan. 1st to July 14th, most citizen's income goes to pay taxes. | Similar to current plan. The more you earn, the more you pay. | Rewards work. Keep 100% of income to save, invest, and consume. |
| Non-filers | Avoid compliance | Same | They pay their share with every purchase they make. |
| Productivity | Decreases | Flattens | Increases dramatically |
| Visibility | Hidden, layered, complex | Hidden, layered in prices | Highly visible, easy to understand |
GET INVOLVED, RIGHT NOW, CALL -- (303)767-0694 Leave me your
name and phone number.
This issue is so important. Send me your comments,
questions, and especially your additions.
Return to Wealth Building
Article
Last Update: Friday, April 12, 2002 10:54:41 AM