Subject: Tax Reform Comment: First of all, I wish to thank the panel for taking on this challenge. I used to be a lobbyist in Washington, D.C. and remember John Breaux well when he was on the House side on the Merchant Marines and Fisheries Committee. The plumb lobbying jobs usually went to the former Congressman in order to lobby the Committe on House Ways and Means. Which brings me to my points on why I believe we need to scrape the income tax code period and start over. Having been in and out of Washington, D.C., I truly believe that the only way that we will unleash the American potential economically, morally and fundamentally is by completely eliminating all taxation on income whether it be corporate or personal. We need to find a method of collecting taxes that is transparent and fair to all who pay into the system. The only proposal that I have seen to date that will do just that is John Linder's bill before Congress, H.R. 25. I believe it has the most merit of all of the ideas on the table. A VAT is a cascading tax on business to business transactions and cannot replace the current system and will end up becoming inefficient and will keep the cost of the tax system embedded in U.S. products and services and make us less competitive overseas. Frankly, I prefer to keep 100% of my income and fund government based on what I choose to spend and to me that would be the most preferred way that I would like to be taxed. This method is truly voluntary and allows me to save, invest and spend knowing full well the ramifications of my actions which are no longer based on this complicated system which we have grown over the past 90 years and which has grown government exponentially. Limited government will not occurr until we decide to change how government collects taxes. A free society does not prosper by making tax slaves out of their citizenry. Our draconian system needs to change and the income tax certainly needs to have a stake driven through it's lifeless heart sooner than later. America will not be able to export real freedom until we do something to foster change here and I can think of no better place to start than with eliminating the income tax. Lori Klein Phoenix, Arizona |