Subject: Tax Simplification Comment: My comments / suggestions are very simple: 1) Any reform should eliminate all opportunities for politicians to pander to special interests through various credits or deductions 2) The reforms should simplify the tax code to reduce compliance costs and minimize invasions of privacy by intruding into individual's finanaces 3) The reforms should be progressive. This could be achieved as easily through a large standard deduction with say a flat tax. Any income up to the deduction would be exempt, thus creating a progressive tax structure. That pretty much sums up my suggestions. Most important is reducing compliance costs and eliminating the special interest tax breaks that distort the efficient use of capital. I would be in favor of eliminating all deductions (including mortgage interest tax breaks, charitable contributions, etc) even though the president wanted to preserve them. Regardless of the final decision, keep it simple and minimize the potential for politicians to take the new plan and distort it until we are back where we started. Thanks. |