Subject: In reply to request for general comments Comment: We all know we are overtaxed. It’s not simply a problem for our country; in 2004 37% of the worlds gross product went to governments in the form of taxes. Chief Justice John Marshall said the power to tax is the power to destroy. Taxation not only costs money, it costs time. According to Rep. John Linder, we spend 7 billion hours a year calculating our individual taxes and corporations spend an amount estimated to match or exceed this. And studies show that it costs the average small business $724 to collect and remit $100. Of course the estimated 50 million “visitors” to our country escape both the cost in time and money of taxation. These costs don’t include the price paid in human dignity. I’m not only talking about those who’s occupation consists of living off public welfare, but also those who in times past strove to help such people. There were expectations of an end to such needs on both sides. Such aid might at rare times have come as a money handout, but more often than not consisted of the creation of a job with concomitant pay suited to the abilities of the one in need. That’s not always possible today since the creation of employment obligates the employer to collect income and FICA tax, subject themselves to government snoopervision, and pay a minimum amount which could be far more than the work is worth. Everyone looses in such a system. The one in need may be denied an entry portal into productive society and the business might find it necessary to go outside the system to hire people under the table for less desirable work and run the risks involved in such an enterprise. In light of all this, the president’s proposal to hire illegal aliens is particularly disgusting. Any question of federal taxation must involve a disclosure of what the money will be used for, and whether there is a clear constitutional mandate allowing the federal government to spend it. The clearest of such mandates is to provide for the common defense. I live in Arizona, and with the porous border and aggressive invaders, I can assure you that this mandate is far from being met. Drugs are being carried in by people from other countries desperate to enter our country where they can work tax free and gain services paid for by American tax payers. They feel they must do this because of the several year backlog caused by the ill equipped immigration and naturalization service. Clearly the money and resources are there to fix these problems, but is instead being diverted to other areas of spending with highly suspect constitutional mandate allowing such disbursement of funding. This has led many Americans to question the 16th Amendment itself. Solution The first step must be a Constitutional Amendment to repeal the 16th Amendment. Once done, the bill offered by Representative Linder should be implemented. It would relieve the enormous burden of compliance placed on every business and individual. The bill is configured to collect the same amount of tax money as the current system does by collecting the money when anyone makes a new purchase. It’s progressive because the higher ticket items richer Americans might choose to purchase call for a greater amount of tax money to be collected. It’s fair to the poor because of the prebate paid equally to every American. And perhaps most important, it saves the Social Security System by giving it a reliable source of income until this Ponzi system can be phased out. That must not happen until every American who has paid any money into the system has died. Until then, payouts should be based on age and years of citizenship only, not by tracking earnings. Today, all companies are forced into the tax collecting business through income and FICA taxes on employees, and also paying value added taxes which add an additional 22% on average to the cost of goods. That would go away as a result of Rep. Linder’s proposal. In addition, vast company resources currently committed to tax compliance could be redirected into more constructive areas. Thus consumers could expect to see a substantial reduction in the cost of goods. In addition, there are some less obvious benefits. Companies throughout the world would see the advantages of locating themselves here, bringing with them good jobs for Americans. I also anticipate that the best and the brightest that have left the country because of the oppressive IRS will return once it’s gone. Money now pouring into tax havens would flow instead into this country by investors worldwide anxious to be part of America’s explosive prosperity. And since there is no tax on investment under the plan, Americans could participate in the growth also. Additional Measures I would require that every federal government bureau, department or agency publicly supply the particular section of the constitution that mandates its existence and funding by taxpayers. Upon review, any that fail to present that clear mandate would become private enterprises that would be forced to seek private financing or pass out of existence. I suspect that would be the majority, thus greatly lowering the need for taxes. Surplus tax must be used to eradicate the national debt only! Next, proceeds from individually taxed items such as fuel must be used only for their stated purpose, the construction and maintenance of roads in this instance. If there is no stated purpose, such taxes must be dropped and only the normal sales tax collected. Finally, I would put restraints on the federal reserve to insure this is no longer used as an alternate form of taxation through inflation. True prosperity can only be determined by comparison to a fixed asset such as gold. Therefore, the government must begin printing its own money based on ownership of such fixed assets. A national debt is a national disgrace! In Conclusion I applaud the President’s campaign to rid us of the 55,000 page tax code in favor of a system fair to all. Further, I applaud the committee’s work to make this a reality. Clearly, the problem is not simply taxation, but the power over the people that results. As the Constitution points out, power flows from God to the people to government. The current situation is upside down, going so far as to require our children be taught the religion of secular humanism which denies God even exists. The people are fed up with this radical departure from our Constitutional roots in violation of the first Amendment! Our founding fathers would recognize our current federal government as a far worse form of the one we fought a revolution to escape! Summary Intrusion and control by big government must be stopped if we are to call ourselves free. Power to tax means power to control, or power to destroy as Chief Justice John Marshall said. It has no place in a free society above fulfilling the demand for services outlined in the founding documents. I have attempted to document in the briefest terms how Marshall’s prophesy has become our reality. But I believe honorable men acting on behalf of the people they were sworn to serve can repair the damage. Certainly there will be special interest groups proclaiming how the plan outlined will fail. I trust that in reviewing their arguments you will hold what’s best for ALL Americans far above the words of these special interest groups. |