Posted: Apr 25, 2005 By: Dennis Balagtas

Subject: Federal Tax Lottery

Comment: Dear Advisory Board:

Here is a revolutionary tax idea for you: create a federal lottery system. This will require little effort, little capital, and maximum profits. By offering significant prizes, you will be able to promote participation and even generate some goodwill towards the federal government.

How will the federal lottery reduce taxes? By whatever profit the federal lottery generates, you can reduce the taxes across the board by the same amount. If the lottery profits can generate 10% of the budget, you can reduce taxes by 10%.

Many states already use this model to fund items like education.

Advantages? People will play the lottery and actually believe that the federal government will give them money. This will result in a more positive spin and feelings for the federal government.