2007-03-20 16:27:40 · 6 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ Other - Taxes
Difficult question...One underlying question is: what are the weaknesses of the current tax system?
I think there are several points of weakness...
1) There are lots of loopholes...Those with money figure out how to exploit the loopholes to minimize their tax liability. Those without money do not know how to exploit the loopholes, so they are not able to minimize their tax liability.
2) It takes a lot of time to do taxes. Lots of unnecessary time. Lots of time by the taxpayers and the tax preparers. Lots of time by the government to process returns etc.
Those are pretty much agreed upon...Then you have the political arguments--some would argue that a flat tax would be superior--but the minute you start with a flat tax, you worry about the disadvantaged getting taxed unfairly high, so you write some loopholes. The minute you start writing loopholes, you undo the benefit of the tax system.
Hard question you asked. Sorry I've rambled some.
2007-03-20 16:42:56 · answer #1 · answered by Brad L 4 · 0⤊ 0⤋
Put competent and experienced people in charge of creating the IRC (Internal Revenue Code).
For the over 500 members of Congress, there are less than 10 CPAs. And some how we are supposed to get it right like that?
Tax simplification is what we all need. These last few bills passed might ensure that accountants have a lot of work to do, but it isn't very productive stuff. Half the time, Congress just lets the IRS figure out how to assess the tax. That's NOT a good thing!
2007-03-21 09:41:40 · answer #2 · answered by Molly 6 · 0⤊ 0⤋
A flat tax would be nice,, everyone paying the same percentage of their income.
that would do away with countless government jobs and probably all these tax questions. It would save mega tons of paper and ink from printing a one page tax form and a book fo instructions on how to fill it out.
Jo would spend less time doing his taxes and more time fishing.
2007-03-21 01:37:00 · answer #3 · answered by Jo Blo 6 · 0⤊ 1⤋
Dump the AMT. Or at least index it going back to its inception in 1969.
2007-03-21 00:28:38 · answer #4 · answered by Bostonian In MO 7 · 2⤊ 0⤋
Start with a clean sheet of paper, but that will never happen.
2007-03-21 04:48:17 · answer #5 · answered by r_kav 4 · 0⤊ 0⤋
We can't,, it's hopeless...
2007-03-20 17:50:49 · answer #6 · answered by Jeff 3 · 0⤊ 1⤋