Ah the flat
tax…Perhaps my favorite Warner Bros. short is the one where Foghorn Leghorn’s
principal antagonists, the Chicken Hawk and the “Dawg,” lure him into a peep
show with “hulee. hulee dancers” whereupon he is pummeled to oblivion. In this upcoming election cycle, conservative
republicans play the role of dawg and hawk with the enticement of a flat tax
while working and middle class Americans once again stick their heads into the
tent. As I recall, I don’t have time to
check for historical accuracy, Dick Army, right wing sweetheart, introduced a
flat tax bill to great fanfare in the 1980s.
Later, 1994, Newt Gingrich promoted the flat tax as a tenet in the
“Contract with America” that solidified the conservative hold on contemporary
American politics. Since that time,
every election season includes a flat tax proposal from a conservative
candidate. Republicans have held
congress 17 of the last 21 years and the flat tax has never even gotten to a
vote.
Contrary to the hope of simpletons,
the flat tax will never happen. Here’s
why: Too many people benefit financially under the current tax structure. Plus, the wealthier you, or your company,
are the more you benefit. Corporate
welfare is real and it starts with the income tax. Given this reality, here is a tax proposal of
liberal and libertarian foundation:
Taxes have always been a tool used
to manipulate the governed. This is not
limited to American history. Whether
republic, monarchy, autocratic or communist, taxes are levied by the powerful
to get specific behaviors from the citizenry.
Sell more houses give a tax break
on mortgages, decrease smoking increase the cigarette tax, encourage children
by giving a deduction on dependents, etcetera, etcetera… I propose that as a
democratic republic we turn this on its head.
First, let’s start with a progressive flat tax that starts at, say, 30%
for the wealthiest. Then, here’s the
kicker, develop a list of government services that the taxpayer can select for
his or her contributions: A cafeteria
plan as it were. Add to this a
percentage allocation option for the services chosen. Finally, write into this tax law a privacy
stipulation that says that only the individual taxpayer can know what he or she
selected.
Talk about government by the
governed. Due to the wild variety of
opinions that exist in this country, I’m not sure our bureaucratic priorities
would change that much. However,
wouldn’t it be nice to see representatives and government bureaucratic budgets
beholden to the public? Being the good
liberal that I am I would choose education, health care, social security, food
stamps, infrastructure, law enforcement and reluctantly, defense (We do need it
you know). There are many who would
select other options, but I’m ok with that.
Now I know this idea would never
happen so here is plan “B”: Raise the
minimum wage to a living wage for 40 hour employees. Forget all of the tax manipulation. Consumption, not the illness, represents
about 70% of our economy. Whenever our
economy goes into a slump, no matter how steep, government revenues drop. This obviously happens because income and spending
decrease. Pay people for their work and
you just might see revenue for the things we need.
