Better Democracy and Capitalism
A Timistic Vision of Humanity for the New Millennium


Tax Simplification

The simplest, fairest, cheapest system of taxation is based
on the principle that all transactions of goods or service,
which benefit from the umbrella of economic stability,
should pay an equal fair share of the umbrella's cost
relative to the total transaction costs.

Some would call this a flat tax, or a value added tax, or a sales tax. However, each of these exclude some economic transaction for political reasons. Politics makes all of them unfair taxes, for the politicians have built in tax privileges for a few at the expense of the polity, e.g., campaign welfare for the money dictators. Sadly, many people will object to tax reform because they don't want to give up deductions little realizing that their petty deductions enable the grand thefts through the tax system. nubs


The simplest tax consists of setting the tax rate and collecting it on all transactions with the tax being divided between the buyer and seller's tax structure. Collecting and dividing taxes is a simple one-two process.
  1. Collecting: Transactions involve checks, cash or barter instruments. If a check transaction, the banking system will automatically debit the check writer's account for the amount of the tax rate. If a cash or barter transaction, the buyer uses either a telephone voice system or the internet to report the transaction. By entering the involved parties' account numbers and the transaction's value, the tax is automatically debited from the buyer(s) checking account. Failure to report a transaction in value greater than one lifehour results in a fine equalling three times the value of the transaction.
  2. Dividing the collected taxes. Half of the taxes go to the buyer's tax hierarchy and half goes to the seller's tax hierarchy. The basic unit of the tax hierarchy in America is the Congressional District. Fifty percent (50%) of the tax stays in the district to be divided among the tax dependent municipal units. Forty percent (40%) of the taxes goes to Federal Government. This, however, can be adjusted through the democratic process. Ten percent goes to a global problem-solving process.

This is a real time tax system that is fair, simple and efficient. The current tax system in America consumes 6% of our human resources. This one would take less than 1%, if that. We would reduce the workweek by 5% by eliminating the inefficient tax system. Or, we could keep the 40 hour workweek and pay more taxes to support the unemployed former tax workers. With this system, there is no paper keeping headaches or cheating from confusion.

Internet hypocrites: It amazes me the number of people who express reservation about on-line democracy because it might exclude some people. This flies in the face of how the present system for habitual politicians excludes even more people. The hypocrisy is found in how these people can in a few breaths be found to express support for no internet tax even though it forces higher taxes on those who don't own computers! Why is it thoughout history, the new entrepreneurs of vast wealth, e.g., oil, don't want to pay their taxes with the claim, "Don't want to hurt the new industry." Sort of like the richest kid in the family not wanting to pay part of the family reunion costs because the family really wouldn't want to reduce the wealth of its richest member, now, would it?

A fuller treatment of this proposal found is at Tax Reform. How to bring it about is listed in Tax Trustees.

Beware of the Advisory Commitee for Electronic Commerce, the Internet Tax Commission. Gov. Gyp Guiltmore , a unscrupulous tax thief it there ever was one,  is chairing it!

Why won't habitual politicians support this tax simplification? Because it takes away the power to give tax exemptions and credits which are at the heart of the re-election money racket, see habitual problems. If you want tax simplification, we need term limits so that we can have new faces and ideas for old problems.

If you have questions or comments, you can democratize them at On-Line Forum as well as review others' input.

Related Writings:  Trustees ... Internet Form ... Reform Book ... 24 in 4 ... Product Tax Essay

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