The Wall Street Journal examines Fred's tax reform plan announced Sunday on Fox, which is simply outstanding.
Fred's plan is to:
Eliminate the Alternative Minimum tax and the Estate tax.
Lower the Corporate tax rates to no higher than 27% from the current 35%.
Make the Bush tax cuts permanent, permanently extend small business expensing
and update and simplify depreciation schedules.
All this and here's the kicker -
As well as introduce the option for taxpayers to pay their taxes at a flat rate of either 10% (for single earners earning under $50,000, or $100,000 for a couple) or 25% for those earning more than those figures, while eliminating most deductions, or stay with the current system. Some 20 mostly European nations have Flat Tax rates of between 13 and 25 percent. TOUCHDOWN!
"Mr. Thompson's plan is based on one introduced by GOP Representatives Paul Ryan and Jeb Hensarling that is in any case not designed to lose revenue. It is intended to allow federal receipts to grow at the rate of the economy, which would leave them at some 18% or 19% of GDP--roughly their average of recent decades. When critics object to revenue losses, they are really saying that the tax share of GDP should be allowed to rise to 20% and higher, which is where we are headed if the Bush tax rates expire."
The Club for Growth's Pat Toomey had this to say:
“While other candidates have adopted pieces of this plan, Thompson goes a step further by offering a specific corporate tax reduction and offering taxpayers the option of a simple tax plan,” said Club for Growth President Pat Toomey. “His plan is based on the fundamental fact that lower rates and simpler rules across the board promote economic freedom and enhance economic growth. This is the kind of plan economic conservatives can rally around.”
I'm really looking forward to the results of the Republican debate tonight.
So far Fred has announced an immigration reform plan, this new tax reform plan, Social Security reform, has a plan to expand the military and fight the global war on Islamic fundamentalism, come out strongly for an individual interpretation of the 2nd Amendment, and denounced government run healthcare, among other critical issues.