Oregon Senator Ron Wyden, together with Rep. Rahm Emanuel, has introduced a "Fair Flat Tax Act" that claims to simplify the tax code in a number of ways. It collapses the tax brackets from six to three, and eliminates loopholes and giveaways to corporations. It also eliminates the Alternative Minimum Tax, and it would provide tax relief to middle and working class families by tripling the standard deduction.
According to Wyden's website, this tax program would allow people to file a very simple one page 1040 form, making the tax code "simpler, flatter, and fairer."
I'm intrigued by this proposal, but I'm not willing to jump on board with it without more information. I prefer a steeper, more progressive tax system, especially now, when we have an enormous national deficit and debt to pay down. I think we need to increase taxes on those making more than $200,000 - not just repeal the Bush tax cuts, but actually increase taxes on the rich even more. It's very simple - if we don't have the revenue coming in to pay for what the government needs to pay for, then we need to increase the revenue coming in. Cutting spending can only go so far, and doing so certainly won't pay down the national debt.
