For some time now many Texans such as Senator, John Cornyn, and even Billionaire, H. Ross Perot have proposed a flat tax that would greatly unravel the complicated tax code, obviate the tax collection bureaucracy, and generate government revenue due to the proportionate consumption of the consumer.
For example; if a national sales tax (10%) were imposed upon the populace without the need for income tax, revenues could be collected automatically and those who make more money would pay more sales tax based upon their consumption while those spending less would pay a smaller amount of the flat sales tax. This would only work in all fairness to the American people if income tax were to be abolished. Yet, critics warn that once implemented, flat tax could end up being an ever increasing beast used to whip the consumer with rate increases for buyers that could begin to hurt retail stimulus by reducing consumer buying power. How long would it be before the federal government’s unquenchable thirst for deficit spending would escalate the national sales tax?
The only way to ensure that a flat tax would work without becoming as big a fiasco as the current income tax would be to couple a national sales tax with a balanced budget amendment that would force the federal government to cut unnecessary spending, trim back federal employee hiring, and close down federal agencies and departments that serve no useful purpose anymore. There are simply a plethora of federal bureaucracies that duplicate the same functions as the private sector as well as other agencies on Capitol Hill. According to Mark Levin, cabinet advisor, under the Reagan administration, once appropriations are voted in they never stop. The same expenditure remains on the books indefinitely unless it is specifically cut from the budget by committee action.
Incredible waste on the Hill
According to the Daily Paul, a political newspaper owned by Doctor Ron Paul, there are a shocking number of federal agencies that are not only questionable in their merit as useful bureaucracies, but only serve to weigh down the taxpayer with unnecessary duplicity and wasteful spending. These entities include, but are not limited to the income tax branch of the IRS, Department of Education, Department of Energy, Office of Minority Health, Office of Civil Rights, FEMA, Program Support Center, Office of Labor Management Standards, and Healthy Marriage Initiative, among many others.
The great parasitic plan
There is a fraternal mentality in Washington DC. Billions in wasted funds that can be easily orchestrated by the whim of Senators and Congressman who want to award their cronies with appointments to positions in these unnecessary agencies. Huge deficits are generated by the frivolous creation of federal organizations that grow more costly as they request budgets hikes and remain in existence long after their usefulness. Yet, this goes on each and every day as bureaucrats on Capitol Hill receive their lavish salaries and shore up their parasitic existence with the American taxpayer.
Unless the fiscal stranglehold that has come to the point of critical mass after decades of self-indulgence unchecked comes to an abrupt halt, America will see the collapse of its currency as the insurmountable trillions generated by our out of control federal government spending devalues the US dollar. That our political leaders would saddle the American people with a fate like this demonstrates the lack of representation that we now get from the federal government. This is the tyranny I speak of in the income tax and flat tax equation.
Crisis what crisis?
As the IRS awards its employees with a million in incentives and bonuses after being caught red handed intentionally obstructing conservative organizations applying for tax exempt status as well as plotting to prosecute them for the sake of intimidation, we are reminded of the lessons forgotten in history. Civil wars, social unrest, rebellion, and assassinations have resulted over the kind of antics practiced by the Obama administration as their debt levels continue to destabilize our economy and monetary system. Never in the history of America has tax reform been more needed, yet it has a direct relationship with the folly of out of control government spending.