Their systems are so horribly manual and buggy, they will first have to invest massively into IT.
Trump and Musk’s DOGE purge sees 6,700 IRS staff fired
- Thread starter daniels27
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thats a very good goal. Worldwide, income tax should be abolished alongside other direct taxes.
Only indirect forms should be used if we want to remain slightly free.
Only indirect forms should be used if we want to remain slightly free.
Wait, who’s going to answer the phone and pick up faxes now? Does Elon know that the IRS is probably the only entity still using fax machines?
Worldwide income taxation eliminated is not happening. Too many lawyers and cpas make money off of it. Doesn't bring anything to IRS but it's s win win situation for attorneys and CPAs. Their lobby is quite strong and many congressman are former lawyers.
Trump Just Agreed to Eliminate Taxes for People Making Less Than $150K, But There’s a Catch
https://www.msn.com/en-us/politics/...ess-than-150k-but-there-s-a-catch/ar-AA1BspDF
The madness never ends.
His idea is not that bad. I was not here during his first term, but my personal recommendation back then was the same as now. It goes roughly like this:
The proposed measures are harmful to tourism and︂ encourages residents to spend money elsewhere. Hence, I would not recommend it to a county︃ like Switzerland. But for the US, I personally see limited problems as tourists tend to︄ come regardless of VAT and I am pretty sure that not many will go shopping︅ in Canada over the weekend.
- forget about the duty bs as it causes nothing but troubles
- introduce a 25% VAT (basically a duty payable on everything)
- abolish personal income taxes (basically paying back the duties paid on the work performed inside the country)
- consider corporate tax credits for salary expenses
- consider exempting import VAT paid to be exempted from input VAT credits
The proposed measures are harmful to tourism and︂ encourages residents to spend money elsewhere. Hence, I would not recommend it to a county︃ like Switzerland. But for the US, I personally see limited problems as tourists tend to︄ come regardless of VAT and I am pretty sure that not many will go shopping︅ in Canada over the weekend.
I think it is a free market. Anybody is free to renounce his US citizenship and hire elsewhere. However given the amount the US spends on safety for their citizens abroads, from embassies to army bases to expatriation flights and negotiations (remember Warmbier?), I personally think that the average US citizen gets a really fair share of protection when living abroad, something which costs money and for which many are more than willing to pay for. There are many Asians eager to get US citizenship to benefit from enhanced protection︀ in times of war.
sorry buddy but this is the craziest advocacy of something as insane as citizenship-based taxation I have ever heard
Just take it as an input to think about. Not many countries spend that much on global presence and protect their citizen as good as the US. And after all, it is a free market, you are free to renounce your US citizenship.
So you want to see 100% or more inflation across the board for the American people if a 25% VAT is applied to everything? So an American distributor pays 25% VAT when he buys from an American manufacturer. The retailer pay 25% VAT when they buy from distributor. Then customer pays 25% VAT when they buy from retailer.
Would an American want to buy a US stock and pay 25% VAT on it....lol?
They are better of doing what I discussed years ago here which is move towards a CDBC︀ and implement a smaller progressive transaction tax on everything. With this model they can fire︁ all IRS start and close down the department 😉.
Would an American want to buy a US stock and pay 25% VAT on it....lol?
They are better of doing what I discussed years ago here which is move towards a CDBC︀ and implement a smaller progressive transaction tax on everything. With this model they can fire︁ all IRS start and close down the department 😉.
Yup economic madness.
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The IRS is No Longer Needed
No more complicated tax forms, individual audits, or intrusive federal bureaucracy. Retailers will collect the FairTax just as they do now with state sales taxes. All money will be collected and remitted to the U.S. Treasury, and both the retailers and states will be paid a fee for their collection service.
---- quote end
No corporate or personal income tax in America and no IRS? Good luck collecting a single dime. Maybe they have not studied human nature closely enough.︀
---- quote start
The IRS is No Longer Needed
No more complicated tax forms, individual audits, or intrusive federal bureaucracy. Retailers will collect the FairTax just as they do now with state sales taxes. All money will be collected and remitted to the U.S. Treasury, and both the retailers and states will be paid a fee for their collection service.
---- quote end
No corporate or personal income tax in America and no IRS? Good luck collecting a single dime. Maybe they have not studied human nature closely enough.︀
I am not sure if I am understanding correctly. Or if I am being understood correctly.
What I was proposing is that instead of 25% duties, it would be possible to introduce a 25% VAT. With VAT, I mean a value added tax as in the EU or Swiss VAT of today. Not a sales / goods / turnover tax as the US knows it or Switzerland knew it until 1994. As with the all VAT, imports and sales are taxed (in the EU called VAT on Importation, Einfurumsatzsteuer, etc.).
Quick example, when A imports goods for 100 USD, he pays 25 USD VAT︀ on importation. A then processes them (wages are paid) and resells to a customer for︁ 200 + 50 USD VAT (remitting 50 USD to the government but getting 25 back︂ for the import paid). In essence, 50 USD have been paid to the government, 25︃ of which for the import and 25 of which for the labour / profit generated︄ while being processed at B.
Now, I further propose to ablish salary taxes / personal︅ income taxes. Why? Because as per the above example, the guy working on the goods︆ (B) did in fact already pay for it. That's the 25 USD that he paid︇ on the 100 USD profit generated.
With those two measures, the net effect would be︈ that the country basically has a 25% duty on all imports without the hassle of︉ making other countries angry.
There are various side-effects that would have to be addressed, among︊ others that basically no tax would be paid for work performed on export goods, residents︋ would be incentivised to spend their money abroad instead of at home, corporate profits would︌ have to equally be lowered as the VAT would charge, etc.
@Martin Everson @void I definitely would not recommend a finance transaction fee. I think this has been discussed in︍ detail recently in Switzerland, while there are valid arguments for it, I think the︎ over all effects lead to massive inefficiencies as it incentivices inefficient behaviour of market players,️ not to mention that it could easily be avoided.
To a@void misunderstandings, I personally would not recommend anybody to expose himself to citizenship taxation nor would I avocate any country to introduce such. But I do respect entities able to charge people due to their good marketing or any other efforts that allows them to do so in a free market. For the US, to be honest, due to FEIE the number of such taxpayers is fairly limited and in the end I would say the main question is how much tax and business the US is losing out by deterring potential tax payers with︀ citizenship taxation.
What I was proposing is that instead of 25% duties, it would be possible to introduce a 25% VAT. With VAT, I mean a value added tax as in the EU or Swiss VAT of today. Not a sales / goods / turnover tax as the US knows it or Switzerland knew it until 1994. As with the all VAT, imports and sales are taxed (in the EU called VAT on Importation, Einfurumsatzsteuer, etc.).
Quick example, when A imports goods for 100 USD, he pays 25 USD VAT︀ on importation. A then processes them (wages are paid) and resells to a customer for︁ 200 + 50 USD VAT (remitting 50 USD to the government but getting 25 back︂ for the import paid). In essence, 50 USD have been paid to the government, 25︃ of which for the import and 25 of which for the labour / profit generated︄ while being processed at B.
Now, I further propose to ablish salary taxes / personal︅ income taxes. Why? Because as per the above example, the guy working on the goods︆ (B) did in fact already pay for it. That's the 25 USD that he paid︇ on the 100 USD profit generated.
With those two measures, the net effect would be︈ that the country basically has a 25% duty on all imports without the hassle of︉ making other countries angry.
There are various side-effects that would have to be addressed, among︊ others that basically no tax would be paid for work performed on export goods, residents︋ would be incentivised to spend their money abroad instead of at home, corporate profits would︌ have to equally be lowered as the VAT would charge, etc.
@Martin Everson @void I definitely would not recommend a finance transaction fee. I think this has been discussed in︍ detail recently in Switzerland, while there are valid arguments for it, I think the︎ over all effects lead to massive inefficiencies as it incentivices inefficient behaviour of market players,️ not to mention that it could easily be avoided.
To a@void misunderstandings, I personally would not recommend anybody to expose himself to citizenship taxation nor would I avocate any country to introduce such. But I do respect entities able to charge people due to their good marketing or any other efforts that allows them to do so in a free market. For the US, to be honest, due to FEIE the number of such taxpayers is fairly limited and in the end I would say the main question is how much tax and business the US is losing out by deterring potential tax payers with︀ citizenship taxation.
Your not explaining yourself well. Please just share with us your calculations on how︎ the 25% regime will cover the US federal spending needs?
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