5. A Fair Tax Code

[The 99 Declaration]

A complete reformation and simplification of the United States Tax Code to require ALL individuals and corporations to pay a fair share of a progressive, graduated income tax by eliminating loopholes, unfair tax breaks, exemptions and unfair deductions, subsidies and ending all other methods of evading income taxes. The current system of taxation unjustly favors the wealthiest Americans and corporations, many of who pay fewer taxes to the United States Treasury than citizens who earn much less and pay a much higher percentage of their incomes in taxes. Any corporation or entity that does business in the United States and generates income from that business in the United States shall be fully taxed on that incomeregardless of corporate domicile or they will be barred from earning their profits in the United States. This will allow honest companies and individuals who pay their fair share in income taxes to take over those markets in the United States economy formerly held by income tax cheats. Businesses and individuals that pay taxes in other countries will no longer be permitted to use that excuse to justify their failure to pay federal income tax in the United States if they obtain benefits from doing business in the United States. Corporations that create jobs in the United States will be rewarded by the tax code and corporations that remove jobs from the United States will be penalized by the tax code. The substitution of lower capital gains tax rates for graduated income tax rates shall be eliminated. This $4 billion a year “hedge fund loophole” which permits certain individuals engaged in financial transactions to evade graduated income tax rates by treating their income as long-term capital gains which are taxed at a much lower rate (approximately 15%) than income tax.

“Our new Constitution is now established, and has an appearance that promises permanency; but in this world nothing can be said to be certain, except death and taxes.” -Benjamin Franklin, 1789.

[tdrivertom]

As I have stated elsewhere, under the grievance of "A Fair Tax Code," the issue of social security tax needs to be addressed. Right now, I believe the ceiling on paying social security tax is around $106,800. Anyone making more than this does not pay a penny of social security tax on the income over the ceiling amount. This is flatly wrong! This one change, removing the income ceiling and making it unlimited, would go a long way in keeping social security sound. Everyone should pay social security tax on every dollar earned, and that goes for people like Mitt Romney too who makes most of his income from investments.