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A Foolproof Tax Plan: So Simple Even a Caveman IRS Commissioner Could Do It PDF  | Print |  E-mail
Written by Selwyn Duke   
Wednesday, 13 January 2010 09:30

ShulmanWhat does it tell you when even the IRS commissioner doesn’t prepare his own taxes because the code is “complex”?

Given that my father had been a WWII-era prisoner of war in Germany, no one could accuse him of not doing his part for America. Yet he was no fan of Uncle Scam. So many times he’d passionately say, “The government is worse than the mafia!” His point was that when you pay protection money to the local don, no one will dare molest your property. But there’s no such assurance when paying tribute to little g, a fact we were painfully aware of living in the Bronx.

There are few bureaucracies in America that inspire hatred — at least among that ever-diminishing class of productive citizens — like the Internal Revenue Service. Doing its part to mitigate materialism, it liberated enough money from our pockets in 2009 so that we had to work until April 13 for the government. Some call this part of the “social contract” — which, incidentally, I don’t remember ever signing. Others call it legalized theft. Yet others call it slavery.

But what really distinguishes Uncle Scam from the mafia — other than its superior weaponry and pretense of charitable intentions — is its intrusiveness. For one thing, while both entities essentially extract money at the end of a gun, Vinnie “the Chin” never demands you fill out forms.

So complex is the government’s extortion system, in fact, that it has given rise to a species known as the professional tax preparer, who provides a service now used by 60 percent of Americans. Now, I’m not impugning tax preparers, many of whom are wonderful people (such as my accountant). But did you ever think outside the box and say to yourself, “Wow, imagine that, an enormous industry has developed for the sole purpose of helping people negotiate a labyrinthine tax code”? I mean, just imagine if you had to pay Meyer “the Calculator” to figure out what to pay Vinnie “the Chin.”

An ironic example of this complexity is that the IRS commissioner himself, Douglas Shulman, doesn’t want to wade into our tax code sea of confusion any more than Shlomo “the Poor Slob” down the block. Treating the issue at theHill.com, Bob Cusack reports:

During an interview on C-SPAN's “Newsmakers” program that aired on Sunday, Shulman said he uses a tax preparer for his own returns.

“I've used one for years. I find it convenient. I find the tax code complex so I use a preparer,” Shulman said.

Not surprisingly, the bureaucratic confusion reigns from top to bottom, which is why IRS counsel lacks the consistency of Vinnie’s “Don’t pay? We kill you.” Stories are legion about people asking different agents the same question and getting different answers. It’s a type of complexity that we can only call Unintelligent Design. Yet while this problem is much recognized, there is something people rarely notice — something far worse.

Here’s a question even an IRS agent could answer: How would you respond if a stranger approached and asked how much money you made? Virtually all Americans would demur and say “That’s personal.” Yet, think about it, strangers working within government ask not only that every year but also want chapter and verse; they want to know how you made your money, your deductions, and a host of other things. And how do we respond?

Most Americans obediently divulge the information without batting an eye.

Yet does the government really have a moral right to scrutinize your personal finances? Even Vinnie doesn’t demand that.

After stealing an exorbitant amount of our wealth via methods involving all the pleasure of a long, slow root canal, there’s then salt thrown in the wound. Uncle Scam treats our money contemptuously, wasting it on pork-barrel projects; and using it to buy votes, fund social engineering and on “acts on benevolence” rightfully the private sector’s domain. Worse still, our cash is used to oppress us, being the lifeblood of bureaucracies that regulate and sue us into oblivion. These are entities such as the odious Equal Employment Opportunity Commission, Environmental Protection Agency, Occupational Safety and Health Administration, Department of Education — and the IRS. And it worsens with each passing year, as the rapacious government beast grows and spends like an adolescent with daddy’s credit card.

So what’s the solution? There’s no substitute for a moral, informed electorate, but there are steps we can take. Here are some suggestions:

National referenda on all taxes increases

Many bemoan the growth of government. But money is, again, its lifeblood, and until that supply is controlled, the beast will metastasize like an aggressive cancer. That’s why the “power to destroy,” as former Chief Justice John Marshall put it, belongs with those paying the bills.

So before any proposed tax increase could take effect, it should have to go up for a vote of the people. I’d also prefer that a supermajority of 60 percent be necessary for passage.

Pass a balanced-budget amendment

Limiting the blood supply is only half the equation. If our feckless politicians can continually borrow to buy votes, we’ll still bankrupt ourselves. Thus, we should pass an amendment forcing Congress to tie spending to revenue, with the only exception being periods of officially declared war (no, the “War on Drugs” wouldn’t count).

Only allow one federal tax

This would eliminate hidden taxes, found on plane tickets, phone bills, gasoline and innumerable other things. Tools of deception — we aren’t even aware of most of them — they allow politicians to tax us secretly, without angering voters. This is why politicians love hidden taxes — and why we mustn’t allow them.

Of course, the referenda alone would eliminate the secrecy, but the taxes would still hide the true cost of government. They have to go.

Make the one tax a national sales tax

And limit its rate to 10 percent, with exemptions for necessities. Why a sales tax? First, it gets the root-canal crew out of the average American’s life. Also, for those concerned about such things, it’s naturally progressive; rich people who bought more would pay more. And the added bonus is that you wouldn’t have to fork over a dime until you chose to make a purchase.

And you’ll love the next one . . . .

Tie politicians’ salaries and benefits to fiscal management

This would introduce incentive into the system. Politicians’ compensation would be extremely low, and it could only be increased by lowering the tax rate from the 10-percent mark or realizing a budget surplus. The exact formulas would have to be worked out, of course.

I would also recommend replication of these proposals on a state level. After all, people can be fleeced there as well.

Legendary economist Milton Friedman once quipped, “There's only two types of money in this world: your money and my money.” As long as politicians have power over your money, government will never be shrunk. As long as they have the “power to destroy,” the destruction of the republic will continue unabated.

Selwyn Duke is a columnist and public speaker whose work has been published widely online and in print, on both the local and national levels. He has been featured on the Rush Limbaugh Show, at WorldNetDaily.com, in American Conservative magazine, is a contributor to AmericanThinker.com and appears regularly as a guest on the award-winning, nationally-syndicated Michael Savage Show. Visit his Website.

 

 

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Comments (15)add comment

riverroach said:

244
Good Article except for the BBA
Mr. Duke,
Thanks for another great article. The only part I disagree with is the part about a Balanced Budget Amendment. If such an amendment were passed it would simply FORCE Congress to raise taxes to balance the budget.

If fact, we already have a balanced budget amendment written directly into the Constitution, it is just that it has been sidestepped. It is called the Gold Standard and were it still in effect they would NOT be able to spend more than they have in Gold.

Sincerely,
JJ Suprise
Sandy, Utah
 
January 13, 2010 | url
Votes: +2

DDW said:

0
I'd like to post these again
from H. L. Mencken:
The only good bureaucrat is one with a pistol at his head. Put it in his hand and it's good-by to the Bill of Rights.
-- H.L. Mencken

and:

"It is the invariable habit of bureaucracies, at all times and everywhere, to assume...that every citizen is a criminal. Their one apparent purpose, pursued with a relentless and furious diligence, is to convert the assumption into a fact. They hunt endlessly for proofs, and, when proofs are lacking, for mere suspicions. The moment they become aware of a definite citizen, John Doe, seeking what is his right under the law, they begin searching feverishly for an excuse for withholding it from him." --H.L. Mencken

The foul smelling IRS is one of the very worst (and arrogant) of the plague of bureaucracies under which these United States suffers. It should be immediately defunded and struck down. Yesterday would not be soon enough.
 
January 13, 2010
Votes: +3

Paladin said:

0
You missed something JJ
JJ, I think you missed something in the article. Congress couldn't raise taxes is there was a BBA because the author said he would place the power to raise taxes in the hands of the people. They would have referendums on taxes increases.
 
January 13, 2010
Votes: +2

rprew said:

1484
A few changes and additions
So before any proposed tax increase could take effect, it should have to go up for a vote of the people. I’d also prefer that a supermajority of 60 percent OF REGISTERED VOTERS be necessary for passage.

(regarding a national sales tax) And limit its rate to 6 percent, with exemptions for necessities.

Standardize tariffs to be a single rate for ALL imports from ALL counties.

Require amendments to proposed bills be germane.

Eliminate Congressional pensions.

And finally... Mr. Duke, as a caveman, I must STRONGLY protest your comparison of me to an IRS Commissioner! (wink, wink!)
 
January 13, 2010
Votes: +2

Robert Owens said:

5387
Follow the Constitution!
I agree with the problems stated, they are obvious.

The proposed solutions are out of place on the website. A "National referenda"? Where is authority for this in the Constitution? I think the founding fathers would find this to be a terrible idea and I would agree...terrible idea.

Lets spend our time exposing the Council on Foreign Relations and teaching our fellow citizens how the Constitution can be used to restore our nation to greatness.
 
January 13, 2010 | url
Votes: +1

DDW said:

0
Someone here at JBS please correct me if I'm wrong
But didn't our Founding Fathers intend for taxes to be on what is consumed rather than on what is produced? You know, the late, great Mr. Skousen stated that almost every single problem these United States suffers today has been caused by violation of some part of the Constitution.
 
January 14, 2010
Votes: +1

Publius said:

64
Taxation
If the size of government could be restricted to that described by the Constitution, then taxes on income as we have now would be entirely unnecessary. So, in fact, would be the need to debase the currency and the need to fund government operations through the issuance of debt instruments. Instead, a fully Constitutional government could be funded by modest taxes on imports only. Note that this would not be a punitive policy of protectionism through which foreign competitors to favored national industries would be duly put at disadvantage, but a relatively small and "flat" import tax across the board, designed solely to support the moderate and legitimate activities of constitutional government. This would be by far the fairest and least onerous tax.
 
January 14, 2010
Votes: +1

Taylor Moore said:

0
Nothing is going to ever change
This is an excellent artilce and readers' comments are insightful. But do you really think that there will ever be meaningful reform in the United States? I doubt it very, very much! The American people have been gradually conditioned to the false normalcy of this reckless and despotic system. The best bet, if at all possible, is to get the hell out of the United States because freedom and opportunity in this declining republic is rapidly becoming only an illusion.
 
January 14, 2010
Votes: -2

Kim Segar said:

0
same as above
He is right. one time I was so aware of uncle scam that I told many, America should just stop paying anything into IRS. after all it is against our constitution, which gov likes to side step as they seem to thin they are the rulers but WE the PEOPLE are the gov. what could they do if NO ONE gave them a dime. we need to kick the IRS, FEDS out of our lives and country. also we voted the egnorant UN out too. Gov doesn't need our taxes..they just like to take it and put it in their Asian bank accounts. Our constitution says we the people have to vote before they use our money for anyone or anything much less nation build and support the UN, how many know we give the UN more than all the countries in the world and yet they do as they please..kinda like Clinton he did what he did and said it was cuz he could..WE are a Republic, where we vote and they do as they please instead of serve us..and as long as we let them we loose more freedom and our American dream. and everyting in between. If we let the continue and throw in the rip of health care then they take our guns , our forefather warned us.go read it. and read your constitution. all the so called leaders say our Constitution is just a piece of paper..a Democracy is where the people vote and they do as any dictator does..whatever they like..and then the global lie, how rich they get at our expense as they trash whats left. look up Democracy and Republic in your dictionary. and then read the Constitution. and then worry about how to rid the white house of how to take our secrets and give them to the enemy how come we don't fire the 545 and replace them all??? or send our milatary in to rid us of them all , lock them up..UNTIL America gets up off their blessed assurance and works on state levels and rids us of all the evil. we will sink and it is their plan to rule like Hitler did the same ole way..let us close our borders , deport the ilegals and Drill and quit beliving the lies..
 
January 14, 2010 | url
Votes: -1

Stophel said:

0
Why bother
The US Government already ignores the first 10 amendments, what good would a "balanced budget amendment" do?
 
January 14, 2010
Votes: +1

For Freedom.... said:

0
...
It might benefit all who love our country to recall a famous quote at this time....

"If we don't all hang together, then surely, we shall all hang separately."
-Benjamin Franklin

With varying points of view...the sure foundation that we should abide with is our beloved Constitution.

Opinions fly in the wind...hither and yon...the Constitution will stand firm.
 
January 15, 2010
Votes: +2

DDW said:

0
Leave?
I don't think so. Where would one go anyway? I'd much rather stay and fight, should it come to that and/or should I live long enough for that to happen.
 
January 15, 2010
Votes: +0

Marc Hughes said:

0
...
It sounds like you are almost talking about the "Fair Tax" It's in the House now and Michael Reagan just signed on as spokesperson. If you aren't aware, the Fair Tax would be 23%, and basically replace all the embedded taxes alreadt in the cost of everything. So, an item that costs $1.00 today, will cost $1.00 when the Fair Tax becomes law. Also, like you said, the more new things you buy, the more tax you pay. Finally, a way to tax drug dealers and criminals, and get tourists to contribute to our social security.
 
January 15, 2010
Votes: +0

T. Dan Tolleson said:

0
First -- Declare bankruptcy and "End the Fed!"
Selwyn Duke left out the most urgent reform of all – declare bankruptcy, abolish the Federal Reserve, start the constitutional process of coining money with a new, uninflatable dollar backed by any one of the precious metals, and then pay off the now-almost-worthless paper currency notes at their real worth – i.e., fractions of pennies on the nominal paper dollar.

But during the process of restoring constitutional money, it will also be necessary to allow the economy to start growing again so people can find real jobs.

How?

Repeal the federal income tax and any restrictive federal regulations standing in the way of business growth and private-sector job creation.

Next, institute a federal retail sales tax of about 10 percent, as Selwyn Duke suggests, to cover constitutionally authorized expenditures only. We must expedite the process of shrinking the federal government back down to its proper constitutional size as the economy rapidly grows and net tax revenues actually increase.

Stop all foreign aid (we're broke, remember?).

Get out of the UN . . . as well as the World Bank, the International Monetary Fund, NAFTA, GATT, and the WTO.

What kind of trade policy should we have? We should follow a "mirror policy," by matching tariffs with each trading partner. If they raise their tariffs against our products, we raise our tariffs against their products. If they lower, we lower. This no-nonsense policy of strict "fair trade" will enable U.S. businesses to get back up on their feet and prosper like never before.
 
January 17, 2010
Votes: +1

DDW said:

0
Don't just get the US out of the UN
Get the UN out of the US. Knock that building down and scrape the ground it sat on.
 
January 20, 2010
Votes: +0

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