The Long And Complex Tax Code The United States

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The issue at hand is the long and complex tax code the United States currently has in place, there are more than 74,000 pages in the tax code. From 2001-2010 4,430 pages were added to the tax code, an average of a page a day. Because of the extensive tax code, there are many loopholes that allow people and businesses to evade paying large amounts of taxes, some people save billions of dollars. There are at least six loopholes that the average tax filer can exploit to save large amounts of money on their taxes. For example; the “museum” write off allows classic car owners to make their museum into a garage, claim that they are an owner and reap the tax benefits. Action is needed because the current system is unfair, and is ineffective. If…show more content…
From 1984-2001 the tax code doubled in size. The size of the code is referenced because; more pages make it more complex. Eventually, the code could become a set of contradicting rules, rendering the system useless. We can already see this happening with the amount of loopholes that have been found. These loopholes are so common that I did not even need to dig to find them; they are easily accessible through a Google search. Many people believe that a course of action that would make sense is reform, a platform especially popular amongst Republicans. This is especially endorsed by presidential candidate Rand Paul. It is one of Dr. Paul’s main concerns as president to reform the tax code. Like many, Dr. Paul believes that the tax code is out of control, and is ineffective. The plan proposed by him entails what he calls “The Fair and Flat Tax”. He has proposed a flat tax of 14.5% for all Americans. Payroll, estate, gift, and telephone taxes would all be immediately eliminated. This plan would cut taxes by 2 trillion immediately. His code calls for an equal tax applied to personal income, wages, salaries, dividends, capital gains, rents and interest. 14.5% applied across the board would bring equality to American citizens. Dr. Paul believes that within 10 years this plan will increase the GDP substantially, and it will put 1.4 more million Americans to work. Some argue that this plan would cut revenue too much, and the government wouldn’t have enough money.
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