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To: Don Lloyd who wrote (3228)10/19/2001 8:34:54 PM
From: Mark AdamsRespond to of 24758
 
Thanks. I guess I enjoy playing out what ifs too much. I figure if the pols are floating proposals, such as the elimination of the corporate income tax (early this year) I should consider what the possible ramifications of such an action might be. I hadn't put much effort into it until the posts on this thread, over the past few days. Of course, it appears that this won't fly at this time.

I would suggest that any changes to the tax code creates opportunities and potential pitfalls for the unwary. The whole savings and loan crisis and RTC fiasco seemed to be related to the targeting of real estate shelters with tax code changes. Since then, we have the advent of the Roth and Roth conversions (encouraging people to accelerate payment of deferred liabilities), removal of cap gains on primary home equity gains, and subtle changes to brackets and estate tax rules in 99-00.

I expect we haven't fully understood the long term implications of the changes over the past few years, yet we still float various proposals for additional changes.



To: Don Lloyd who wrote (3228)10/19/2001 10:17:51 PM
From: JayPCRead Replies (1) | Respond to of 24758
 
The regressiveness would be handled by the rebate being equivalent to an effective zero tax rate for family income below, say, $20K or $30K.

The other question to consider is at what level you require business to charge the RST. Should a mom and pop selling $10,000 of jam a year be required to charge RST?

Forgive me if all these questions are answered on the website, I'm still on a bugged computer.

Regards,
Jay