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To: Moominoid who wrote (8337)	1/22/2003 1:44:37 PM
From: MSI	Respond to of 306849

Of course ! WTF are they doing?? Well, getting campaign donations, making payoffs to individual wealthy families for past donations, as usual. But also, complexity in the tax code is a political plus, just like obfuscation of everything in gov't. Not just for the multibillion dollar accounting industry -- it also allows greater political and financial advantage to those with access to legislative knowledge. Ever notice the more time and $$ spent on your taxes, the less you pay, compared to your friends who just get fleeced? That gives you an advantage that wouldn't be there if the tax laws were simpler. You still get the benefits, but pay less than they do. It was embarassing to a client of mine many years ago to see what his employees were taking home in actual pay, compared to what he had calculated as their portion of the profit of the business... Joe Sixpack gets royally screwed, by the powers-that-be. The solution in that case was to create Keogh plan which flowed ownership on a tax-advantaged basis to all employees. Nader and Chomsky describe how labor benefits from more representation to counter the trend towards kleptocracy. There's evidence that the Keogh-type structure works, where it can be used. Even then, tho', the dividend-exlusion is stupid, because shares are in pensions anyway, and don't get taxed as ordinary income... it's purely a pay-back to wealthy donors.