Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Politics for Pros- moderated -- Ignore unavailable to you. Want to Upgrade?

To: John Carragher who wrote (84448)	11/6/2004 2:51:45 PM
From: tbancroft	Respond to of 793824

Thought this note on the Adam Smith blog was pertinent to the discussion. adamsmith.org Flat tax works By Dr Eamonn Butler Tax & Economy I'm in Zagreb, advising the Croations that if they really want people to invest in their country, they should cut tax and bureaucracy and get their legal system sorted out. One of the most interesting people here is Ivan Miklos, Deputy Prime Minister and Finance Minister of Slovakia, whom I first met six months or so ago at a similar event in Bratislav. Slovakia got a lot of attention recently by radically restructuring its tax system and introducing a flat tax - everyone pays 19%. Much to the anger of Chancellor Schroeder and other high-tax proponents, of course. He told me he lost three nights' sleep worrying about this proposal, which he knew would be unpopular. But then, he reasoned, doing nothing would be just as unpopular, so he bit the bullet and did it. Now, the revenues from income tax, and all the taxes they cut, are rising; while the revenues from VAT, which they increased, are shrinking! Well - I told you so. Look out for the ASI's flat tax report soon.

To: John Carragher who wrote (84448)	11/7/2004 6:29:52 AM
From: JDN	Read Replies (1) \| Respond to of 793824

I agree, however, as you know the baby boomer expansion is going to cause the ratio of WORKERS to Retirees to shrink putting a difficult burden on the workers to support us in our GOLDEN YEARS. One answer would be to switch to a consumption tax such as VAT. Then EVERYONE would, to the extent they consume taxable items help support us. (now isnt that a nice idea? haha). Plus, as I mentioned before an awful lot of economic activity in this country just doesnt get taxed the so-called UNDERGROUND economy. A VAT unlike a sales tax gets added at the source so its more difficult to hide from. But, I have no problem with a flat tax, I doubt it would start at 45k though, for if it did it would HAVE to start VERY HIGH, maybe even more than 20%. jdn