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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (426)	6/5/2005 11:31:13 PM
From: richardred	Respond to of 541374

Some good points Tim >Taxation - didn't mention that, though it's a valid issue. Having never conducted complex interstate commerce myself, I can't say I know the issue well. Which points of taxation do you object to? >>Mainly that I want taxes to be lower and simpler. Tax laws should be simple to comply with and shouldn't take as much of our money. >>>Notice with the internet retail sales. Interstate commerce has become so big. You now see a line to add State sales tax. About ten years ago, you saw it, but not like you do today. >>>I still however think the underground economy is alive and well. Small snip >While economists have long estimated that the U.S. underground economy equals about 10 percent of the gross domestic product (GDP), there are reasons to believe the number may be larger. According to a recent International Monetary Fund survey of 21 countries, the shadow economy has been growing for 30 years--the fastest in the 1990s--doubling from less than 10 percent of the GDP in 1970 to 20 percent or more by 2000. "In the United States, for example, the shadow economy doubled from 4 percent of GDP in 1970 to 9 percent in 2000," according to IMF. But the Internal Revenue Service is taking a dim view. The IRS recently estimated that the federal government is losing $195 billion per year in revenue due to underground activity-- both legal and illegal. In addition, it estimates the underground economy is anywhere from 3 to 40 percent of the above ground economy. And the IRS is continuing its battle with restaurant owners to collect taxes on the estimated $9 billion in tips restaurant employees receive annually but may not report. alternet.org wsjclassroomedition.com