I have argued in the past for some time about the need for a massive overhaul of our Tax System. Everywhere, it seems, we are bombarded with a new plan for tax reform, and I believe that it’s about time for the Republican Reform Movement to coalesce around a single tax plan. Here is my proposal, which I’m calling a “Phase-In Tax Program”:
- Institute a temporary tax program with a 5% income tax and a 10% national retail sales tax. Every year, cut the income tax by 1% and raise the retail sales tax by 1%, ending up with a 15% retail sales tax in 5 years. Include a Basic Living Costs Allowance which would allow a certain amount of money to be spent each month on necessities (Housing, food, etc) before the NRST kicks in on these purchases
- Cut the Corporate tax rate from 35% down to 20%, and phase down by 1% every year for 5 years, until we reach 15%. Also, abolish loopholes in the tax code: no more mom-and-pop businesses paying more than big corporations.
- Abolish NAFTA and re-institute a Tariff on goods manufactured in Mexico and Canada, and withdraw from the Trans Pacific Partnership. Doing this would re-prioritize the American manufacturing sector, and protect the American worker.