In a previous blog, I fixed Obamacare. Today, I'm going to fix the tax problem.
As near as I can tell, in 2014 the federal government raised about $1.358 trillion in income taxes. There were 23,745,195 taxpayers who showed an adjusted gross income over $100,000, and that represented 79.5% of all taxes.
So here's the deal: We eliminate all deductions. Yup, every one of them. No more personal exemptions, no more home mortgage deductions—nothing. Nada. By doing that, we eliminate the adjusted gross income and only have gross income. By applying the current tax rates to people earning over $150,000 a year, we increase the tax money collected by only using gross income. The increase in taxable income should make up the other 20.5% of total tax revenue.
Everyone who makes less than $150,000 a year pays nothing. We also have the advantage and the savings of virtually eliminating most of the IRS and boatloads of accountants and tax lawyers. Isn't that great?
See, I fixed the whole tax system in 165 words. Our current tax code is 74,608 pages.
Tell me what you want me to fix next, I'm on a roll.