Move over, Donald Trump. Rand Paul just one-upped you in the category of meaningless junk to support a hopeless presidential campaign.
And with a video! Going ‘round as an ad on Facebook! That features POWER TOOLS! Chain saw, wood chipper … FIRE, even! Toss in some Jimi Hendrix as background music, and what else do you need to explain a tax policy, right?
Not much else, apparently, when it comes to the kind of voter dumb enough to fall for Paul’s flat-tax proposal. His call for a “one-page tax code on a one-page tax return” and a flat 14 ½ percent on all types of income – both personal and corporate – is the subject of his video.
Instead of the flames and power tools, though, maybe Paul should have just filmed himself kissing the bare asses of multimillionaires and Wall Street executives. Because those are the only ones who’ll benefit from such a tax policy.
What he calls “The Fair and Flat Tax” on his site also eliminates Social Security and Medicare. Except for your mortgage credit and charitable gifts, you can kiss your tax deductions goodbye. It even removes all import/export duties and tariffs for global corporations, too.
Somehow, these tax eliminations – totaling $2 trillion, he says – will create jobs and boost the economy, Paul claims. But he’s apparently forgetting that we went to recession following the major tax reductions Reagan ponied up in his second term, and the skyrocketing unemployment that came after W’s cuts on taxes paid by wealth and corporations.
Paul’s also overlooking the economic disaster that quickly followed in other first-world countries that tried this wealth-favoring trick. Huge recessions and waves of unemployment quickly followed the concept’s implementation. Subsequent increases to the flat rates of the Czech Republic (from 15 percent to 22) and Slovakia (19 to 25) didn’t help, either. Both countries had to return to normal progressive-structure taxes in less than 10 years. Shoot, Iceland gave it up after just three years.
The flat-tax concept also screws over average Americans. Consider the nation’s median personal income of $26,695 (that’s personal income, not that of an entire household). Even though you won’t be paying Social Security or Medicare anymore, you’ll still wind up paying more in income taxes under Paul’s proposal. Upper income, though, gets a substantial break. Let’s compare the current tax rates to Paul’s flat tax for a single taxpayer/no dependents.
See? The average Joe Taxpayer winds up paying more – and getting less, too, since he won’t receive any Social Security or Medicare coverage when he retires. Upper income, though? He gets to pocket over six grand more.
Paul’s plan also calls for elimination of estate taxes – another kiss-up to big money, who’ll get to skip out on what they call “death tax,” but which is actually just a tax on investment earnings that was never collected while the decedent was alive.
Add in the huge breaks to corporations (which already get break after scheme after break when it comes to taxes), and where will that leave our nation? Just as broke as Joe Taxpayer will be – and already is.
Here – watch his video. Its subject is complete B.S., but at least it’s entertaining.
Featured image from YouTube video