In addition, a June 1996 study prepared by the National Center for Policy Analysis concluded that under the Armey-Shelby flat tax, “every income group would gain, with the greatest gain in percentage terms going to the lowest-income Americans.”
This makes sense. By lowering compliance costs, ending the bias against saving and investment, lowering tax rates, and treating all businesses the same, the flat will promote more saving, productive investment and work. That means higher incomes.
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Benefits of the Flat Tax
Why is it good for farmers and ranchers?
For several reasons, according to an issue briefing book prepared by the House Agriculture Committee. Here’s why.
· The flat tax simplifies tax calculations.
· Until revenues are greater than total expenses and investments, including the amount carried forward, a business would not pay any income taxes.
· Businesses will not make unwise investments just to avoid paying taxes forever.
· The flat tax lowers compliance costs.
· The flat tax eliminates disproportionate compliance burden (smaller farm and ranch operations must contend with higher relative compliance costs compared to large farms and ranch operations).
· The flat tax eliminates the estate tax and the capital gains tax.
· The flat tax would result in wealthier consumers with increased spending power.
Next question quest4.asp
Front Page | Proposal | Q&A | Calculator | Details | subscribe! /welcome.htm/welcome.htm
Benefits of the Flat Tax
Why is it good for farmers and ranchers?
For several reasons, according to an issue briefing book prepared by the House Agriculture Committee. Here’s why.
· The flat tax simplifies tax calculations.
· Until revenues are greater than total expenses and investments, including the amount carried forward, a business would not pay any income taxes.
· Businesses will not make unwise investments just to avoid paying taxes forever.
· The flat tax lowers compliance costs.
· The flat tax eliminates disproportionate compliance burden (smaller farm and ranch operations must contend with higher relative compliance costs compared to large farms and ranch operations).
· The flat tax eliminates the estate tax and the capital gains tax.
· The flat tax would result in wealthier consumers with increased spending power.
Next question quest4.asp
Front Page | Proposal | Q&A | Calculator | Details | subscribe! /welcome.htm/welcome.htm