Quote from SWhiting:
Doing 'something' is NOT always the best course. Sometimes, if fact , many times, things are the way they 'are' because that is the way they should be. Do you think the current income tax system popped up out of nowhere !?!?
The absolute BEST income tax system encapsulates exactly what the US has: 1) a progressive tax system and, 2) a system that taxes WAGES at the source. It is fair and relatively cheap.
If you want to complain about our tax system, complain about (1) loopholes and (2) cheaters. In the relm of cheaters: if you patronize an establishment that does NOT take charge cards you can be pretty sure that they are hiding income. They are stealing from you & me.
First I think you should use some numbers to prove that we have the "BEST" income tax system. Otherwise it is just a subjective opinion.
My main complaint with a progressive tax system is that it discourages work. Why would I want to work an extra hour if the income from that extra work is diminished by a rising tax? It is not "FAIR", in fact this tax punishes people for hard work.
Ever wonder why communism failed? Its because people are both lazy and greedy. Taking away the potential for profit reduced the benefits of greed, thus the only thing left do was to sit back and let the other suckers work.
Although there will always be cheaters, they do serve a purpose, when their numbers rise its an alarm bell that taxes are too high. Tax havens also serve this purpose, they are a warning to governments that people will move earnings offshore if taxation is out of control. In regards to loopholes, I think a flat tax goes a long way to eliminating many of them, thus some of the extra revenue of a progressive tax is offset by less loopholes.
-Neo