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Would a compromise of having a flat tax along with a negative income tax be politically feasible?

8 Answers

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  • 8 years ago
    Favorite Answer

    Anything's possible with these guys, but no, it wouldn't be a good idea.

    Better to have a flat tax with minimal deductions, and a blanket exemption for say, the first $20,000 everyone makes. The paperwork would be simple, which automatically makes it harder to cheat, and easier to enforce. If someone is making $40,000 a year, their effective tax rate will be almost half that of someone making $200,000. That's even before you factor in the lost tax deductions, which are going to be felt almost exclusively by the wealthy.

  • 8 years ago

    since we have a progressive tax with negative income tax right now and it doesn't work because the government continues to spend more than it can possibly collect - no, a flat tax with a negative income tax would not be politically, or practically feasible

  • 8 years ago

    That would not be a flat tax but a progressive tax called a flat tax.

  • Umuru
    Lv 4
    8 years ago

    tom, I think the NIT is brilliant, but let's be honest: That's completely Socialist in the underpinnings, and has little to no chance of surviving the American Political engine as it stands today. Too many people think that helping your neighbor is wrong, because they are still listening to McCarthy et al., 60+ years after the fact.

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  • 8 years ago

    nope

    each political party has to much invested into the current tax system

    there are so many special interest loops holes, neither party has the political will to go after them

  • Anonymous
    8 years ago

    matters how much the flat tax is and how much the negative income tax (aka welfare) is

  • Bob W
    Lv 6
    8 years ago

    No, the idea is to getting everyone to work and everyone to have skin in the game and pay something. It used to be that way not so long ago.

  • Anonymous
    8 years ago

    let's have a regressive progressive tax!

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