It always amuses me to here our Legislature whine that a tax cut is going to cost us something. It really doesn't cost us anything. It is just that they don't have as much of our money to use to to "care for us" (
ie, "If we can prevent the government from wasting the labor of the people, under the pretense of caring for them, they will be happy.").
One thing I have never heard anyone discuss is
cost avoidance in government spending. Let's just take a look at the IRS as an example. How much money does the IRS spend each year just to collect taxes? They have to write and print all the tax rules and forms (labor and material). Packaging, handling, storage and distribution of all this material. Computers and all the personel to run them. All the extra people they hire each year during "Tax Time", etc, etc, etc.
I would venture to say that if the U.S. would adopt a "simplified" tax, the cost avoidance by not having, or needing such a huge IRS or all that printing and computers would be in the billions of dollars. A cost avoidance of this proportion should equate to less taxes.
So....
....why won't the U.S. Government simplify our taxes and benefit from a cost avoidance? First you must remember that most of our legislature is made up of lawyers who think complex is goodness. Then you'll have to ask all the lawyers and accountants that benefit from a complex tax system.
