Tuesday, February 25, 2014

Bullshit

One of the zombie notions out there which the press plays along with is that "complexity" in our tax system is largely due to the existence of tax brackets.
But the tax system would be dramatically simpler, with seven existing brackets collapsed into just two, set at 10 percent and 25 percent.

In addition, the plan would impose a 10 percent surtax on certain types of earned income over roughly $450,000 a year. The surtax would hit many salaried professionals, such as attorneys and accountants, while dodging farmers and manufacturers — as well as the super-rich, whose income often is derived primarily from interest and investments.

Nobody will spend one second less thinking about their taxes if there are fewer tax brackets. Getting rid of tax brackets does not make the system "dramatically simpler."