Newletter: Simplify the Tax Code

Statement

Every occupation has its busy season. For farmers, it's during planting and harvesting. For teachers, it's the hustle and bustle of a new year. For amusement parks, it's the summer season. It's no different for tax accountants who are busy studying up on the over 70,000 pages of tax rules and regulations.

I've never understood why we need a tax code that is so complex you have to hire someone else just to understand it. We desperately need tax reform to simplify a massive tax code. Hard-working Americans spend too much money and time filling out government forms just to pay their taxes.

The best way to reform the tax code is not to nibble around the edges. We should rip up the old code and start over with a blank piece of paper. There is no shortage of ideas on how to create a better code. Currently, there are bills in Congress for a Fair Tax and a Flat Tax. There are other ideas too that deserve a look.

I believe Congress should flatten the tax code by ending special deductions. This simplification would also broaden the tax base to include everyone- even the underground economy that escapes taxation today. This would help lower the tax burden while giving the government enough money to operate.

What is clear is that almost no one thinks the code we have now makes sense. We need a tax code that is simple, fair and promotes economic growth. This is a worthwhile goal we should continue to pursue in 2014.

Source