When it comes to tax reform, I’m in an ideological no man’s land. I support a progressive tax system in which wealthier Americans pay a higher rate of tax than lower income taxpayers, but with one crucial caveat: I cannot stand liberal claims that “the rich” — rarely defined — “do not pay their fair share” in taxes. This, put simply, is the biggest canard in American politics.
As the Wall Street Journal first reported on Friday, Tax Policy Center research shows that in 2018, the top 20 percent of earners will pay a whopping 87 percent of federal income tax revenue.
Is that fair?
Well, no, if the Tax Policy Center is correct in assessing that the top 20 percent of earners will hold 52 percent of total U.S. income earnings in 2018. It’s not fair — the rich appear to be paying too much!
As an extension, liberals would do well to be more honest when it comes to tax issues. To be honest, they should be specific about what qualifies as “rich.” For example: “We want those earning over $150,000 a year to pay more, even though they are already paying for the vast majority of all government programs.”
What’s the lesson for conservatives?
Well, in my opinion, that we should seek lower and simplified income and corporate tax codes/rates alongside a national sales tax and a higher federal gas tax.
And that we should finally reform entitlements.
