Nurses (yes, nurses) lead charge for Wall Street 'sin' tax

[Jhhnn]

Clearly the way to fix finance is to listen to people that think you can increase taxes on Wall Street by $350B and that classify dividends as transactions :\

And I dont worship the free market.

Dividends are transactions the same way as rent or interest- money changes hands, therefore it is a transaction.

 

[a777pilot]

Ducking for the inevitable Rightist barrage...

I think the tax should be used for the next bailout coming to you courtesy of the Repeal of Glass-Steigall.


http://usnews.msnbc.msn.com/_news/2...rses-lead-charge-for-wall-street-sin-tax?lite

I'm a right wing loon but I have no problem with this idea, if and only if, it is a replacement for the income tax. I would like to see all income/profit taxes done away . I want them replaced with a sales/consumption/transfer tax on all items and services with no exceptions.

At least we are talking about reforming the entire tax code.

I don't want to debate rates but wish to debate WHAT is taxed as a much more fundamental endeavor.

 

[LunarRay]

Regarding Taxation...

First, I'd redefine corporations to be un-people and un-taxable for both federal and state taxation...

Second, I'd eliminate all the rules and codes and what not that pertain to taxation of any kind and start over.

I'd establish a few interesting surtax features that pay for ad hoc endeavors. One of these might be: War. Long term infrastructure would be properly funded out of LTdebt. All folks above some poverty line plus 50 % would pay for this. And it would be intended to cover the cost not part of the general fund budget.
Stimulus efforts that make fiscal/monetary sense needed during a recession or like that would be funded out of debt but with the intention to break even within the economic cycle or that too becomes an ad hoc surtax event.

Taxation would only be placed on people and only those earning over poverty plus 50% and it would be progressive up to 75% on income of any kind whatsoever. The rates would be set to cover the mandated outflow, the military, and government operations. (debt service is in mandated as is SSA etc.) in a phased in 15 year period to a point where at that 15 year mark the budgeted outflows are covered by the revenue inflows.

No marriage or kid or any kind of credit against taxation... You earn what you earn and pay based on that... regardless of the source.

Legislation would be offered to insure the SSA is maintained and the retirement age would be 68. The amount would be poverty plus a few percent. You'd not be eligible for SSA if working. SSA is also considered 'earning'.

Health care I've not figured out yet... but it would be something with restrictions and options sorta like in some European places.... You as an individual can purchase above this basic policy but the basic one like medicare has to be reworked big time...

 

[a777pilot]

Once again this is turning into a "rate" and exception debate. If that is what you wish to debate, then it's not worth my effort.

 

[LunarRay]

Once again this is turning into a "rate" and exception debate. If that is what you wish to debate, then it's not worth my effort.

Flat, consumption, Vat and the like are viable too but they are filled with Rate and exceptions too... and one big headache to manage...

IF a vat were introduced I'd opt for a claw back on exports and various exemptions for certain items or value etc...

I like rates that are progressive cuz I'm poor.

 

[EagleKeeper]

So you really don't think the 1% had anything to do with shipping millions of jobs to other countries? Really?

Those that control corporations that send these jobs are not always the 1%. Your pension fund managers are requiring stronger profits from their capital investments. That requires overseas work in dome cases. Those pension people work for your IRA and 401K plans. So you are in effect part of the problem. Some of the 1% run a business, others just manipulate money.

 

[the DRIZZLE]

Dividends are transactions the same way as rent or interest- money changes hands, therefore it is a transaction.

But interest is tax deductible for the company so it's only taxed once. The difference in tax treatment for debt and equity doesn't make a whole lot of sense.

 

[Jhhnn]

But interest is tax deductible for the company so it's only taxed once. The difference in tax treatment for debt and equity doesn't make a whole lot of sense.

Depends on the rates. If dividends are dispersed by a corporate entity who actually pays no or negative corporate tax & the principals pay 15%, they come out way ahead of somebody in the same high income bracket paying taxes on earned income. Starting with more income & then paying lower rates is double non-taxation.

 

[LunarRay]

But interest is tax deductible for the company so it's only taxed once. The difference in tax treatment for debt and equity doesn't make a whole lot of sense.

Interest expense is deductable from operating income but interest income is additive to operating income for tax purposes.... or used to be...