A Proposed Revision To The Federal Income Tax Regulations

[Patrick H. Crowe]

As most of you probably know long term capital gains are taxed at a lower rate (15%) than ordinary income. Why? At the same time capital losses are restricted to $3,000.00 per year. To me this is illogical. Here's my proposal.

Let's tax capital gains the same as ordinary income and simultaneously allow taxpayers to deduct capital losses in full, i.e. not limited to 3K a year. Isn't that balanced and equitable?

In a good year I'll pay and in a bad year I'll be able to deduct my losses. Bear in mind I mean actual loses and actual gains because people who tell me how much they "LOST" due to the decline in the market, but who made no trades, have no idea what I'm talking about. Do you?

Patrick H. Crowe

 

[mac]

Instead of just tinkering with the tax code, why not just get rid of the whole thing? Google the "Fair Tax" and see what you get. No more income tax. Everyone, including illegals contribute to a consumption tax. No mountain of tax consultants. You are right, this code makes no sense. Just get rid of it altogether.

 

[Bubbles Galore]

Mac hit it right on the head. Just get rid of the income tax. It is such an antiquated law that is no longer useful.

 

[Patrick H. Crowe]

Of course Bubbles & Mac are correct but there's no chance of that happening. What recent politics seems to me to have proven is that in the area of taxation (not war) only INCREMENTAL changes are possible. If so, mine fits, right?

Patrick H. Crowe

 

[Ben's Car Wash]

So MAC and Bubbles voted for RON PAUL? I for one would love to see the IRS be desolved, it would save tens billions of dollars overnight to manage a system that no one can navigate. But this will not happen. Whole cities are going bankrupt now because they are losing on their investments, yet they want tax breaks on capital gains? Why both? Tax breaks on gains(when times where good)? Tax break on losses(when times are bad)? This year I have enough losses at the current tax code to carry for 133 years! Yes, it needs to be overhauled, but not to the advantage of those who put us in this position!

 

[cebo]

The fair tax has nothing to do with Ron Paul. Why don't you read about it before making comments concerning it. Rep Conyers from GA has been trying to introduce it for the past few years, but to no avail. He has co-authored 2 books to explain it in laymans terms so the general m(asses) can understand it. Try reading those. It has been throughly reviewed and approved by the leftist economists at Havard. At this point in the republic it is rapidly becoming our only hope. I really feel sorry for my grandkids.

Cebo