0 votes

TAX the LIEs - used to be: New financial reform direction that may be easier to swallow

Today's theme seems to be rather concentrated on lies so I thought I'd see if there were any new opinions on an idea that fizzled a while ago....

In recent discussions and debates I've been part of, numerous problems have arisen in relation to one path or another. In looking for a common solution to all of them, I think I've stumbled on a pretty good solution. I think it works for the people, the government (political clout), big business, small business, small banks and everyone else that's not a big bank.

The solution? Tax Leveraged Interest Earned or LIE. Use this formula as a great start. Take every loan, stock sale, derivative, discount window open market transaction, ECB bailout support loan, dark pool windfall or secret financial action. Calculate how much skin the interest earner has in the game. In other words, if they leveraged 33-1, then they have 3% of their own money in the deal. Double that number to get 6%. Subtract that from 100% to get 94% and that's their final tax rate on that profit. You make a loan with at least half of the money coming from your own pocket, you pay no tax. Anything less and your tax rate ramps at double your leverage amount. You make full risk bets on the market like naked short selling, you get taxed 100%. This way we don't have to outlaw these activities. We just make them unprofitable.

The great part of all this is public perception. We promote it as only a tax on the windfall profits of the really bad transactions of the really big banks. What main-street voter wouldn't be for that? We show how these transactions are actually so massive that this one tax would pay off the deficit each year and even allow us to eliminate all other taxes. (I estimated some numbers after reading some relevant info and I believe this to be true) This should make it politically easier to accomplish. How could the banks possibly argue it in the public eye? Granted, they'd be strongly against it, but I don't see them making their case to the public.

What do you guys think?




Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

Hmmm, I think this

is an interesting idea don't know if the banksters would let it happen?

Prepare & Share the Message of Freedom through Positive-Peaceful-Activism.

That's why I figured any real solution

would need massive popular support. I don't care if we're sneaking up on their corruption or we're out in the open, they're going to know we're out to take away their baking monopoly. We might as well get the average person across the country behind whatever we try. The banker propaganda machine has nearly killed the Fed Audit, let alone ending it because once again, they've swayed enough sheep.

Sounds like a nice idea

But if someone actually understands how money is created and by whom, it all kind of falls apart. Learn about and really really understand the Fed and money creation. You'll see what I'm saying.

I'm pretty much done with that

I've researched more than anyone I know. I've learned the answers to my every question. I've read on the FRB site adn watched hundreds of YouTube videos on the subject. That understanding is exactly where this came from.

Please give examples of what would not work. (aside, of course, from it being hard to get implemented because of banker influence)

Awe, come on guys...

I know there's got to be some of you out there that have opinions on this idea. I really think it's a simple way to eliminate fractional reserve banking (at least the enormous profit from it) while cutting the taxes that are killing the economy.

Anybody?

Tax the LIEs

Wouldn't it be easier to get people behind a movement like this if we called it this?

Although it's obviously fun to think about taxing actual lies, I'm actually referring to an acronym of this. Leveraged Interest Earned not only can be shortened to LIE but it rather well refers to financial lies. Every derivative, fractional reserve based loan and issuing T-bills to get money created are in fact perfect examples.