-28 votes

What about an asset tax instead?

What if we had an asset tax to replace all other taxes?

The total wealth of the US is $300 trillion and a 1% yearly tax on it would cover the current budget of $3 trillion.

There would be no other taxes. No property tax, sales tax, duties, tariffs, nor the most dreaded tax of all: the income tax.

Taxes would be on net worth. If someone is in debt they don't have to pay any taxes which gives them a chance to catch up.

A startup that borrows to buy it's equipment would also pay no taxes since it's net worth would also be zero.

Taxes of course are never ideal but to avoid income tax, this seems like a better plan.

What do you all think?




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now that's funny!

now that's funny!

how about a "Stupid" tax

the more stupid you are the more you pay.

oops, you might be in a high tax bracket with this asset tax idea

.

guess you love income tax then. Enjoy it. Cause you got it and won't consider something else.

They've already got that one.

State lotteries.

Recommended reading: The Most Dangerous Superstition, http://www.amazon.com/Most-Dangerous-Superstition-Larken-Ros...

How do you measure stupid?

Maybe a flat tax would be better. The flatter one's chest the less your tax.

"Bend over and grab your ankles" should be etched in stone at the entrance to every government building and every government office.

State Lotteries?

Every ticket's a winner!
..for the mob what runs the racket!

dynamite anthrax supreme court white house tea party jihad
======================================
West of 89
a novel of another america
https://www.smashwords.com/books/view/161155#longdescr

Oh man you beat me to the

Oh man you beat me to the punch...

We all share this eternally evolving present moment- The past and future only exist as inconsequential mental fabrications.

in my "real" life...

..that is, paying the rent and keeping kitty in kibble, I'm into drugs, gambling, and extortion. That is, I work retail and sell beer, cigarettes, LOTS of lottery tickets to starry eyed statist optimists ("I'm heppin edge-occasion"), and of course, collect sales taxes on qualified purchases. Sadly, i am intimately acquainted with the (Ohio) state lottery scene. Sad fools coming up to the counter with their candy and soda pop asking, "Y'all take EBT?" When I answer that we DON'T, they sigh, pull out cash, and in addition to the "food items" also purchase alcohol, nicotine, and scratch-offs. They "can't" afford to feed themselves, but somehow WE'RE on the hook for their hobbies.

Poor example: what my dad said about Adlai Stevenson: "He had the thinking man's vote, but it takes a majority to win."

dynamite anthrax supreme court white house tea party jihad
======================================
West of 89
a novel of another america
https://www.smashwords.com/books/view/161155#longdescr

Consider a few examples

Consider the case of a farmer whose net worth, in terms of the value of the land they own, is fairly high, but whose annual income is pretty low. This is typical of many family farms.

Similarly, a widow with significant equity in the house she and her husband owned for forty years, now living on small retirement income.

How about a thirty year old banker who makes a high salary for managing a portfolio of derivatives or some such, whose net worth is zero or even negative because he's in a big house with a big mortgage and little equity, and the rest of his income goes into car payments on a car he can't really afford, country club dues, fancy dinners, maybe cocaine, etc. This is a lot more common that you'd think.

How about someone who has been diligently socking away as much as they could save each month, living frugally but paying off a mortgage, investing in some rental property, etc.. They're the "millionaire next door" you hear about. They spend very little, and don't necessarily have much income, but they're well-prepared to weather an economic downturn, to pay for their own retirement, and to leave something to their kids, because of the net worth they've accumulated.

What about assets that are hard to assign objective values to, like jewelry and artwork? Would there be official IRS appraisers who get to decide what that piece by German Expressionist painter Heinrich Campendonk you bought a few years back is worth today? What about assets that are leased, rather than owned? (Or would you tax those assets at the corporation level?)

I think it would be a mess, impossible to define fairly, a goldmine for lawyers and accountants who create complicated ownership structures to get around whatever definitions are used, and in some ways completely backwards in terms of what behaviors it rewards with low taxes and what it punishes with high taxes. Oh, and it gives the government a greater incentive to track down and monitor ownership of precious metals, and to make unreported ownership of gold and silver a tax evasion crime.

Just for starters.

facepalm

tax me on my net worth? ok, what is my net worth?
I say my net worth is $1...what do you say it is?
and prove it.

I mean really, do you have to look any farther than
the current state of affairs to see the end result?

half of the tax payers will be under-reporting or opting
out altogether and the other half will labor on until
they finally realize that it's not worth it anymore.
you know, like Atlas shrugging...

and none of this even comes close to dealing with the
immorality of it all and property rights.
May I recommend Bastiat?

ps
one final thought...who would want to own anything? what incentive
would you have to save and invest? once the tax rate rose above a certain threshold most would spend their income on consumable goods and services. Think blow and hookers, but it would be a smashing good time, wouldn't it?

The only logical tax, to me,

is a land tax, by area, that pays for the collective defense of the country. If I own 5% of the United States' collectively defended land, I should pay roughly 5% of the cost to defend it.

Harder-to-defend places like Hawaii might pay a higher tax to live there under the protection of their countrymen.

This could also provide for tax/defense free zones for those who wish to self-insure, so to speak.

Author of Shades of Thomas Paine, a common sense blog with a Libertarian slant.

http://shadesofthomaspaine.blogexec.com

Also author of Stick it to the Man!

http://www.amazon.com/Stick-Man-Richard-Moyer/dp/1484036417

The romans tried an asset tax...

It didn't end well. Will humanity ever break out of this cycle of doing the same stupid things over and over? It's all so predictable. I know how this ends if we continue the cycle... in tears and more broken lives.

.

Did you miss the part where Ron Paul says the worst tax is income tax because it actively punishes working?

Since this plan has no income tax is it not an improvement?

Beware Rothschild's shills

But if you lose your job, you should still be taxed? The jobs are gone, America, and like McCain said, they ain't comin' back. That's why Rothschild wants to switch to a national sales tax, because when there ain't no income, then nobody pays income tax.

I like it

1% is incredibly low.
That would fund a SMALL Government :)

I think we should have an import tax only.

That would kick start the manufacturing jobs for sure ;)

Ron brought the Liberty movement together, Rand is expanding the crap out of it! :)

Doesn't Work

Philosophically I am against all mandatory taxation of any kind.

For the sake of discussion, if I weren't, just consider that technically it is too easy for elites who run the system to hide their net worth. They do it now. Its the productive main street millionaire that will end up paying the asset tax, just like the income tax. The billionaires will pay nothing even though they are the intended targets of said tax.

Look how much General Electric grosses, how many people they employ, and how much they pay in taxes, for example.

Taxes always both reward and punish. They reward big business and investors and punish small business, savers and workers. Get rid of the taxes and everybody is on equal ground. No more welfare for multinationals.

To some people, the gasoline they purchase for their car and the oil they might have to purchase for winter fuel, are HUGE expenses. For the investor class, they are insignificant expenses and the investors own oil futures on top of that.

Everyone with a small budget gets creamed while the wealthy get wealthier. The income gap is the greatest is has ever been and it is because of the tax and fiat money system alone.

End the FED and abolish taxation and this wealth gap will get smaller as the productive are once again rewarded.

If GE can get away with

If GE can get away with paying nearly no taxes, good for them. I don't want them to get credits, bailouts, laws written in their favor for economic advantage, etc.

All people should aspire to paying as little tax as is legally possible.

Normally I would agree

Except the GE is a major part of the system of corporatism so its not like a free market company avoiding taxes. They are simultaneously part of the (a) Banking System (b) Military Industrial Complex and (c) Mass Media. They are gaining huge benefits.

Any company of their size is

Any company of their size is involved in a multitude of industries. Diversification is essential to longevity, the same principle applies to investing. Yes, the issue and problem is "corporatism", where CERTAIN moneyed interests (not all, mind you) are too closely connected to political power.

I believe term limits are the most realistic means we have available to us if we are to break these corporate and political connections. We need term limits NOW.

read that as ass

read that as, ass tax.....
sorry, just thought it was funny

Are you FREEKING KIDDING

Man I can't stand "georgist libertarians".

HTF do you think people will PAY the tax? You are taxing them on something with no revenue stream from which no gain can be realized until sale.

Why not just toss all old people and young families out on the street.

Jeez, what an id*ot.

already happens that way

The property tax does that. Often at more than 1%. So does the sales tax. At way more than 1%.

And to some degree the income tax does since they have no savings left. Also at way above 1%.

You're the id*ot.

Income is CASH FLOW.

A piece of art or a fancy car is not.

So, no, it does not happen that way.

And don't even try putting me in a corner to defend the income tax. I'm just pointing out how much WORSE your georgist/marxist idea is.

.

But that's exactly what you are doing is defending the income tax. The worst tax of all. ANYTHING is better than that even this one. id*ot

BMWJIM's picture

How about in two simple words you may understand.

F*&K YOU !

And if you need a few more add the horse you rode in on!

Jim

1976-1982 USMC, Having my hands in the soil keeps me from soiling my hands on useless politicians.

.

Ok, got one for you.

As of now you have both an asset tax (property tax) AND income tax.

And since you react like an idiot to an idea on how to improve things, you deserve to keep getting BOTH LIKE IT IS RIGHT NOW!!! AND YOU WILL!! ESPECIALLY INCOME TAX THE WORST TAX OF ALL!!

You deserve to suffer

We have an asset tax. It's

We have an asset tax. It's called the property tax. That's why you never really own property. You just rent it from the government.

We have another assest tax, too

And let's not forget the estate tax, when Big Brother descends to claw your assets out of your cold, dead hands before your family's tears are dry.

No taxes are better...

...but until that day comes, the Fair Tax is the only way forward, IMO.

www.fairtax.org

"Fair tax" is BIG tax

There is nothing fair about the so-called "fair tax". It is a concoction of the globalists to tax what is left of America's wealth out of existence. Now that the globalists have successfully shipped America's jobs to their sweatshops offshore, the income tax has run its course, as Americans have no jobs. Therefore, to take what is left, it is necessary for them to switch to a national sales tax. The national sales tax shifts the tax burden to retirees and the unemployed. It is also a sneaky way to tax Roth IRAs, since the gummint promised Roth IRAs would be income tax-free.