The primary role of the US Vice President is to be prepared to take over the role of President should something happen to POTUS. In the case of tax reform, President Trump would serve the country well to delegate the job of tax reform to his Vice President. Pence is a supporter of the FairTax®.
The President’s tax plan continues the income tax, flattens and lowers the rates, but keeps the essential components of income tax in place. Four goals of tax reform are listed as follows[1]:
- Tax relief for middle class Americans: In order to achieve the American dream, let people keep more money in their pockets and increase after tax wages.
- Simplify the tax code: Reduce the headaches Americans face in preparing their taxes and let everyone keep more of their money.
- Grow the American economy: A thriving economy will discourage corporate inversions, add a huge number of new jobs, and make America globally competitive again.
- Doesn’t add to our debt and deficit: These are already too large.
The FairTax accomplishes these goals more directly, simply, and effectively than any tweaking of the income tax can. Here’s how:
- Workers would keep more their paychecks because there would be no deductions for Federal income tax or FICA.
- There is no simpler tax than a consumption tax. We pay it every day without giving it a second thought. No need for tax preparers or complex software.
- The incentive for corporate inversions would be gone completely under the FairTax. US corporations would suffer no penalty for bringing money back to the US. In fact, with no income tax, they’d have a strong incentive to invest in the US and provide more jobs.
- The FairTax is designed to be revenue neutral, so it wouldn’t add to the debt. Stronger economic growth resulting from the FairTax would even help to reduce the national debt.
It’s been said that President Trump listens to advice a lot more than his media persona might make you believe. Hopefully, that’s true. He should turn to his Vice President for some real help in tax reform.
Check out this link to see what Pence has to say and share it with everyone you know. https://www.facebook.com/hashtag/fairtax?source=feed_text&story_id=576866725855334
[1] https://assets.donaldjtrump.com/trump-tax-reform.pdf