www
jamesphogan
com
Bulletin Board
Rants, Raves, Interesting Science & Awful Puns
March 17, 1999

The Taxation Economy

It Costs More than it Raises

A NATION OF UNPAID BUREAUCRATS

According to the March 14, 1999, edition of Doug Fiedorís newsletter Heads Up, the IRS publishes 480 tax forms and 280 forms to explain them, sending out eight billion pages of forms and instructions each year which, if laid end to end, would circle the earth 28 times. Nearly 300,000 trees are cut down each year to produce the paper on which IRS forms and instructions are printed. Each year, Americans devote 5.4 billion hours complying with the tax code, which is more time than it takes to build every car, truck and van produced in the United States. The cost of complying with the tax system totals about $200 billion annually, or $700 for every person in America. The corporate income tax costs the economy more in lost production than it raises in revenue for the Treasury. Dale Jorgenson, the chairman of the Economics Department at Harvard University, found that each extra dollar the government raises through the current system costs the economy $1.39.

Doug gives details of a bill before Congress for replacing this monstrosity with a flat tax of 17% on all income, with a family of four paying no tax on the first $35,400 of their income. This is from the same newsletter that was talking about the sellout of strategic defense technology to China a year before the general media picked it up.

 
Content © The Estate of James P. Hogan, 1998-2014. All rights reserved.

Page URL: http://www.jamesphogan.com/bb/bulletin.php?id=62