Tax Reform—-2017 Edition

Slowly but slowly some fresh air is filtering into DC as the Congress is on their Summer break.

The GOP attempt to ‘repeal and replace”, something they had been harping on for at least 7 years, fell on its face hard….and when they return after Labor Day will try move on to something new?

You guessed it!

It is that time again…..that time when the GOP jumps on the issue of tax reform.  That time ever session when the GOP talks a mean case for protecting jobs and helping hard working Americans.

You do realize that it is all BS, right?

Why?

The Congress has been cutting taxes for 40 years and in all that time the Middle Class has lost out and in all that time the voter falls for the BS every time it is proposed…even though I can see it with every paycheck that it is a LIE!

Oh there will be the usual….tax breaks, tax reform, the corporate tax rate and the ever popular going after that offshore cash and finally the slogan about helping hard working Americans….all have been said before…..every time their is a GOP tax package we hear the same lame promises and slogans.

For instance……the tax package in 2013 and the package that the GOP was championing….

Source: What About Those Pesky Corporate Tax Rates? – In Saner Thought

But do not take my well informed word for it……

This is the joint statement by Ryan and McConnell on the upcoming tax package….

Source: Joint Statement on Tax Reform | Speaker.gov

Let’s be honest, something that the GOP would never consider doing, the package today is the same package from 4 years ago…..the only ones to benefit from this deal will be the wealthy.

Unlike most people that bitch about taxes…..I have on several occasions offered my idea of how to handle taxes and such…….

Since taxation is our major source of income…then everyone who participates in this country should be paying their fair share….

First let’s be real…..anyone that believes the lie of tax cuts for corporations will somehow bring jobs and a better economy is just delusional fools.

Corporations…..a flat 15% corporate tax….no deductions or cuts or breaks…all pay the price.

Corporations should pay the same income tax as the individual or flatten it out to a 15% tax on all income…not on profit…income.  Deductions for employee health plans and buying new equipment only.

Individuals:

$0-50,000 no tax

$50,001-100,000 pays 15%

$100,001-250,00 pays 25%

$250,001-up pays 35%

Deductions to be worked out…but from my plan there will be very limited deductions.

I realize that this is an ambitious plan and will probably never see the light of day in my lifetime….but it is a fair plan and ALL Americans can participate in the prosperity of their country.

But even the Trump White House has those that see the wealthy should be pulling more weight when it comes to taxes….

ex-White House chief strategist Stephen Bannon has an unusual proposal for a Republican: He wants to raise income taxes on the richest Americans.

Specifically, a tax rate of 44 percent on all income over $5 million. Currently, the country’s highest rate is 39.6 percent.

Bannon’s economic views sit noticeably to the left of the GOP donor class. That means there’s scant chance Republicans will take Bannon up on the idea. But if they were smart, they would.

Source: Bannon’s bright idea

Although I do like the idea of them paying 90+% in taxes….but those days are long gone.

We need a truly equatable tax code….not one that hides corporate welfare behind a pile or volumes of legal-ese.

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A Clean Sweep

Finally the president has swept away the last remaining influence of the RNC in his White House.

I am referring to the firing (resignation) of Reince Prebius as the Chief of Staff….the former head of the RNC…..Spicer was a good Repub, and a few others….but Prebius had to go…now the White House is truly the home of Trump and Trumpism.

The president did what a good reality star would do…he fomented chaos between the players vying for recognition. until the weak were located and identified and then used that to rid himself of the baggage he never wanted.

He, Trump, brought in “The Mooch” as the new communications director and almost immediately the tension between Reince and Mooch was ignited… and in about 48 hours Reince was out on his butt and a new Chief of Staff was picked….Gen. John Kelly…..as usual for Trump he announced his choice via Twitter….

Reince Priebus is out as White House chief of staff, the AP reports, as President Trump announced in a tweet Friday: “I am pleased to inform you that I have just named General/Secretary John F Kelly as White House Chief of Staff. He is a Great American….” Trump continued, “…and a Great Leader. John has also done a spectacular job at Homeland Security. He has been a true star of my Administration.”

Kelly, a retired general and the current Homeland Security secretary, was named in a New York Times report last night as Trump’s preferred replacement for Priebus, and CNN reports that Priebus resigned privately Thursday.

Now with a new Chief of Staff in place can the chaos in the Oval Office come to an end?

Not a chance.

The CoS is known as the “Gatekeeper” to the president…..everything goes through him before the president sees it…..does anyone see that working?

Kelly is a general and knows full well the necessity for a chain of command…Trump has no idea what that means.  That also means that through a chain of command the Mooch is subordinate to Kelly and since Mooch is a sycophant how do you see that working out?

The CoS is also the lead man from the White House on the legislative agenda….Kelly has some experience with this but the Mooch has nothing going for him but a filthy mouth…..so how will this work out with the Trump legislative agenda?

All we have is to wait and see if Kelly has retained is military training and protocol

As it appears today there looks like little will change and the chaos will prevail.

Why?

According to The Hill, Mac Stipanovich, a veteran GOP operative in Florida with ties to the Bush family, noted Jeb Bush’s comment during last year’s presidential primary that Trump would be “the chaos president.”

“I think that is absolutely the case. It’s not even a matter of interpretation,” Stipanovich told The Hill. “We don’t have any effective government, we don’t have any effective leadership and the White House is a snake-pit.”

This show is far from over….the chaos is far from quelled.

Turn The Page!

Open Letter

This is a letter I sent to the city council awhile back….of curse there was no reply…I did not expect one….this is a valid proposal and would do alot to raise the much needed funds of which the city is in desperate need……..

Open Letter To The City Council Of Gulfport, Mississippi

The city has been having its problems with the generation of much needed funds for programs that will benefit its citizens. There is a way to generate these funds and that course is called Land Value Tax. For years I have been advocating this form of taxation to no avail, but with the economic situation getting worse by the day, I believe this idea can save the city from massive cuts in services.

According to the Mississippi Economic Policy Center, any tax reform should conform to a 3 principle outline.  These are:  1—Be balanced and make work pay, 2—should create opportunity for economic growth and 3—be accountable to the taxpayer.  The Land Value Tax (LVT) addresses all three of the concerns put forth by the MEPC.

Land rent means taxing land. Not buildings, not work, not commerce, just bare land. Or if land has buildings (as most land has) then the equivalent value of the land if it had no buildings.

Land gets its value its improvements (buildings etc) and from its location. The improvements were made by the hard work of the owners. But the location has value because of what society does, because of roads and schools and good neighbors.

If society taxes buildings and improvements, it steals people’s hard work, their time and energy, their life. Most taxation is therefore theft. But if society taxes the location, then it simply claims back the value it creates. Land rent distinguishes between the individual’s property and society’s property.

Land rent creates fairness in the most basic of all issues: who controls the ground beneath our feet.

Land rent is the only rational tax, because it is based on a sound theory of property (you create it, you own it).

Land rent means an end to every other tax. So it becomes much cheaper to create additional jobs and manufacture goods. So wealth increases.

If you tax work, the amount of work goes down, because some work becomes less profitable. But if you tax land, the amount of land remains the same. So if you want to encourage work, you should tax land, not work.

Land rent is the only guarantee of fair property rights. If people can charge rent but they pay no rent themselves, eventually one person or one elite will own everything and nobody else can have any property unless it suits the elite. To see why, play the game Monopoly. Monopoly is based on “The Landlord’s Game,” invented by Lizzie Magie as a way to show why we need land rent.

Land rent is the most efficient way of creating wealth because it gives resources to those who can use them best (that is, those who can generate the most wealth from the land).

Land rent creates economic justice, by ensuring that everyone keeps the wealth they create, and any extra is given back to society. So nobody has unfair privileges, and everyone has an equal chance to succeed.

Land rent provides a fair system for all, because it generates wealth for society, yet it is so simple that corruption and inefficiency have nowhere to hide.

It is as simple as that….it would not take a massive bureaucracy to change the taxation of the city…

If further information is needed I may be contacted at:

CG Streuly

2605 Demaret Drive

Gulfport, MS 39507

Email: chuqalam@gmail.com

SB 2288–Speculator’s Dream

There are times when the state legislature does something that is a blatant disregard of the people it represents and SB2288 is such bill….which states:

AN ACT TO AUTHORIZE THE BOARD OF SUPERVISORS OF A COUNTY AND/OR THE GOVERNING AUTHORITIES OF A MUNICIPALITY TO GRANT A PARTIAL AD VALOREM TAX EXEMPTION FOR AGRICULTURAL PROPERTY THAT IS BEING CONVERTED TO A RESIDENTIAL USE IN AN AMOUNT EQUAL TO THE DIFFERENCE IN THE ASSESSED VALUE OF THE PROPERTY FOR AGRICULTURAL USE AND THE ASSESSED VALUE OF THE PROPERTY FOR RESIDENTIAL USE; TO PROVIDE THAT THE EXEMPTION SHALL END WHEN THE PROPERTY IS OCCUPIED BY A HOMEOWNER; TO PROVIDE THE MANNER IN WHICH A REQUEST FOR SUCH EXEMPTION MUST BE MADE; AND FOR RELATED PURPOSES.

This appears to be a boon for the purpose of land speculation….

A case could be made that land speculation is the cause of almost every major recession/depression that has occurred whether nationwide or statewide…..The 19th century economist Henry George describes it:

That land speculation is the true cause of industrial depression is, in the United States, clearly evident. In each period of industrial activity land values have steadily risen, culminating in speculation which carried them up in great jumps. This has been invariably followed by a partial cessation of production, and its correlative, a cessation of effective demand (dull trade), generally accompanied by a commercial crash; and then has succeeded a period of comparative stagnation, during which the equilibrium has been again slowly established, and the same round been run again. This relation is observable throughout the civilized world. Periods of industrial activity always culminate in a speculative advance of land values, followed by symptoms of checked production, generally shown at first by cessation of demand from the newer countries, where the advance in land values has been greatest.

This bill is just another attempt to help the land speculators while depriving the state of much needed tax revenue…in these days any reduction in revenue can only lead to a cut in needed services….

Once again, the state legislation is dealing the people of the state a bad hand, just as they do every session…the people need to stop sleeping through the day and wake up politically…they are paying these people to do nothing but screw them at every session….

Mississippi’s Legislative Session–2010

The guys and gals have returned to work in Jackson and that means the good, the bad and the ugly are far as bills go….I will be watching and ranting on the ones that hit me the most and then at the end of the session I will do my annual posts…..The Good….The Bad…..The Ugly….my analysis of bills and their effects on Mississippi….

As usual the Legislature will spend much time commending people and such…….it has started and now the rest of the session will be an exercise in futility….all it will do is pad some politicians resume for use in his/her re-election campaign……looks good…sounds good….but is NEVER intended on passage…..

look for bills on sex ed….radar for sheriff…..schools…..obesity……Medicaid….the usual suspects….

When Will Mississippians Ever Learn?

After a much needed time for ZEN…I am back and ready to report on the lunacy that is the government of the South…..we have the scores for the Senators from Mississippi as compiled by the Center for Responsive Politics….

Sen. Cochran has NEVER been a friend of the middle class his grades suck for the last several years:

2003–D

2004–F

2005–F

2006–F

2007–F

2008–D

2009–results to be released in March 2010

His overall rating on middle class issues is 40%…..I will repeat that 40%…..He has voted against the bankruptcy act of 2009, SCHIP, fair pay act, the stimulus, and those are for this year….to be fair he voted for…..unemployment extension, estate tax cut, the credit card act, among others…..

All in all, Mississippians need to pay attention…..it would help if they would stay in school….but that is for another post……they keep re-electing these people that are doing NOTHING to help the middle class…..

Mississippians get off your ass and learn all about these people that are representing you…they may not be doing all that is necessary for your and youyr family’s well being….

To Be Continued……..

There Is Always Bad News For Revenue

It constantly amazes me that the state and local administrations continue to have a difficult time finding the money to fund the needed programs.  Yet there is a way and a way that could lead to a self-sufficient community, but stupidity comes into the equation.

Year after year after year, funds are not available and year after year the legislature tries to find ways to come up with the cash.  Most times it involves the bulk of the responsibility falls on the shoulders of the working class in Mississippi.

It is time for the state and local entities to find a better way to raise funds that are needed.  As the economy keeps getting worse, funds become smaller and smaller, the people of the state become less and less safe and secure.

The only way to keep the much needed cash rolling into the coffers is by finally accepting the need for Land Value Taxation.  (read page on LVT)  Why?  Easy answer…it fits all the requirements of a perfect tax.  These are:  1–the distribution of the burden would be equitable, 2–tax should minimize the effect on economic activity, 3–the structure should facilitate stabilization and economic growth, 4–should be simple and easily understood by the taxpayer.

If you want the governmental services for your community then a new system of taxation must be found.  It can be done and the people can make it happen.  But as long as they depend on the stale thinking of the past then their community will suffer and possibly wither and die.

It is your choice.