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Showing posts from February, 2010

Tax Simplification? A Bill Languishes in the Senate

The Bipartisan Tax Fairness and Simplification Act of 2010, would also eliminate the alternative minimum tax and reduce the number of individual tax brackets from the current total of six to three: 15 percent, 25 percent and 35 percent. The bill would nearly triple the standard tax deduction. Wyden and Gregg plan to make it possible for most taxpayers to file a simple one-page 1040 form, and allow individuals and families to request that the IRS prepare a tax return for them to review and sign.

To encourage small business growth, those with gross annual receipts of up to $1 million would be able to permanently expense all equipment and inventory costs in a single year. To help American corporations compete internationally, the Wyden-Gregg bill would reduce the top corporate tax rate of over 35 percent and replace the existing six corporate rates and eight tax brackets with a single flat rate of 24 percent. Wyden-Gregg would reduce corporate tax rates approximately 30 percent — below t…

U.S. = the New Greece

Greece is having Massive Economic Problems. Germany is trying to bail it out so it does not pull down the EU and the World economy. Greece is yet one more example of a government offering its population loads of benefits, while at the same time, running an economy too weak to generate the necessary cash. (It actually sounds a lot like the U.S.!) Some economists are concerned that a move like this by Germany might be a quick fix, but that the runaway deficits in some of the PIIGS (Portugal, Italy, Ireland, Greece, Spain) are still a major cause for concern. Greece, for example, is being asked by the EU to decrease its current deficit of 13% to just 3% by 2012, and we all know how tough it is to reign in government spending. (Again, it certainly sounds like the U.S.!)

With 6 unempliyed Americans looking for every job, it is certainly time to get the government out of the economy!