Notes for trust officers, private bankers and others concerned with estate and trust planning, from a Merrill Anderson Senior Editor and his retired mentor.
Wednesday, January 09, 2013
Clowning Around With Taxes
Who says our Congress is full of petty partisans and grouchy grinches? Two Georgia Congressmen have lightened the mood by sponsoring a bill to do away with the income tax, the estate tax and –yes – the Internal Revenue Service.
For funding, they propose that the federal government rely on a national sales tax – high in rate but gaping with loopholes – administered mainly by the states.
Should they have tried out H.R. 25 at an Atlanta comedy club before going national?
Caution: Go ahead and snicker at the idea that Uncle Sam should stop collecting taxes. But be aware that the idea of a national sales or "consumption" tax – to supplement, not replace, the income tax – has a number of serious advocates.