A recent comment by President Obama serves as a nice segue to bring about the issue of taxes. Being proponents of Free Markets, some may wonder what our stance on taxes is. Of course, in an ideal world we would like taxes to be minimal or non-existent, being able to rely solely on market forces rather than the government to fulfill our needs. On the other hand, even from a libertarian viewpoint, we would want government to exist for no other reason than to make sure we do not get shot on the street and that our country can have normal relations with other countries.
This essentially means that some form of taxes must exist to provide what is needed, which does not come at a standard price or rate world-wide. Â Consquently, this ‘service’ must be decided/priced by each government.
Having said that, we believe that a Flat Tax is the best method of taxation. For the government to decide that one group of people should pay a higher percentage tax than another, while at the same time having around half a million loopholes, exceptions and other forms of regulation is not only deceptive and hypocritical, but it is also the cause for Americans spending almost $200 Billion on tax preparation each year.
We believe a Flat Tax rate would not only be fair for all citizens involved and would save an inordinate amount of money (even counting for stronger enforcement measures), but would bring about a huge increase in tax revenues for the state, as has happened in the other countries that have adopted it.
Hat tip to Doug for original usofcommonsense.com article.
