Tax Simplification

I propose a major change and simplification to our Federal tax code for individuals.

My proposal would be to include income, pretty much the same as it is today, and get rid of Schedule A-itemized deductions and get rid of the standard deduction. The personal exemption would go up to $20,000 per person, or whatever the budget can bear. Tax would be paid on any amount over that at three tax brackets: 15%, 25% and 35%. Simple. No alternative minimum tax, no differing between home owners and renters, and no differing between those who live in states with income taxes and those who don't. No more credits for children, though they would be one of the personal exemptions described above.

Businesses would still need to compute net income, but depreciation should be simplified to one way to depreciate per each class of property: cars 5 years straight-line (okay, if a deemed luxury vehicle with a cost over $XX, then 10 years straight-line), computers & similar equipment 5 years straight-line, furniture 7 years straight-line--I think you get the idea. No bonus depreciation. No section 179 (immediate expensing of asset purchases).

I'm sure I'll think of other ways to simplify for businesses, just give me time.

Taxes and Civilization

I like paying taxes. With them I buy civilization.
-Oliver Wendell Holmes