| Well, think of it this way. When I lived in Florida there was no income taxes. Oregon has an income tax but no sales tax. Washington has no income taxes but has a sales tax. The argument is that in Florida the tourists pay for services from tax receipts on hotel rooms, etc. Well, Washington state isn't a tourist mecca so the argument doesn't hold there.
Of the three states the worst one in terms of government and infrastructure is Oregon by far. The roads are a mess, schools are crowded, and many people here don't have state-funded health insurance (especiallly children). Yet we give millions away in free tax credits just to encourage new factories to relocate here. The elimination of income taxes would get rid of that corporate welfare system as well.
Now, I don't know about the social system in WA but in Florida the roads are good and the schools not so overcrowded. And it's accomplished with no income taxes. A fair sales tax system and property taxes fund all government in WA and in FL.
The idea of simplicity also makes for savings in terms of eliminating the IRS, no more audits, no more tax courts, no more money spent on tax services, software, etc. And, it gets rid of the home mortgage welfare system which is an expensive burden on the federal budget. There's no reason why there should be loopholes, deductions, exemptions, credits, anything. The only thing that needs to be added for fairness would be something that gives low wage earners a free pass on sales taxes (much like I get when I travel to WA..I never had to pay sales taxes because I'm not a WA resident). There's little point to taxing those who have little to nothing. |