Forbes, Special Report: 25 Years After Tax Reform, What Comes Next?:
On Oct. 22, 1986, President Ronald Reagan signed into law a widely praised and sweeping bipartisan tax reform. … In this special report, noted academics, front-line tax practitioners and journalists look back and forward.
Fundamental Tax Reform Is Essential, Inevitable, And Impossible
Twenty-five years after the Tax Reform Act of 1986, tax reform is more needed than ever, but has never faced greater obstacles.
By Len Burman (Syracuse)It’s Time To Free 150 Million Americans From The IRS
A 12.5% national sales tax would make the U.S. more competitive and allow a $100,000 individual income tax exemption and a 15% corporate tax rate.
By Michael J. Graetz (Columbia)The 15-15-15 Purple Tax Plan Is A Lot Fairer Than Cain’s 9-9-9
My proposal combines a low rate consumption tax, with a low rate estate tax and a progressive payroll tax.
By Laurence Kotlikoff (Boston University)To Achieve Tax Reform, Washington Should Use 1986 Playbook
There are five hard-earned lessons from the last major tax reform bill that could help policymakers to forge a consensus today.
By Howard Gleckman (Tax Vox Blog)I’m From The Government And I’m Here To Help
President Reagan sought to chip away at big government and simplify the Tax Code. Is it deja vu all over again?
By Kelly Phillips Erb (Tax Girl Blog)What Could Tax Reform Mean For You?
No one knows what the tax code will look like in a few years, but don’t let uncertainty paralyze you.
By Erik Carter (Forbes)Flat, Fair And Progressive Taxes?
Economists can’t answer what taxes are fair, can you?
By Robert W. Wood (Wood & Porter, San Francisco)1986 Reform Gave Birth To AMT Monster Of Today
Constant tinkering with the tax system ends up having unintended consequences. Simplification is complex.
By Claudia Hill (Tax Mam, Cupertino, CA)I Grew Up With The Internal Revenue Code Of 1986 – Will We Retire Together?
The passive activity rules designed to clamp down on tax shelters provided year of work. A 2013 reform would keep me busy until retirement.
By Peter J. Reilly (CPA, Westborough, MA)Was 1986 Tax Reform Really Simplification? Was It Fair?
A tax professional’s personal reflections on the impact of the Tax Reform Act of 1986.
By Bernard Kent (Telemus Capital Partners, Southfield, MI)Wandering Tax Pro Remembers The Reform Act Of 1986
There were so many drastic changes that it became known as the Accountants Full Employment Act of 1986.
By Robert Flach (The Wandering Tax Pro Blog)The 9-9-9 Plan Has Tax Pros Worried About Their Jobs
The campaign rhetoric aims for simplicity, but experts see complications–if– the plan could pass.
By Deborah L. Jacobs (Forbes)Reagan’s Law Redux?
For all the good the 1986 Act did, it also unleashed the dreaded alternative minimum tax. Time to repeal the AMT.
By Robert W. Wood (Wood & Porter, San Francisco)Cain’s 9-9-9 Plan Would Cut Taxes For The Rich
It sounds great: small numbers, nice symmetry. What’s not to like? Nearly everyone who isn’t rich would pay more.
By Howard Gleckman (Tax Vox Blog)Billionaire Poster Boys For Tax Reform
As FDR knew, if you’re trying to change the law, it helps to put a rich face on your target.
By Janet Novack (Forbes)
5 responses to “Forbes: Today’s 25th Anniversary of the Tax Reform Act of 1986”
One more “PLAN”, and its on1y one page!
All persons residing in the U.S. shall come together in “tax units”. Members need not be related, need not reside together, and a tax unit may consist of as few as one person.
2. Each year congress shall set a “minimum wage” and a “tax rate”.
3. The following shall not be subject to taxation:
• An amount equal to a year’s earnings (2000 hours) at the minimum wage, for each adult (age 20-65), decreasing 10% per year to 50% at age 15, and increasing 10% per year to 150% at age 70.
• All payments for necessary health care including medical care, pharmaceuticals prescribed by a health care professional, vision and hearing aids, and fees for health-enhancing entities such as gyms. Health care insurance premiums may be deducted but not health care expense paid for by such insurance.
• All educational expenses including day care for children or legally incompetent persons, the portion of state and local taxes used for education, and tuition, fees and educational materials for private school education, including that portion of parochial school tuition and other expenses going for non-sectarian education.
• All income saved into an account for investments; withdrawals from this account for the benefit of any member of the tax unit shall be reported as income.
4. The “tax rate” shall be applied to any income greater than the deductions listed above, regardless of amount.
5. Any municipality having greater than 100,000 inhabitants or any state may impose on their citizens a surtax which shall be applied the same as the Federal tax.
6. Tax units whose deductions exceed income, shall be paid a sum equal to the tax rate multiplied by the shortfall in income.
7. There shall be no federal tax on corporations or other business entities.
8. The Office of Management and Budget shall compute revenues to be expected using the newly set tax rate and minimum wage, applied to the previous year’s reported incomes. No expenses in excess of that amount may be made without approval by 75% of each house of Congress. This tax shall be the only source of revenue for the federal government.
For the first time in American history, with this act, it became illegal to *work* in this country without accounting for it to the United States Government.
I will never ever forgive Ronald Reagan for this.
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…
Tax Reform Carnival!
I haven’t heard about the massive parties scheduled to honor the 25th Birthday of the Tax Code tomorrow, but I’ve…