By Steve McGourty

Jan. 29, 1996

There is a lot of talk about a flat tax these days. A simplification of the federal income tax system whereby everyone is taxed at the same rate, regardless of income. Everyone could use a post card sized form to do their taxes. Sounds great doesn't it? But I suggest that you may want to check your pocket book before you leap on this bandwagon.

For the last three years I have paid between 14.1% and 15.1% to the Feds annually. I am married, have no children and just take the standard deduction. Every flat tax plan I have heard proposed starts at a tax rate of at least 16%, with some saying that there will be a few years at 20% and higher to get the program started. Currently households making $68,000 a year are paying under 16%. That means any household making less than $68K will have a tax increase. Of course any household making over $68K will pay less taxes. The average household income is around $50K. That means many more people will be screwed by these tax simplification plans than helped. Is that what you would call a fair tax plan? It is from the perspective of the rich fat cat Republicans.

Shamelessly they are saying that this inequity is justified because if the rich are allowed to keep more of their money they will create more jobs for the "underclass." Prior to the 1994 legislative session even Bob Dole admitted "supply side economics" was a failed experiment. We do not have to look far for a great example of "trickle down" economics. Boeing has reduced its work force by over 50,000 jobs since 1985. How many more jobs outside of Boeing were lost in conjunction with this massive down-sizing? Of course the stock market has done great; stock prices jump higher at every layoff announcement.

In 1975 Americans were the highest paid people in the world. In 1995 America has dropped to fourteenth place. How far do we have to drop before the fat cats are rich enough? How many lives must be ruined before the corporations stop demanding more tax breaks, even though their tax burden is the smallest it's been since the beginning of this century, and half what it was during the business boom of the 60's.

You may have voted Republican in the 1994 elections; most people did. You have now seen that not only do they not do a better job of governing, they are even worse than the Democrats. Now the Republicans are proposing an income tax increase for the vast majority of the country to pay for yet another tax break for the rich. If the Republicans remain the majority party in the other Washington we can expect more of the same, --endless in-party bickering with no outward progress, attempts to reduce Constitutionally guarantied rights in the name of special interest groups, and tax laws slanted so far to the right that all working people will need the soon-to-be shut down welfare system just to eat.

I suggest that before you vote in 1996 you look past the rhetoric of both parties (and this letter) to see who one is trying hard to make sure everyone will have a better future (not just the rich!). Please vote Democratic before the Republicans ruin our lives, liberty and country.

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