Tag Archives: Internal Revenue Service

Ted Cruz’s plan to lower taxes and simplify the process for filing tax returns

How to get kissed: Heidi Cruz helping her husband
How to get kissed: Heidi Cruz helping her husband

Ted Cruz is very upset with the IRS for discriminating against conservative groups and Christian groups in order to get Barack Obama re-elected in 2012. So, he’s come up with a plan to drastically reduce their influence – and their cost to taxpayers.

Here he is talking about the plan with Megyn Kelly on Fox News.

And he has posted something about the plan on his web site:

Under the Simple Flat Tax, the current seven rates of personal income tax will collapse into a single low rate of 10 percent. For a family of four, the first $36,000 will be tax-free. The Child Tax Credit will remain in place, and the Simple Flat Tax Plan expands and modernizes the Earned Income Tax Credit with greater anti-fraud and pro-marriage reforms.

[…]The IRS will cease to exist as we know it, there will be zero targeting of individuals based on their faith or political beliefs, and there will be no way for thousands of agents to manipulate the system.

For businesses, the corporate income tax will be eliminated. It will be replaced by a simple Business Flat Tax at a single 16 percent rate. The current payroll tax system will be abolished, while maintaining full funding for Social Security and Medicare.

The convoluted tax code will be replaced with new rules of the game – so simple, in fact, that individuals and families could file their taxes on a postcard or phone app. The Death Tax will be eliminated. The Alternative Minimum Tax will be eliminated. The tax on profits earned abroad will be eliminated. And of course, the Obamacare taxes will be eliminated. Also gone will be the unending loopholes in the current code, the stacks of depreciation schedules for businesses, and the multi-tiered rates on income and investments. Under the Simple Flat Tax, the Internet remains free from taxes.

Simple.

The Tax Foundation, which is the leading non-partisan think tank that deals with the issue of taxation, scored Cruz’s plan.

They say:

  • Senator Cruz’s plan would cut taxes by $3.6 trillion over the next decade on a static basis. However, the plan would end up reducing tax revenues by $768 billion over the next decade when accounting for economic growth from increases in the supply of labor and capital and the much broader tax base due to the new value-added tax.

  • According to the Tax Foundation’s Taxes and Growth Model, the plan would significantly reduce marginal tax rates and the cost of capital, which would lead to a 13.9 percent higher GDP over the long term, provided that the tax cut could be appropriately financed.

  • The plan would also lead to a 43.9 percent larger capital stock, 12.2 percent higher wages, and 4.8 million more full-time equivalent jobs.

  • On a static basis, the plan would cut taxes by 9.2 percent, on average, for all taxpayers.

  • Accounting for economic growth, all taxpayers would see an increase in after-tax income of at least 14 percent at the end of the decade.

They conclude:

Senator Cruz’s tax plan would significantly alter the federal tax code. It would completely repeal the corporate income tax and all payroll taxes and enact a 10 percent income tax and a 16 percent “business transfer tax” or value-added tax. These changes to the tax code would increase the incentives to work and invest and would greatly increase the U.S. economy’s size in the long run, leading to higher incomes for taxpayers at all income levels. The plan would also be a large tax cut, which would increase the federal government’s deficit by over $3.6 trillion on a static basis. Accounting for the growth caused by the plan, federal revenues would decline by $768 billion over the next decade.

The non-partisan The Hill says that another major think thank for fiscal conservatism also likes Cruz’s plan:

Ted Cruz’s tax plan would cost less and stimulate the economy more than Donald Trump‘s, a recent analysis found.

“Of the two proposals that we have examined so far, those by Trump and Cruz, we find the Cruz proposal to be the better of the two,” said David Tuerck, executive director of the Beacon Hill Institute and senior fellow at the National Center for Policy Analysis. The free-market groups released a report comparing the economic effects of the tax plans from the two Republican presidential candidates.

[…]Cruz’s plan would also increase business investment and personal income more than Trump’s plan would, the report found.

I want a higher personal income, and I want more money invested into the business that employs me – so I can keep my job, or maybe find a better one. It’s very important to my life plan that I be able to earn money, and keep what I earn. I have a use for that money, whether I marry or not. And that use is not to give it to the government so they can buy people condoms and abortions in exchange for their votes. I have a better plan for the money I earn than what a secular government wants to do with it.

Now, Ted Cruz will have to come up with $768 billion in revenue to balance his plan, but that’s why he has promised to abolish or significantly reduce FIVE government departments. Don’t worry, they aren’t the useful ones. We have too much government, and we can get rid of some, and return the money to the people.

Related posts

IRS employee union opposes making Obamacare apply to themselves

CNS News reports.

Excerpt:

The National Treasury Employees Union, which represents Internal Revenue Service employees, is urging its members to oppose legislation that would force federal employees off their government healthcare plans and onto the state and national healthcare exchanges established under Obamacare.

Members of Congress and their staffers are already required to participate in the exchanges, which will go into effect next October 1st under the Affordable Care Act.

However, a bill (HR 1780) introduced in April by Rep. David Camp (R–Mich.) would extend that requirement to all federal employees, an idea that does not sit well with the union.

So NTEU is strongly urging its members –  including the Internal Revenue Service agents tasked with implementing Obamacare – to oppose Camp’s legislation, which would compel them to personally participate in the same healthcare program they will be enforcing.

On the NTEU website, union members are urged to email their congressman and senators, asking them to oppose H.R.1780. NTEU provides a sample letter that members can simply sign and send, or rewrite it as they wish:

“I am a federal employee and one of your constituents. I am very concerned about legislation that has been introduced by Congressman Dave Camp to push federal employees out of the Federal Employees Health Benefits Program (FEHBP) and into the insurance exchanges established under the Affordable Care Act (ACA).

[…]Last election cycle, the NTEU donated $547,812 to pro-Obamacare Democrat candidates, including Rep. Nancy Pelosi ($10,000), Sen. Sherrod Brown (D-Ohio) ($11,000), and Sen. Tammy Baldwin (D-Wis.) ($12,500). And that figure doesn’t include the $62,500 the NTEU donated to the Democrat National Committee, or the $125,000 it gave to various left-leaning super PACs.

However, the union only donated $24,000 total to Republican candidates during the same time period.

Wow. And recently we saw that three of the biggest automobile manufacturer unions were also pushing back against Obamacare. Apparently, no one who actually worked to get Obamacare passed wants it for themselves. They just want it for other people.

DOJ won’t prosecute government officials for unauthorized access of tax records

The Washington Times reports on a story of government tyranny.

Excerpt:

A government watchdog has found for the first time that confidential tax records of several political candidates and campaign donors were improperly scrutinized by government officials, but the Justice Department has declined to prosecute any of the cases.

Its investigators also are probing two allegations that the Internal Revenue Service “targeted for audit candidates for public office,” the Treasury’s inspector general for tax administration, J. Russell George, has privately told Sen. Chuck Grassley.

In a written response to a request by Mr. Grassley, the ranking Republican on the Judiciary Committee, Mr. George said a review turned up four cases since 2006 in which unidentified government officials took part in “unauthorized access or disclosure of tax records of political donors or candidates,” including one case he described as “willful.” In four additional cases, Mr. George said, allegations of improper access ofIRS records were not substantiated by the evidence.

Mr. Grassley has asked Attorney General Eric H. Holder Jr. to explain why the Justice Department chose not to prosecute any of the cases. The Iowa Republican told The Washington Times that the IRS “is required to act with neutrality and professionalism, not political bias.”

[…]“The Justice Department should answer completely and not hide behind taxpayer confidentiality laws to avoid accountability for its decision not to prosecute a violation of taxpayer confidentiality laws,” Mr. Grassley told The Times. “With the IRS on the hot seat over targeting certain political groups, it’s particularly troubling to learn about ‘willful unauthorized access’ of tax records involving individuals who were candidates for office or political donors. The public needs to know whether the decision not to prosecute these violations was politically motivated and whether the individuals responsible were held accountable in any other way.”

But do you know who the Department of Justice will prosecute, after he’s been found innocent in a trial that should never even have occurred? George Zimmerman. It doesn’t matter if he’s innocent, he has to be persecuted to make a point. Meanwhile, the real criminals in the IRS get a pass from the real criminals in the Department of Justice.

The latest news from the leftist Washington Post on the IRS scandal is that it is now confirmed that the targeting of conservatives was not the work of a few low-level employees in Cincinnati.

Excerpt:

The chief counsel’s office for the Internal Revenue Service, headed by a political appointee of President Obama, helped develop the agency’s problematic guidelines for reviewing “tea party” cases, according to a top IRS attorney.

In interviews with congressional investigators, IRS lawyer Carter Hull said his superiors told him that the chief counsel’s office, led by William Wilkins, would need to review some of the first applications the agency screened for additional scrutiny because of potential political activity.

Previous accounts from IRS employees had shown that Washington IRS officials were involved in the controversy, but Hull’s comments represent the closest connection to the White House to date.

Oh, but I’m sure that the Obama administration is doing everything possible to bring the criminals (themselves) to justice. In between smuggling arms to Mexican drug cartels and covering up Benghazi, I mean.

Related Posts

Human Rights Campaign refuses to reveal name of IRS leaker

CNS News reports.

Excerpt:

The Human Rights Campaign, a homosexual advocacy group, will not say who provided it with a confidential list of donors to the National Organization for Marriage, although NOM’s chairman believes someone at the Internal Revenue Service leaked the information. The IRS also is silent on the question.

Providing such donor information is a felony, John C. Eastman, chairman of the board for the National Organization for Marriage, told CNSNews.com. The Justice Department deferred the matter to the Treasury Department, but Eastman said the probe by the Treasury Inspector General for Tax Administration seems to have stalled.

Nevertheless, Eastman told CNSNews.com, “We’re going to keep pressing until we get criminal indictments brought against the people responsible.”

NOM, which advocates traditional marriage, and HRC are on opposite sides in the national political battle over same-sex marriage.

The willful disclosure of donor information carries a penalty of up to five years in prison and a $5,000 fine.

Human Rights Campaign spokesman Charlie Joughin did not respond to numerous phone and e-mail inquiries from CNSNews.com on Monday, Tuesday and Wednesday asking who provided the list that was posted on the HRC website in March 2012. The HRC advocates for same-sex marriage and other homosexual issues.

[…]The willful disclosure of NOM’s confidential tax information would violate 26 U.S.C. Section 6103, which states, “Returns and return information shall be confidential.” It also says: “no officer or employee of the United States,” “no officer or employee of any State, any local law enforcement agency,” “any local child support enforcement agency, or any local agency administering a program,” “no other person (or officer or employee thereof) who has or had access to returns or return information,” “shall disclose any return or return information obtained by him in any manner in connection with his service as such an officer or an employee or otherwise or under the provisions of this section.”

What a misnamed organization – the “Human Rights” Campaign. They are covering up for a felon because of their hatred and intolerance of those who support natural marriage.

Phone call recording of IRS agent reveals anti-Christian, anti free speech bias

From Alliance Defending Freedom.

Excerpt:

Alliance Defending Freedom made public Monday audio of a phone conversation that the Internal Revenue Service placed to a non-profit organization that provides support to women in abusive pregnancy situations. In the recorded phone conversation, an IRS agent lectures the president of the organization about forcing its religion and beliefs on others and inaccurately explains that the group must remain neutral on issues such as abortion.

Alliance Defending Freedom represents the group, which did not receive its tax-exempt status until last week, nearly two and a half years after applying for it.

“The IRS is a tax collector; it shouldn’t be allowed to be the speech and belief police,” said Senior Legal Counsel Erik Stanley. “The current scandal isn’t new but has merely exposed the abuse of power that characterizes this agency and threatens our fundamental freedoms.”

The IRS grants tax exemptions to religious, educational, and/or charitable organizations. In January 2011, Pro-Life Revolution, which operates from Texas under all three purposes, filed an application for tax-exempt status with the IRS.

Four months later, the IRS sent a letter requesting “more information” and an explanation of how the organization’s activities are educational or charitable even though IRS rules specify that an organization need only operate for “one or more” of the three exempt purposes. President of Pro-Life Revolution Ania Joseph nonetheless replied and answered the IRS’s questions.

In March 2012, Joseph received a call from IRS Exempt Organization Specialist Sherry Wan, who told her that, in order to obtain a tax exemption, “You cannot force your religion or force your beliefs on somebody else…. You have to know your boundaries. You have to know your limits. You have to respect other people’s beliefs.”

The really horrible thing about this secular leftist fascism is that it is all taxpayer-funded. The victim of this inquisition is paying for the inquisition. Not even the Roman Catholic church did that.