The silly debate about the “Buffett Rule” is really an argument about the extent to which there should be more double taxation of income that is saved and invested. Politicians conveniently forget that dividends and capital gains get hit by the corporate income tax. And since America now has the developed world’s highest corporate income […]

American companies are hindered by what is arguably the world’s most punitive corporate tax system. The federal corporate rate is 35 percent, which climbs to more than 39 percent when you add state corporate taxes. Among developed nations, only Japan is in the same ballpark, and that country is hardly a role model of economic […]

As discussed yesterday, the most important number in Obama’s budget is that the burden of government spending will be at least $2 trillion higher in 10 years if the President’s plan is enacted. But there are also some very unsightly warts in the revenue portion of the President’s budget. Americans for Tax Reform has a […]

Never let it be said I back down from a fight, even when it’s the other team’s game, played by the other team’s rules, and for the benefit of the wrong person. And that definitely went through my mind when U.S. News & World Report asked me to contribute to their “Debate Club” on the […]

Last night’s GOP debate did nothing to change my sour opinion of Mitt Romney. During a discussion about tax reform, he attacked Newt Gingrich for the supposed crime of not wanting to double tax capital gains. Here’s how Politico reported the exchange. Newt Gingrich joked about Romney’s 15 percent tax rate, saying: “I’m prepared to […]

Since the Clinton Administration turned out to be much more market-oriented than either his GOP predecessor or successor, this isn’t quite a man-bites-dog story. Nonetheless, it is still noteworthy that Elaine Kamarck, a high-level official from the Clinton White House, has a column on a left-of-center website arguing in favor of a pro-growth, supply-side corporate […]

Back in September, I posted a flowchart showing how the current tax system is biased against saving and investment. Simply stated, the federal government largely leaves you unmolested if you consume your after-tax income, but there are as many as four extra layers of tax on income that is saved and invested (a point I […]

Governor Rick Perry of Texas has announced a plan, which he outlines in today’s Wall Street Journal, to replace the corrupt and inefficient internal revenue code with a flat tax. Let’s review his proposal, using the principles of good tax policy as a benchmark. 1. Does the plan have a low, flat rate to minimize […]

Whether I’m criticizing Warren Buffett’s innumeracy or explaining how to identify illegitimate loopholes, I frequently write about the perverse impact of double taxation. By this, I mean the tendency of politicians to impose multiple layers of taxation on income that is saved and invested. Examples of this self-destructive practice include the death tax, the capital […]

The so-called Super Committee has been tasked with finding $1.5 trillion in deficit reduction over the next ten years. Though with the President’s recent call for another half-trillion in stimulus that he claims would be payed for, they would need to find $2 trillion. In light of the committee’s upcoming work, I penned a letter […]