you can abolish them, by making them the working well-to-do, which in turn can be done by abolishing the IRS, and instituting the Fair Tax.
First of all, my friend keeps telling me we need to extend the SS / Medicare payroll taxes to the rich. Well, the Fair Tax does that, since all the egregious spending the rich do would go to finance SS / Medicare just like it would also finance the rest of the gov't when they pay the Fair Tax on the goods they're buying. Right now, the screwed-up social security taxes stop taxing income at about $113K, so that if the rich were, for instance, to start paying a flat tax of 17%, they still would be paying SS/Medicare along with it, and it would still stop at about $113K. So, the CEO of GM is making $10M? What SS/Medicare does he pay? Only the amount for $113K, which would be $17,289. Of course, $17,289 is 0.172% of his $10M salary, while the poor schmuck making, say, $30K would be paying 15.3% right now, or $30K - the $18K exemption under the flat tax, or 15.3% of $12K, or $1,836. $1,836 of $30K is 6.2%, compared to the rich person paying 0.172% for SS/Medicare under the Flat Tax. The Fair Tax, taxing 0% up to an individual's poverty level, say $13K for a single person living alone, to maybe $27K for a family of 4, would be a MUCH better deal than the income taxes nailing everybody for 15.3% right now, or the flat tax, just another harmful income tax, nailing everyone for a variable, but much higher amount of payroll tax than the Fiar Tax.
And, the poor don't pay a penny of the Fair Tax. That is, $0.00. Taxation only starts at the poverty level. The poor schmuck that makes, say, a $13,000 poverty level salary right now sends $1,989 of it, or 15.3%, to Washington in the form of payroll tax, or Social Security / Medicare tax. That's outrageous. Poor people shouldn't be taxed on their income, period. Well, nobody should be taxed on their income, really, since doing so hurts the economy of the country that does so:
http://taxfoundation.org/article/what-evidence-taxes-and-growth
See the chart at the bottom of the article.
We can make the poor and middle class into the well-to-do class by bringing jobs back from overseas, and we can do that by getting rid of the IRS and the income taxes, which are sabotaging our domestic and international competitiveness. OTOH, by taxing things for sale, the spendthrifts that make millions of dollars per year and spend it on big fancy houses and flashy cars will be putting more of their $$$ in Washington's pockets than they ever do with income taxes. Look up John and Teresa Kerry's income from their taxes that are disclosed because he's a politician, and you find they make about $5M together, and send something less than $2M to DC. OTOH, they bought that famous $75M yacht. The Fair Tax on that $75M yacht would have been $21M, which would otherwise have taken the gov't 12 years or so to collect from them by using the income taxes.
Oh, one other thing - the Fair Tax is the only tax yet proposed that taxes the criminals. The drug dealers eventually spend all that money that they make in the black markets, and when they do, the go to Best Buy just like everyone else, where they're going to be paying the sales tax on the big screen TV they buy, which will go directly to the US Gov't, a 1st-time experience for low-life criminals. Even Al Capone would have paid his Fair Tax - he wouldn't have been able to avoid it.
We could bring prosperity back to the USA by having a factory springing up on every street corner, manufacturing something - anything - because the USA would be the best place on the planet to manufacture things. H***, we could even do something for global warming, by making the Chinese and Indians shut their factories, because they won't be able to compete with our untaxed factories, and instead of manufacturing with coal in China, we manufacture in Kansas City with natural gas, a much cleaner fuel. Natural gas, with chemical formula CH4, is 80% of the hydrogen economy we were seeking 13 years ago. and set a goal to make it happen in 10 years. It didn't. But methane, the major component of natural gas, is 80% hydrogen (4 hydrogen atoms) and 20% carbon (1 carbon atom.) We've _already_ achieved our Kyoto Protocol goal of achieving 1992 levels of CO2 production because of natural gas, so now we could go about helping China and India achieve theirs... by moving all their dirty factories to the USA where they will be recreated as clean factories burning natural gas.
And, give it a few years, and we'll have 2% unemployment, and then... we can solve the immigration problem. Or more correctly, turn the problem into a solution. As soon as we can provide jobs for more people than we have in the USA, which will happen because the economy will be roaring without the yoke of the income taxes holding it back, we can also employ as many Mexican citizens as want to come here. The more they come here, the more $$$ they'll make, and the more they'll spend, and the more $$$ that will end up in DC. This will also "fix" the deficit, too, and eventually, the National Debt. See this fellow's prediction:
http://www.forbes.com/sites/louiswoodhill/2013/05/22/irs-scandal-is-the-latest-evidence-that-we-need-a-fair-tax/
He thinks the deficit spending "problem" will go away, simply from the growth caused by the Fair Tax, or more exactly, the elimination of the income taxes.
Its like there's this great big arch of all the things that are wrong with the economy and causing the poor and middle class to get poorer while the rich get richer, and it has this keystone at the top that, if it were destroyed, the arch would come tumbling down, and the American people would again be as prosperous as they were in the 50's and 60's. It turns out that the keystone is the income taxes, that are essentially supporting all the things that are hurting our economy, and therefore our people. Get rid of the IRS, and you get rid of the greatest evil that causes so much trouble for the poor and middle class. The IRS is something we can live (quite nicely) without.
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