Today, rich pay income taxes at a much lower rate than the middle class because of two reasons:

1. They are exempt from Social Security taxes on most of their incomes;
2. The are the beneficiaries of countless special dispensations written into the 70,000 page tax code for their benefit.

The tax code consists of some 10 pages of stuff that applies to the majority, and 70,000 pages of tax breaks for special interests.

Warren Buffet says that he pays only 17% income tax, while his secretary pays at a much higher rate.

I am NOT proposing a graduated income tax that places a larger burden on the rich. I am proposing a FLAT tax, say 25% on ALL income, not just salaries (earned income), with absolutely no deductions or tax credits. As part of this fair tax, I would eliminate all corporate income taxes, thereby eliminating "double taxation" of corporate income taxes followed by personal income taxes. Instead, the "C" corporate filing would be abolished, and all corporations would essentially become "S" corporations. Corporate income would simply be counted pro rata as personal income of the stockholders, so it would be counted ONLY on the stockholders personal income tax.

Note: Tax credits for foreign income taxes are required by treaty and would not be eliminated by my tax reform measure.

By bringing Warren Buffet's tax rate from 17% to 25%, and the same for the rest of the rich guys, Federal revenues would greatly increase, sufficient to pay off the National Debt in some 20 years, provided that the wastrels in Congress don't increase expenditures to meet revenues.

I would have a ten page tax code, or perhaps one even shorter.

David F Mayer