Let’s take this tax season as an opportunity to introduce a “Taxpayer Protection Bill.” This would be very newsworthy at this time of year, and would help the GOP image as a party who cares more than the Democrats. Let’s draft up a five or six point plan designed to protect taxpayers and force a vote on it. Other minds might have better ideas for what we could include among those 5 or 6 points, but here are a few that come to my mind:
1. Lower the cap on FICA taxes. Let’s ask everyone to note what they are paying to “FICA.” I believe the median income earner in America will pay more FICA taxes then the federal taxes he/she will spend hours calculating.
FICA is a tax. In fact, FICA is one of the first reasons I first realized I was Republican. When I got my first paycheck at the age of 16, and I noticed FICA was taking more money than the state and federal governments combined, I was pissed. Now, I am an attorney, and when I look at the FICA line, I am still pissed. If that tax is continuing to rise on people, Obama is breaking his promise not to raise any taxes on those making less than $250,000/year.
2. How about a family friendly provision in the bill? Perhaps we could eliminate the “marriage penalty” inherent in the tax code. Or, how about revising McCain’s popular proposal to double the exemption amount for dependents?
3. How about creating a deduction for the fair market value of volunteer hours spent working for tax-exempt charitable organizations?
4. How about lowering the 7.5% of AGI threshhold needed to deduct medical and dental expenses? I believe this would put a lot more money in the pockets of the middle class (in turn stimulating both the economy and Republican party membership).
5. How about introducing an “alternative maximum tax?” While the alternative minimum tax is gaining notoriety for increasing more and more people’s taxes beyond what it was originally intended to do, we could replace it with an alternative maximum tax.
The new “AMT” could provide a cap on the combined FICA, Social Security, Income, Investment, State and Local, etc. taxes. How about saying your combined taxes cannot exceed the greater of what you pay either on: a) annual mortgage payments on a primary residence; b) annual rental payments on a primary residence; or c) your highest tax burden of the prior 3 years.
Hey, if the Dems knock it down, we can point out every single year how much people would be saving if the GOP were in power. We could make it very easy for people to see they would be better off financially with the GOP in power. And that is what being “more trusted on the economy” is all about.