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A Washington Tea Party March organized to protest tax code Posted: April 06, 1999 1:00 am Eastern By Stephan Archer
As taxpayers across the nation prepare their tax forms to meet the April 15 deadline, one group of taxpayers is preparing to march on Washington on the day of the tax deadline in protest of the current tax code and in support of a bill that would drastically reform the current tax laws. On April 15, Citizens for an Alternative Tax System, a national non-profit organization, is planning a massive mobilization of tax payers in anticipation of unprecedented support for both Republican and Democratic members of Congress who are committed to a fundamental reform of the federal tax system. "This march will inform the politicians that 'we, the people' will no longer stand for a corrupt, wasteful, and unfair tax system," said Steve Hayes, president of CATS. "We will demand that the politicians eliminate the income tax and the IRS and provide all Americans with an indirect tax, as intended by the Framers of the Constitution, that is fair, provides each American with real freedom and encourages greater economic growth." The march, which has also been referred to as a "one-of-a-kind Tea Party" by march organizers, will feature Rep. Billy Tauzin (R-La.) who, along with Rep. James Traficant (D-Oh.), will be introducing the Tauzin-Traficant National Retail Sales Act on the same day as the march. The bill will, among other things, call for the complete abolishment of the Internal Revenue Service by de-authorizing it as of fiscal year 2001. With no successor agency to follow the IRS, the Secretary of the Treasury would administer the new tax system. The bill would also do the following: Repeal the income tax immediately. Set up a new system in which the taxpayer is protected. Unlike the current system, where the burden of proof lies with the taxpayer, the burden of proof will be with the government in any tax dispute. Impose a sales tax of 15 percent on the gross receipts from the sale of any taxable good or service in the U.S. The amount of the tax paid on all transactions must be fully disclosed to the consumer. Provide a tax credit to all workers, assuring them that no taxes will have to be paid up to the poverty rate. The formula would be adjustable for non-working spouses and children. Assure taxpayers that no tax will be imposed for any good or service which is purchased for re-sale, purchased to produce a good or service for retail, exported from the United States or for the purchase of education or training. Speaking of his bill, Tauzin said, "The National Retail Sales Tax reverses the relationship between taxpayers and the government. Taxpayers -- not the IRS -- get first crack at their paychecks." According to Tauzin, the important thing now is to begin a national dialogue on tax reform. In 1914, Tauzin pointed out, the income tax code had 14 pages. Today it has over 2,000 pages of law, 6,000 pages of regulations, and hundreds of thousands of pages of rulings and interpretations. With all the confusion surrounding income tax time, Americans end up wasting more than 5.1 billion hours just filling out income tax forms, he said. But time isn't the only thing wasted. Tauzin pointed out that billions of dollars are wasted as well during income tax season with some estimates being as high as $300 billion a year just for compliance. This doesn't include the $600 billion a year Americans also pay in actual taxes. "Americans work too hard for their money and have too little to show for it," Tauzin said. "Today an average family with two working parents is paying a staggering 38 percent in taxes. Each day, according to the widely respected Tax Foundation, you must work nearly three hours just to pay your taxes." Tauzin said that the beauty of his and Traficant's bill is that it is simple and fair. Those who spend large amounts of money will pay higher taxes than those who spend little money. "The current (tax) code is indefensible," said Tauzin. "The average American family today pays more in taxes than it spends on food, clothing and shelter. The IRS is twice as large as the CIA and five times the size of the FBI. In other words, we spend more time and resources tracking down taxpayers than we do terrorists." Regarding the tax reform debate, Tauzin said, "This debate isn't simply about a flat tax versus a national sales tax. This is about fundamental tax reform versus preserving the status quo. Revolutionary change, such as scrapping the federal income tax and abolishing the IRS, will never happen unless Americans demand it."
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