The new tax forms are being released for 2019 and they are a dream for us conservatives. For decades we have asked for simple forms that can be printed “on a postcard”.
The new forms indeed are the size of a postcard. Fantastic. They consist of three lines – your income, your tax rate and your tax owed. Boom. Done in one minute. Fox Business reports:
U.S. Treasury Secretary Steven Mnuchin said on Wednesday that new tax forms, designed to make the filing process clearer and simpler for Americans, will be released next week.
“Next week we will be unveiling the new 1040 and it will be a postcard as we promised,” he said during a press conference celebrating the six-month anniversary of the passage of tax reform.
“Hardworking taxpayers won’t have to spend nearly as much time filling out their (tax forms).”
The 1040 form is the U.S. individual income tax return. Republicans promised to simplify the filing process for taxpayers, famously claiming the forms would be postcard-sized.
This is the tax “simplification” that is a huge bonus of the Trump tax reform, whose main goal is tax reduction.
This simpler new form will have a significantly positive impact on the economy. Imagine filling out your taxes in one minute rather than worrying for months and spending hours or dozens of hours on them, or paying a tax preparation firm or an accountant fees that can range from $100 up to thousands and more.
For decades conservatives have decried the disastrous tax system and the amount of time, effort and money required just to fill out forms. The Tax Foundation reported about that system:
The time it takes to comply with the tax code imposes a real cost on the economy. Individuals and businesses need to devote resources to complying with the tax code instead of doing other productive activities. For example, a business owner who needs to file a complex tax return each year may hire an accountant or tax lawyer to do it. This tax professional may cost $70,000 a year or more. This is $70,000 that this business owner cannot devote to purchasing equipment or hiring workers. Economists refer to this as an opportunity cost, and it results in lost productivity.
Put in dollar terms, the 8.9 billion hours needed to comply with the tax code computes to $409 billion each year in lost productivity, or greater than the gross product of 36 states.
That $409 billion is not to pay the taxes but is just the cost to fill out the forms in payments to preparers, lost time, aggravation, etc. It is amazing to see the actual figures.
This simplification will be yet another major stimulus for the economy. Imagine $409 billion and 8.9 billion hours freed up to do productive things.
Look at this from CNSNews.com about why we need not only tax simplification but more importantly tax rate reductions:
Americans on average spent more on taxes in 2016 than they did on food and clothing combined, according to data released this week by the Bureau of Labor Statistics.
The same data also shows that in three years—from 2013 to 2016—the average tax bill for Americans increased 41.13 percent.
In 2016, according to BLS, “consumer units” (which include families, financially independent individuals, and people living in a single household who share expenses) spent more on average on federal, state and local taxes ($10,489) than they did on food ($7,203) and clothing ($1,803) combined ($9,006).
The average tax bill for American “consumer units” increased from $7,423 in 2013 to $10,489 in 2016, according to data released this week by the Bureau of Labor Statistics.
… From 2013 to 2016, overall personal taxes climbed from $7,432 to $10,489—an increase of $3,057 or 41.13 percent. Federal income taxes climbed from $5,743 to $8,367—an increase of $2,624 or 45.7%.
State and local income taxes climbed from $1,629 to $2,046—an increase of $417 or 25.6 percent.
Fox Business continued:
Mnuchin deemed tax reform a “game changer” for Americans. “We finally have a tax code that works for hardworking taxpayers,” he said.
House Ways and Means Committee Chairman Rep. Kevin Brady added that while passing tax reform wasn’t an easy feat, it has already begun to change Americans’ lives for the better.
“We’ve transformed this nation from asking where are the jobs to asking where are the workers,” Brady said.
The booming Trump economy of 2018 is just the start. As long as Trump policies remain in effect, the economy will continue to thrive.
Nikitas3.com has been advocating these ideas for decades – lower taxes, less regulation, simple tax forms. They are working like a charm as they always do.
This is what Democrats fear most about president Trump. They never wanted Americans to know that there was something better than the static Obama economy where Americans were depressed and lived in fear and dread of the IRS and its onerous tax forms. That is why bad economic times are called a “depression” and that is what the Obama years really were.
Under the major tax reduction package of Ronald Reagan the static economy of the 1970s started to pick up steam in 1982 and the resulting economic boom lasted until 2008.
It would have continued indefinitely but the Democrats killed it by loaning trillions of dollars to poor people to buy houses. This brought down the whole economy when most of those loans went bust. Democrats even gave us the famous NINJA loan where a poor person could walk into a bank with No Income, No Job or Assets, and get a loan. This was more economic insanity from the left.
Now we have growth again, and optimism. It gets better. The Daily Caller reports:
U.S. workers received their biggest pay increase in nearly a decade over the period from July 2017 to June (2018), according to Labor Department figures released Tuesday.
The department’s employment cost index, which tracks the growth of employee compensation across the economy, rose 2.8 percent in the year to June, the strongest 12-month gain since September 2008. Wages and salaries, which account for about 70 percent of employment costs, also rose 2.8 percent over the same time period.
President Trump is not going to allow this to go away either. He is going to point out over and over that if we want to go back to “the bad old days” under Obama, that Democrats will do it and that he will stop it.
This will help to elect Republicans and to re-elect president Trump himself.
National Anthem Protests will Bring down National Football League
Football season is approaching and while Nikitas3.com does not watch the game I have been following the National Anthem protests. And I will make a prediction:
This Fall the protests are going to escalate and become more contentious and the National Football League is going to suffer with the loss of millions more fans.
Americans want to relax and watch football on Sunday not get wrapped up in political issues which are in our faces every other day of the week.
The Fort Worth Star-Telegram newspaper recently reported about the legendary Dallas Cowboy owner Jerry Jones:
Four days after seemingly defying the NFL and letting the world know about his team’s zero tolerance policy regarding (kneeling) for the National Anthem, Jones is now not talking about the issue because he has been told not to by the league.
Jones informed several local television stations who had booked him for interviews on their Sunday night show from training camp in Oxnard, Calif., that questions about the national anthem and his team’s policy were not permitted because the NFL had told him to stop speaking on the matter.
… Philadelphia Eagles safety Malcolm Jenkins, one of many players who have protested during the anthem the past couple of years to raise awareness about police brutality toward African-Americans and other forms of social injustice, called Jones “a bully” on Friday.
“I think it’s unfortunate that you have owners like him that use his position to intimidate and intentionally thwart even the idea of his players thinking individually or having a voice about issues that affect their communities daily, which is unfortunate,” Jenkins told reporters.
Do you see what is happening? A celebrated football team owner is being ostracized and called names by players in the very league that he played a crucial role in building. And it is all about politics.
This is called “killing the goose that lays the golden eggs”. But then again this is what Democrats and liberals are famous for like the aggressive, violent and demanding labor unions that destroyed much of the industrial economy of the United States that was built after World War II in the Northern Tier from Illinois to Massachusetts. That economy has fled to the non-union Southern states where workers are voting over and over against unionization.
The NFL will collapse further during the 2018 season beyond the damage done during 2017. Every week it will be another protest and more bad publicity and it will become more and more confrontational. And when it all comes crashing down perhaps the mega-millionaire black players can go back to their neighborhoods and work stocking shelves in the supermarket, which is all that most of them are capable of doing outside of playing football.