Ted Cruz has a simple tax plan that he claims will spur robust economic growth and job creation and raise after-tax income. Perhaps the best part of Mr. Cruz’s Tax Plan is that it would allow people to file their taxes on a postcard or phone app and eliminate “the rat’s nest of complex tax requirements, credits and loopholes.”
- For a family of four, no taxes (income or payroll) on the first $36,000 of income.
- Above that level, a 10% flat tax on all individual income from wages and investment.
- No death tax, alternative minimum tax or ObamaCare taxes.
- Elimination of the payroll tax and the corporate income tax, to be replaced by a 16% Business Flat Tax. This would tax companies’ gross receipts from sales of goods and services, less purchases from other businesses, including capital investment. Simple, efficient, fair.
- A Universal Savings Account, which would allow every American to save up to $25,000 annually on a tax-deferred basis for any purpose.
For more details on Ted Cruz’s proposed Simple Tax, which according to the nonpartisan Tax Foundation, would boost the size of the economy, add 4.9 million jobs, and increase average wages by 12.2%, go here.