NCPA Outlines New Tax System

The National Center for Policy Analysis recently outlined its "Purple Tax Plan" in a September 2011 article.  The plan would replace the federal, personal, and corporate income taxes and the estate and gift taxes with a progressive retail sales tax and a low-rate, progressive inheritance tax.  The article discusses how it is workers who ultimately pay for corporate income taxes, in the form of lower wages and fewer employee benefits, and that the most effective way to boost the economy would be to lower corporate tax rates as part of a comprehensive tax reform.

See Laurence Kotlikoff, "Is the Corporate Income Tax Regressive," NCPA.org, Sept. 22, 2011.

Posted by William Alan Nelson II, Associate Editor, Wealth Strategies Journal