The Fair Tax

Tuesday, July 12, 2011

YOU GO FIRST. NO, YOU GO FIRST!

The marathon discussions and posturing over the debt ceiling crisis are starting to get boring. Grown men, including the President of the United States, are holding their collective breathe in the hopes the other side passes out; thus giving them the advantage in the debate. It reminds me of my youth when we stood around trying to pick sides for the sandlot baseball game. The final outcome was always decided by the toss of a bat to see which side would pick first. Perhaps the members of our illustrious government should resort to this simpler form of negotiation and compromise.

This is what I think the President and members of Congress should do to resolve the debt ceiling debate: Each side should pick 5 options that they must absolutely have in order to raise the debt ceiling. Each side will alternate with their picks and the other side must honor the other side’s request. The negotiation would go something like this:

Mr. Boehner: Mr. President, in deference to your position, you go first.

President Obama: Thank you, Mr. Speaker. Our side chooses to increase taxes on the millionaires and billionaires.

Mr. Boehner: Mr. President, we made it perfectly clear that our side of the aisle does not want to raise taxes on the job creators during a time of high employment and economic sluggishness; but since we agreed to this format, we will accept your first demand, for the time being. Our first demand is to cap government spending at 20% of GDP. It’s your turn, Mr. President.

President Obama: For our second demand, we wish to increase taxes on the millionaires and billionaires. Mr. Boehner!

Mr. Boehner: Mr. President, for our second demand, we want to amend the Constitution and pass and ratify a balanced budget amendment. Back to you, Mr. President!

President Obama: For our third demand, we want to increase taxes on the millionaires and billionaires. Mr. Boehner!

Mr. Boehner: Mr. President, are you sure about that?

President Obama: Yes I am.

Mr. Boehner: Our third demand is to tackle all of the out of control entitlement programs. We want to reform, modernize, means test and cut Social Security, Medicare and Medicaid costs.

President Obama: You do realize, Mr. Boehner that this request will be very difficult for our side to accept. Mrs. Pelosi has been very vocal about not cutting any benefits to our seniors. But we did agree to this format and our side will have to adjust. For our fourth demand, we want to increase taxes on the millionaires and billionaires.

Mr. Boehner: OK, Mr. President, our fourth demand is to immediately overturn Obamacare and cut out all of the burdensome regulations your administration has placed on corporations and small businesses.

President Obama: Our final demand is to increase taxes on the millionaires and billionaires and if I did not make myself perfectly clear, these tax increases will also include private jet owners.

Mr. Boehner: Mr. President, it sounds to me that you are hell bent on raising taxes on millionaires and billionaires. Do you realize that these people already pay over 70% of all taxes while 50% of the American people pay no taxes at all? Do you realize that these, so-called millionaires and billionaires also include small business owners who provide the largest percentage of jobs?

President Obama: Mr. Boehner, we are not going to reduce the debt and deficit on the backs of our seniors, the poor and the indigent. The millionaires and billionaires must pay their fair share. That is the only way we can increase sufficient revenues to pay down our debt.

Mr. Boehner: Alright, Mr. President we did agree to this arrangement and if that is your desire, so be it. For our final demand, Mr. President, our side wants to immediately implement a tax reform proposal that would adopt the Fair Tax system of taxation, whereby, all income taxes, both personal and corporate, payroll deduction taxes like Social Security,Medicare and Medicaid, capital gains taxes and estate taxes would be eliminated in favor of a flat consumption tax on goods and services.

As I see it, Mr. President that is game, set and match. Have a nice day!



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