Fred Thompson Offers Band Aid Approach

Now here’s an interesting plan.

Thompson plan gives taxpayers two options

Republican presidential hopeful Fred Thompson proposed an income tax plan Sunday that would allow Americans to choose a simplified system with only two rates: 10% and 25%.

Simplifying the tax code is always an admirable goal. It's far too complex and intrusive as it stands now. But as I’ve said before, specifically in reference to the “Fair Tax”, but the same principle applies here: Forget tax reform, what are we doing about spending? What are we doing to rein in big government?

What is the federal budget - two, three trillion dollars? If the federal government was half the size it is today, would it really matter how we paid for it?

I understand the desire for tax simplification, but it overlooks the core issue. Instead of looking for better ways to finance big government, let’s work on eliminating big government. As long as we ask government to do $3 trillion worth of governing, that’s $3 trillion that needs to be diverted from the productive sector. If they cut income taxes, then they can just finance their growing budget through other forms of taxation, borrowing or inflation - all of which serves as a drag on the economy, and endangers human liberty.

Let’s focus on the prize, here, people! Cutting the real size, scope, and power of government is the best tax cut of all.