Finite dollar amounts in tax regulations
The dollar does not have constant purchasing power. Some government and commercial activity already considers this and express indexed rather than finite dollar amounts. Most use a Cost/Price Index, (CPI) published by the U.S. Bureau of Labor Statistics as an authoritative index.
To the extent that the purchasing power of the U.S. dollar changes, the intended extent and/or purpose of laws and regulations with expressed finite dollars are similarly modified. IMO any finite dollar amounts mentioned in any government laws or regulations should be indexed U.S. dollars.
This is the cause of our “creeping” or “stealth” tax increases occur due to finite dollar amounts of deductions, credits, alternate income taxes, and income brackets within or tax laws and regulations.
Expressing dollars as indexed rather than finite amounts ultimately would induce tax cuts that both liberals and conservatives can agree upon.
Please submit your comments regarding this blog.
To the extent that the purchasing power of the U.S. dollar changes, the intended extent and/or purpose of laws and regulations with expressed finite dollars are similarly modified. IMO any finite dollar amounts mentioned in any government laws or regulations should be indexed U.S. dollars.
This is the cause of our “creeping” or “stealth” tax increases occur due to finite dollar amounts of deductions, credits, alternate income taxes, and income brackets within or tax laws and regulations.
Expressing dollars as indexed rather than finite amounts ultimately would induce tax cuts that both liberals and conservatives can agree upon.
Please submit your comments regarding this blog.
posted by supposn at 6:55 PM
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