TAXING AND SPENDING

Modern Whigs believe the federal tax code needs to be drastically simplified and made more equitable. The vast majority of loopholes, subsidies, exclusions, exemptions and deferrals should be eliminated; capital gains and other forms of passive income should be taxed at the same rate as earned income above a certain income threshold; and untapped sources of revenue (such as a tax on high-speed trading) should be explored to make reducing income tax rates fiscally feasible. 

Proposals:

• Greater use of lump sum payments to the states every fiscal year so governors, state legislators and county officials can effectively allocate funding to address local issues.

• Increased state participation and oversight where applicable to make federal government programs more efficient and responsive to local conditions.

• A top-to-bottom review of unfunded mandates and comprehensive reform of the practice.  

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The Modern Whig Institute is a 501(c)(3) civic research and education foundation dedicated to the fundamental American principles of representative government, ordered liberty, capitalism, due process and the rule of law.