# What exactly is "Tax Reform"? **URL:** \ **Category:** Great Debates\ **Created:** [January 18, 2017, 6:17pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482 "2017-01-18T18:17:21Z")\ **Posts on this page:** 5\ **Page:** 3
**Author:** ![HumbleThinker](https://avatars.discourse-cdn.com/v4/letter/h/5daacb/32.png) [@HumbleThinker](https://boards.straightdope.com/u/HumbleThinker)\ **Post date:** [January 20, 2017, 2:08pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482/41 "2017-01-20T14:08:26Z")
> [@Robot\_Arm](#): > > It is complex, but beware of those who promise simplicity. Many people have promoted a flat tax, but the rate structure is a very simple part of the current code. They want the rates to change. They promise simplicity to get people to support it, and hope we won’t notice. Definitely. Just saying “simplify the tax code” isn’t going to get me to vote for a person. I like to wait for details (if they’re ever given) and an impact analysis by the usual groups that evaluate tax plans. ---
**Author:** ![UltraVires](https://avatars.discourse-cdn.com/v4/letter/u/ecccb3/32.png) [@UltraVires](https://boards.straightdope.com/u/UltraVires)\ **Post date:** [January 22, 2017, 6:37pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482/42 "2017-01-22T18:37:53Z")
> [@k9bfriender](#): > > Taxes get complicated because of businesses. While you as an individual only get to right off certain things that have been listed in the tax code for you, businesses get to write off everything that is the cost of doing business. > > A few things have limits, some are not 100% deducted, and some need to be depreciated over a number of years, but essentially, you are only supposed to be paying taxes on your profit, not on your revenue. > > Changes to that part of tax code happen frequently, and it’s a complicated mess that you really need to either be a CPA/tax lawyer to figure out, or you need to hire one. I did my own taxes my entire life, thought I would do my business taxes myself, but realized I saved quite a bit more than the cost of the CPA by using him. (As well as many hours of headache.) > > Now, would I like simpler taxes? Not really. My taxes will always be very complicated, and I will be using a CPA as long as I run things, so I don’t care if tax code is 5 pages or 500,000. > > But, in the end, the reason for the complex taxes is that there are many things you should get to deduct, but there are things kinda like those things that you shouldn’t, so everything needs to be spelled out so that businesses manage to get all the deductions on the cost of doing business, but are not getting deductions on things that are not expenses incurred in the normal course of business. \*snip. I agree 100% about how complicated business taxes are, and there is simply no damn reason for it. And again, the cost of compliance is rolled into our business model and the costs are always passed on to the end user. There is no reason why a wage earner’s taxes can be three pages and mine are hundreds. The deductions and credits are not some comprehensive system of what is good and bad. They are a patchwork of favored ideas passed by some politician years ago that may or may not have continued relevance. Example: If I provide health insurance to my employees, that is a tax free benefit to them. (After the reams of forms). If I want to simplify it and say, “Here is $X per month to buy your own health insurance” that is taxed to the employee as ordinary income. Further, that extra income may put the employee into an income level where they no longer qualify for expanded Medicaid or other government benefits. In many cases, it is better for the employee if I don’t offer benefits or lower their pay. I have an employee for whom a raise from $12/hr to $16/hr would be a financial disaster for her family. ---
**Author:** ![Lemur866](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/lemur866/32/434_2.png) [@Lemur866](https://boards.straightdope.com/u/Lemur866)\ **Post date:** [January 22, 2017, 7:00pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482/43 "2017-01-22T19:00:02Z")
I’m pretty sure “no retroactive taxation” is code for repealing the estate tax. Hey, a billionaire already paid taxes on his billion dollars, and now you want to tax it AGAIN just because he died? ---
**Author:** ![Bosda\_Di\_Chi\_of\_Tricor](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/bosda_di_chi_of_tricor/32/16845_2.png) [@Bosda\_Di\_Chi\_of\_Tricor](https://boards.straightdope.com/u/Bosda_Di_Chi_of_Tricor)\ **Post date:** [January 22, 2017, 8:01pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482/44 "2017-01-22T20:01:53Z")
> [@](#): > > What our country needs it tax reform and land reform. Instead, all we get is chloroform! > Shall we continue to remain asleep?~~Moe Howard 🙂 ---
**Author:** ![LSLGuy](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/lslguy/32/5813_2.png) [@LSLGuy](https://boards.straightdope.com/u/LSLGuy)\ **Post date:** [January 22, 2017, 8:05pm UTC](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482/45 "2017-01-22T20:05:23Z")
@ **Lemur866** : It’s either that or code for “Corps can repatriate all the trillions they’ve stashed offshore to avoid US taxes without paying any US taxes on it now. After all, it’s been sitting out there since last year or before and last year is _over_.” [Previous page](https://boards.straightdope.com/t/what-exactly-is-tax-reform/777482.md?page=2)