The greatest risk to middle class Americans is the growing deficit that must be cut drastically. Both revenue and spending cuts are needed to balance the budget. Here is my plan.
Plan to increase revenues
1. Tax capital gains and dividends as income.
2. Increase the payroll tax to 14%
3. Implement a national sales tax of 10%
4. Tax stock buybacks at the highest rate 43%
5. New transaction tax on stock purchases/sales of 4%
6. Tax all income over $100,000 at 65%
7. New corporate revenue tax of 10%
8. New 15% fat tax
For the spending cuts
1. Means test medicare and social security
2. Cut defense spending by 250 billion.
1. Offer companies an offer to repatriate foreign profits at 15%.
2. Re-instate the payroll tax cut
3. Eliminate public pensions
4. Reduce unemployment benefits to three months
5. Reduce medicare and medicaid benefits
6. Cut all agency budgets including DoD 10% and reform the automatic increases that force them to spend more every year to maintain/increase their budget
7. Eliminate the Federal Reserve
8. Eliminate the Department of Education
9. Tax internet sales at state levels (NO federal sales tax)
10. Cut the federal workforce through attrition by at least 10%
11. Cut welfare benefits by at least 25%
12. Eliminate farm subsidies-they are a joke
13. Stop giving ANY benefit to illegal immigrants
14. Tax high frequency traders or charge a fee
15. Balanced budget amendment with mandatory 10% cuts (in certain entitlements and spending) whenever the country is facing a deficit
16. Cap other federal benefits at three months such as welfare and food stamps
17. Eliminate USPS mail to M, W, F or T, R
18. Eliminate all foreign aid and get out of every foreign organization such as the UN
19. Eliminate FEMA