The most obvious way to promote growth and investment in our economy is simplification of the US tax code. Nearly everyone says the 70000 page code a nightmare but the problem is that tax code exemptions are the currency of lobbyists and politicians so unless voters focus on voting for Representatives looking to end the IRS and the tax code we should expect very marginal changes.This would be only to save face and will be quickly followed by even more taxes so those folks in Washington can advance their power base. This acts to increase the federal governments control over individuals in the United States.
You can always look to Europe for really bad ideas like" VAT" taxes or national health care or public pensions but most of us assumed that there was no way Americans would allow their personal assets already taxed to be taxed again as "wealth " taxes.
But wealth taxes are coming, and the idea fits perfectly into the elitists concept that both Washington DC elected officials and un-elected bureaucrats would be much more productive with your money. This mindset believes that every dollar of "wealth tax" collected would be available to invest in new factories, new technologies, and all the other fabulous progressive projects. But the sad truth is just like all taxes, the money goes into the hands of un-elected bureaucrats who think they know better than you do what to do with your hard-earned dollars.
So why do i think this is coming soon? Because I have learned over that last 5 years that it is the unscheduled ,offcamera or spontaneous remarks have revealed this Presidents agenda far more clearly than his planned addresses like State of the Union. His real character believes in "stepping on the throat of business", redistributing wealth as the candidate famously said to Joe the plumber,30% taxes above a million income. It thrilled him to no end when Warren Buffett agreed. But wealth taxes? Come on he wouldn't do that.
Think again and think seriously.Several countries have already imposed wealth taxes outright. This philosophy believes that even though the wealth has already been taxed once or twice at rates higher than the rest of the population its now time to simply take it before they die rather than wait for the death of savers and take it in estate taxes.
Is the lesson to spend everything I have before I die and come with my hand out to the government for my retirement? Exactly how will that work? So far the government has relied on the voluntary collection of taxes. In Europe this devolved quickly into corruption and black markets . People lied, bribed and hid wealth. tax collector became rich and Governments collected less.This is not ancient history this is today in Greece ,Cyprus and France etc. .
We have already been experiencing confiscation in the subtle form of "financial repression" and ZIRP ..(zero interest rate policy) have already redistributed massive amounts of wealth from real savers to in debt borrowers in order to bail out Wall Street and other crony capitalist friends of the modern Democrat. The next step is to overtly tax wealth at 1.5% above some threshold. If you have managed to work and save expect your friendly IRS to start accumulating data on what you own and your net worth. That will be the sign you have about 6 months left before implementation. I cant think of a more communist or collective strategy than confiscating and redistributing the wealth of others . There was a time when Americans would have fought and died to protect their own earned personal property and yes, that includes savings. That time may come again.