Non-Farm Friday – Is America Working

Dow 22,000, Nasdaq 100 6,000, Russell 1,400, S&P 2,475! 

NOW we have something to celebrate over the holiday weekend.  We had a fantastic week trading the Futures – other than my Dow shorts, which got crushed (see yesterday's post) but I'm still in them over the weekend – just in case North Korea nukes us or gets nuked or if people realize the GOP tax cuts are nothing more than a massive transfer of wealth from the Middle Class to Donald Trump, his family, and his friends.  

Notice on Paul Ryan's Simple Tax Postcard, that line 2 says "Add 1/2 of investment income."  Half?  What about the other half?  That's an interesting way to sneak in a 50% tax cut for the rich, isn't it?  MOST of the money rich people make is investment income.  And, as noted by VOX:

One is that line 3’s reference to “specified savings plans” is completely punting on the question of what the specified savings plans are.

The other is that in lines 9, 10, and 11, the form achieves simplicity by saying nothing at all about what the relevant credits are or who is eligible to claim them and in what quantity.

To make either of these provisions work, you would, in practice, need to work with some additional forms.

The reason a tax form is complicated is because it's real.  Paul Ryan and Donald Trump's fantasy post-card is no different than the current 1040EZ form except it's laid out differently (and omitting details like you name, address, date, signature…) and, of course, in order for this to work you'd have to put your Social Security number on an open post card – like some kind of moron who never heard of identity theft.  …
continue reading