Tax reforms

Next Thursday may be the beginning of a new wave of tax reforms that haven't been seen since Reagan, in the Ways and Means Committee. Dave Camp, of Michigan, has said that with nine out of ten families using help of some kind to prepare taxes, the tax code is "too complex." A problem with this plan is that Mr. Camp has shown an unwillingness to raise taxes. Among the reforms that should be considered is the corporate tax reform. Timothy Geithner has decided to meet with business execs to discuss reformations. The main goal, according to business and tax experts, would be to cut the top rate to thirty percent. Seems fairly easy, right? Wrong. To accomplish this will require cutting certain breaks, or lowering how much a person could get, which I have no doubt Mr. Camp would consider tax increases. Among the top things needing reform, according to experts? First things first, oil refineries get a forty five cent credit for blending ethanol with gasoline.  Who's idea was this? I don't think that's even possible. And if it is, who verifies that its been done? Just by breaking this, we can see a 32 billion dollar revenue increase over five years. Next is Section 199, in which certain things made in the U.S. would be taxed at a lower rate. The "manufacturing" part, however, is so unspecific that it could cover such things as hamburger making for fast food chains, for instance. By fixing this, the U.S. could pick up 62 billion dollars. It's a start, anyway.