“Tax reform” means different things to different people. To Wallace it means taxing foundations, to Humphrey it’s wiping out tax shelters, to Muskie it’s lowering Social Security taxes. To most economists it implies the elimination of inefficient taxes. To the public it means lower taxes. To George McGovern it means, primarily, the redistribution of income. In spite of all McGovern’s references to income-tax “loopholes,” he has got around so far to mentioning only two: the tax-exempt status of state and local bonds, and the oil depletion allowance. The first he describes as “unfair” but what he’ll do about it he doesn’t say; what the states and cities will do without it, he doesn’t say either. When it comes to business loopholes, McGovern is also unclear.
Subjecting McGovern’s complaints and proposals to light analysis:
Comments