steve forbes flat tax

under the flat tax system that steve forbes came up with here is the breakdown. this would save six billion hours each year filing tax forms. also save 200 billion dollars. the current tax code and the sixteenth amendment does not apply to what it is today. here is the breakdown:

1) the tax rate would be 17 percent on personal income and corporate profits
2) there would be generous exemptions for individuals: $13,200 for each adult and $4,000 for each child or dependent, plus a $1,000 tax credit for each child age 16 and under.
3) a family of four would pay no federal income tax on its first $46,165 of income
4) the capital gains tax would be eliminated
5) the alternative minimum tax would be abolished, as would the real estate or "death" tax
6) companies could expense all investments at one---- no more depreciation schedules.

steve forbes says that the flat tax would unleash an economic boom that would be stupendious. that's largely because the flat tax would encourage hard work and productivity, as well as corporate expansion and investment. this would create $56 billion more in new government revenue than the current tax code. this would create major additional assets and create more jobs to the market. other countries have used the flat tax system especially in parts of eastern europe. russia instituted the flat tax and seen revenue double. hong kong has a variation of the flat tax for the last 60 years.

for skeptics what would you rather do. file a postcard return or file your taxes under the current tax code. see for yourself what would be better in the long term.