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Too bad the federal government can’t even get close to zero debt or a zero deficit. Time for a national sales tax to replace income tax.
Keep them both.
The Fair Tax is the way. Good call Scott, in addition to significant spending cuts.
Name what you want cut.
For every dollar an Indiana resident sends to the federal government in taxes, Indiana gets more than $1.50 back in federal government funds. This is the case with forty of our fifty states. There are ten states that contribute more to the federal government then they get back in federal spending; nine of these ten are blue states (Utah is the lone red state). Nine of the top eleven states to get more federal spending than their citizens pay into the federal government are red states, led by Kentucky, which gets nearly $2.80 in federal spending for every dollar it pays in federal taxes.
Imagine what would happen if the federal government were to limit spending in each state to the amount of tax revenue each state generated. Many of the “low tax” states (both red and blue) would see incredible increases in their income taxes, sales taxes, and property taxes.
Cut what? Social and infrastructure programs are already down to the bone and honestly don’t cost our government that much anyway. Every time we cut a social safety net or a building program, it gets overtaken by the increase in the military budget. Why should we continue making our lives materially worse to keep the military industrial complex going and so multi-billion-dollar corporations can continue to pay a lower effective income tax rate than I do personally? Screw that. Raise the marginal income tax above $10 million and bring corporate taxes up to 35%.
We need to rethink the Medicaid funding.
And rethink Medicaid allowable expenses, and who receives them.
Maybe, just maybe, stop taking money ($700M, to be specific) from the Medicaid fund allotted by the federal government and CMS, put it in the general fund, and then act surprised there is a Medicaid deficit. Egregious, obtuse, and ineffective must have been in the job descriptions of those involved.
You expect anything more from a state that allows hospitals to steal money from the care of the elderly and allows it to be used instead on CEO salaries and shiny new facilities?
Relax everyone. At the end of the day, like it or dislike it, we are all in this together. No getting around that.
Oh my gosh…we spent more on medical care for people in need and we STILL have a surplus in the bank.