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We are not that different… January 18, 2012

Posted by proeconomia in 1, Fiscal policy, Main, On the crisis, Opinion.
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It is always a good sign to see that we are not different in our problems from other countries (ain’t that a revelation?!). Here is an article from Reuters on the size of IRS stuff, worth reading it in its entirety (and also the readers’ comments that follow). Here is the ending of this piece (emphasis added):

 

Whether you like the corporate income tax or think it is an abomination, failing to enforce it with the same rigor as taxes on wage earners and most investors is indefensible on economic, budget deficit and moral grounds. IRS budget cuts worsen budget deficits and send a corrosive signal that only chumps file honest tax returns. So you have a choice. Do nothing and suffer the consequences or call your congressman, senators and the White House — today — and then vote in politicians who support, rather than undermine, tax law enforcement.”

 

What is extremely interesting, and relevant to Greece, is that the problem is not the tax code per se (and we can argue that it – of course – be simplified) but rather that of enforcing it in the context of doing good economic administration: exactly the major problem that we have here…

 

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