Number: RL33285
Title: Tax Reform and Distributional Issues
Authors: Jane G. Gravelle, Government and Finance Division 
Abstract: The most significant tax reform in recent There are proposals to maintain or extend the recently enacted tax cuts, including the benefit for IRAs and dividends and capital gains. The President has proposed greatly expanding preferences for individual savings accounts as well. Some current proposals, including congressional proposals, propose a fundamental change by moving to a consumption base. These consumption base proposals include S. 1040 (Shelby) and S. 1081 (Specter), which propose a flat tax (a tax on wages at the individual level and cash flow of businesses). H.R. 25 (Linder) and S.1025 (Chambliss) propose a national retail sales tax. H.R. 1040 (Burgess) would allow the option of a flat tax.
Pages: 11
Date: September 7, 2007