Washington Post Fact Checker Questions Paul's plans.

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The individual income tax accounts for about $1.3T out of a total Federal budget of $3T. Removing it would leave you with a budget of $1.7T, the Federal budget of 1999. Your mileage might vary, but not by much.


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See here you talk about income (tax-revenue) in 2008, and that the 1999 budget which would be covered by tax-revenue excluding revenue from the income tax. If your 1999 budget is not adjusted for inflation those numbers dont add up, because 1.7T in 1999 might be =2T now.

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Out of curiosity, how much do you think GDP would increase if personal IT was eliminated? Maybe you don't think GDP would increase, don't know for sure.

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I saw an estimate of the deadweight loss of taxation at $0.24 per dollar raised. That's the amount of lost GDP foregone for every dollar of the income tax raised, so seemingly a fair amount. I don't think the gains would come about immediately though as businessmen figure out funding the things the income tax traditionally has.

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Thanks that seems like a reasonable number. If and when the gains came, increased government revenues would follow.