patrick.net

Better and less corrupt? Patrick would be hanged for having a site like this in China. Banks hoarding properties are working in cooperation with the government. Why would the government all of a sudden change stance and go against the grain?

Yes, at least I can still speak freely here. I think. Maybe I'll get a National Security Letter one of these days, eliminating my freedom of speech. Though it would be great fun to publish it everywhere I can.

We do have systemic corruption in the US real estate market though:

The US government defrauds buyers and taxpayers, subsidizing debt to benefit banks and sellers.
The buyer defrauds the bank on the application.
The bank and bond rating agency defrauds the mortgage bond makers.
The mortgage bond makers defraud pension funds and foreign governments.
The Federal Reserve defrauds everyone by buying bad mortgage bonds with newly printed dollars.

John Bailo says

It’s time we reverted to an Asset Tax…this would be market savvy, and let things normalize again.

We certainly do need to change our tax system, that's for sure. Right now it just seems rigged for those who have. I kind of like the idea of a consumption tax over income tax. Asset tax seems reasonable too. I mean, how much longer can we go on pretending our system is working for everyone?

I've never earned much and don't own much. I don't even mind paying taxes but I expect to get something for those taxes I pay instead of just feeling like I'm being squeezed for every last penny I own.

I like Warren Buffets ideas on taxes.

Things like consumption taxes are just a simple way to allow the rich to get extremely rich. It helps those who can save gobs of money, because it's not taxed.

Those who live pay check to pay check will be paying taxes on everything. People who even make decent money often go pay check to pay check, which means they will pay high taxes. The super rich will go from paying 15% to essentially 1%.

John Bailo says

Assets are the end result. They tell us who has the most stuff…no just who had a short year of velocity.

In this system, I would basically pay no taxes. Same is true for the wife. Sounds nice!

I know the system is rigged for the rich because when I was 15 my father bragged to me how he made a nice six figure income one year and paid taxes on like $15k of it. Lots of tax shelters he said. Sounded fishy to me.

Every system will be gamed. Hence the complexity of the code now in place.

Warren Buffet believes that the more wealth you have, the more you should be chipping in, as it won't effect your life style either way. He also believes that bulk wealth shouldn't be transferred between generations. Hence him giving away 99%, same with Bill Gates.

John Bailo says

I was reading that at one point the only tax in this country was a property tax.

Having a rational property tax would solve a host of problems.

It would put a penalty on flippers and hoarders. I would truly make those who have the most (and hence get the most benefit from our nation) pay their fair share.

Putting taxes on income for people who are just getting a taste of the good life makes no sense.

For example, suppose someone makes $200,000 one year, but spends it on vacations. Should he pay a “tax”? I say no — he’s helped the economy.

But a person who owns acres of land, or hundreds of houses, and structures his “income” to look like nothing, can get away with paying very little tax.

It’s time we reverted to an Asset Tax…this would be market savvy, and let things normalize again.

I agree with everything you say there. And Henry George would agree with you too. But not a tax on any assets. Just a tax on land values. Other things are created by people and creative activity should be encouraged. Non-productive monopolization of land should be discouraged.

No. Chinese government is far more corrupt.

That's an understatement... Hugo Chavez is less corrupt than our government.

Our current government is of and by the Chicago Machine... the very definition of corruption, graft and fraud.

Yes, at least I can still speak freely here. I think. Maybe I’ll get a National Security Letter one of these days, eliminating my freedom of speech. Though it would be great fun to publish it everywhere I can.
We do have systemic corruption in the US real estate market though:
The US government defrauds buyers and taxpayers, subsidizing debt to benefit banks and sellers.
The buyer defrauds the bank on the application.
The bank and bond rating agency defrauds the mortgage bond makers.
The mortgage bond makers defraud pension funds and foreign governments.
The Federal Reserve defrauds everyone by buying bad mortgage bonds with newly printed dollars.

Buyers were also in many cases defrauders also... those famous liar's loans did require the lying buyer to sign their lie... to me there should be tens of thousands (really perhaps a few million) buyers sitting in jail or with massive tax leins against them (along with RE brokers and mortgage brokers) to cover what we honest people are forking over to cover their very obvious, intentional crimes.

John Bailo says

For example, suppose someone makes $200,000 one year, but spends it on vacations. Should he pay a “tax”? I say no — he’s helped the economy.

200k in vacations for one person is nothing but a gigantic waste of scarce oil. Can you imagine how much oil someone would burn in a year if on a 200k vacation budget? [shudder]

Just saying.