DAVE ROSS

How to solve the tax gap, erase the deficit, and build a wall

Dec 14, 2018, 7:09 AM | Updated: 9:01 am

IRS...

The IRS is using computer programs from when John F. Kennedy was president. Back when the tax rate on rich people was 91 percent. (File, Associated Press)

(File, Associated Press)

It’s official. During November, the federal government spent twice as much as it took in. Biggest monthly deficit on record.

Which is why Jesse Eisinger, who writes for ProPublica, says the time has come to let the IRS hire more auditors.

“The audit for the wealthy is down to 2.5 percent,” Eisinger said. “Really, what we are seeing is the rich not being audited at all, and the poor actually being audited more than people who make up to a million a year.”

RELATED: A solution for the $400 billion tax gap
RELATED: When to disobey your powerful boss
RELATED: Could Internal Revenue machines be telling us something?

Eisenger says that as a result each year, close to half a trillion dollars in taxes go uncollected. And the reason he singles out rich people is not because they’re evil but because they’re paid differently.

“You and I pay our taxes from our employer,” Eisinger said. “We get a W2 and our taxes are taken out of each paycheck. The wealthy have partnerships, they have LLCs. The IRS doesn’t see all that. They don’t file that. So it’s much, much easier for them to evade taxes.”

But I see a possible solution. If we hired enough auditors to close the tax gap, and then replaced private insurance with a Medicare for All plan, together that could save about a trillion a year. So the deficit would vanish and we’d have $50 billion left over.

That’s enough to pay for two border walls with those golden doors. Made of actual gold! It’s a win-win. Instead of bickering, Chuck and Nancy and Donald could call for a “group hug.” While Mike Pence watches silently.

Dave's Commentary

Dave Ross on KIRO Newsradio 97.3 FM
  • listen to dave rossTune in to KIRO Newsradio weekdays at 5am for Dave Ross on Seattle's Morning News.

Dave Ross

drivers data insurance...

Dave Ross

Ross: As cars release driving data to insurance, is your driving my business?

Every move you make, every swerve you take, every lane change you fake – someone’s watching you. Do drivers have a right to keep driving data private?

17 hours ago

rent control...

Dave Ross

Ross: Rent control was never the answer in Wash.

The rent control bill died in the Washington State Legislature this week, even though Democrats control both houses.

21 days ago

end of democracy...

Dave Ross

Ross: Conservative activist earns applause for pledging an ‘end of Democracy’

The theme from Jack Posobiec's speech is that Jan. 6 was a righteous attack not on democracy, but on those who threaten democracy.

22 days ago

Image: Rep. Lauren Boebert, R-Colorado, is seen on Capitol Hill on Jan. 6, 2023. (Photo: Alex Brand...

Dave Ross

Ross: Voters can help cull bad politicians from the herd early

Let's remember that just about every occupant of a higher office once occupied a lower office, and was put there by us, Dave Ross says.

29 days ago

Super Bowl celebration...

Dave Ross

Ross: The NFL does it again

The NFL once again put on a show that was able to keep me tuned in for four hours even though I had no stake in either team.

1 month ago

social media...

Dave Ross

Ross: Is the Wild West of social media over after Senate hearing?

The original social media business model was genius -- get ordinary people to create content for free, sell ads and give the content creators a cut.

2 months ago

How to solve the tax gap, erase the deficit, and build a wall