Didrickson touts flat tax plan

Underscoring her campaign theme of smaller, smarter government, Republican candidate for U.S. Senate Loleta Didrickson railed against the embattled federal tax code Tuesday, calling for a flat income tax system similar to that of Illinois.

In an election year when politicians are clinging to tax reform proposals like babies to security blankets, Didrickson’s proposal comes as no surprise to tax experts like David Johnson, SIUC professor of law. As Johnson points out, a flat tax does nothing to simplify government, but serves merely as a superficial campaign promise. Notions of streamlining bureaucracy through the implementation of a flat tax is political rhetoric at its finest, says Johnson.

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It’s pure politics, he said. It has nothing to do with anything except politics. The simplification argument is ridiculous.

If you have a tax code, it’s going to be complicated.

Didrickson argues the current tax code breeds a high level of corruption and unfairness. A progressive tax, she says, discourages economic growth and allows for the wealthy to circumvent the system. Furthermore, it undercuts the American dream in an attempt to redistribute income, penalizing the affluent merely because of their affluence.

Johnson, like Didrickson, views a progressive tax as unfair. However, instituting a flat tax is implausible because it would never survive congressional scrutiny, he said. In its place, Johnson contends a two-tier system resembling Reagan’s ill-fated 15/28 plan instituted in 1986 be considered as an alternative. The system, which lasted only a year, eliminated graduated tax rates in favor of two fixed rates, 15 and 28 percent.

Frank Tebow, a Didrickson supporter from Carbondale, favors a flat tax rate, but says its success depends upon how it is structured. Tebow contends a flat tax inherently is fairer and would be instrumental in streamlining the Internal Revenue Service.

It really depends on what the legislation is though, and how it might apply, Tebow said. But let’s face it, a tax is a tax. Why should you be penalized for making more money?

Didrickson could not pinpoint a desirable flat rate. Rather, she said, Congress must sponsor an extensive debate on the subject and determine an acceptable level.

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Didrickson touted her tax proposal and other economic initiatives during a campaign stop in Carbondale Tuesday. About 70 people attended the press conference, which also served as an unveiling of Didrickson’s new downstate headquarters, located at 2015 W. Main.

In discussing fiscal management, Didrickson touched on the need for overhauling endangered programs like Medicare and Social Security. With the money derived from a budget surplus, Didrickson would attempt to stabilize these programs.

That has to be our first priority, she said.

Didrickson also spoke about the showdown in Iraq, calling the nation state a hot spot. Though she did not offer a specific course of action, Didrickson said that weapons inspections must continue in an effort to secure peace.

The issue of campaign finance also surfaced as Didrickson chastised rival candidate State Sen. Peter Fitzgerald for spending more than $2.5 million dollars on media since September. Didrickson admits she can not compete with the Inverness millionaire in fundraising but said she has the edge in a grassroots campaign.

Our counterpunch is to have real people, in real counties, in real precincts out there campaigning for us, she said. Elections aren’t for sale.

If Didrickson wins the Republican primary, she will face incumbent Sen. Carol Moseley-Braun in November. Didrickson was elected to the post of Illinois comptroller in 1994 after serving in the General Assembly for 12 years.