competition is the absence
To answer your question, the government would have less control over those activities. Without a really complicated tax code, how can politicians easily favor preferred constituents?
The only problem with the flat tax is the timing. With the defecit at 12 Trillion dollars we need to pay it off and I don't know if this would hinder such an effort.Realistically speaking the politicians are not going to give up the power they have over us with the IRS tax code. I doubt a flat tax would ever pass.
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