**COVER PAGE**

From:

Roland O. Peterson

22 Ravenswood Road

Waltham MA 02453-1746

To:

The President's Advisory Panel on Federal Tax Reform

1440 New York Avenue NW

Suite 2100

Washington DC 20220

Subject: Request for Comments #1 (Posted February 16, 2005)

**1. Headaches, unnecessary complexity, etc.:**

There are too many required worksheets. For example, there is absolutely
no need for the Social Security benefits worksheet in Form 1040
instructions page 25. All S.S. benefits should be taxed uniformly on at
least 100% of amount received. The progressive tax rate can protect poor
S.S. recipients from excessive S.S. benefit tax.

Of the many silly worksheets, and schedules, the Alternative Minimum Tax
is a prime waster of compliance time. A better and simpler of taxing
property owners should be possible.

In general, please **eliminate the need for the word "if"** in your
instructions. This would keep calculations simple and easier to
understand.

The tax table should be eliminated to save paper, reduce error, reduce
eyestrain, and simplify automatic calculation. Most of those calculating
taxes can use a calculator. A simple formula could be:

Tax = a% of amount over A + b% of amount over B +

c% of amount over C + \...\...\...

**2. Aspects of the tax system that are unfair.:**

The horrible complexity of the required calculation of tax obligation is
grossly unfair.

Also unfair is the cancellation of some Form 1040 Schedule A-Itemized
Deductions. For example Line 1 Medical deductions should be fully
deductible instead of only the amount after reduction by the Line 4
amount. Similarly, "Job Expenses and Miscellaneous Deductions" should
not be reduced by the Line 26 amount.

**4. Goals that the Panel should try to achieve as it evaluates the
existing tax system and recommends options for reform.:**

Complexity should be reduced to make calculations easier and thus less
prone to error or misinterpretation.

If the Administration believes there is at least a reasonable
possibility of global warming due to buildup of greenhouse gasses, there
should be enacted a carbon tax on all carbon-containing minerals taken
from the earth. Of course depletion allowances and other energy
subsidies should be ended immediately. For a carbon tax to not be a sad
joke, it must apply to every entity, including those of government, the
poor, and non-profits without any exception. Minerals in the ground
should be in part considered property of the people. Thus, the people's
government should collect a tax when these minerals are removed from the
ground. It could be argued that in-ground minerals belong to the people
of the world. Thus, imports should be taxed on their estimated mineral
carbon content.

The United States of America should enact a uniform tax on all imports
from all countries, with the exception of those countries that have
"free-trade" agreements with us. There should be no other restrictions
on trade with countries that are not at war with us. Of course, national
security should dictate what items may be exported and to whom.

In conclusion, please consider replacing or supplementing the present
income tax with a sales tax and a carbon tax.

Roland O. Peterson telephone 781 899 5266

\-\-\-\--Original Message\-\-\-\--

From: ROLAND O PETERSON
\[[[mailto:deadeyed2@juno.com]{.underline}](mailto:deadeyed2@juno.com)\]

Sent: Saturday, March 12, 2005 4:00 PM

To: comments

Subject: Federal Tax Reform

President\'s Advisory Panel on Federal Tax Reform:

Attached are some of my hopes for tax reform.

Roland O. Peterson telephone 781 899 5266

22 Ravenswood Road

Waltham MA 02453-1746