Everyone pays a flat 30% income tax with no deductions for anything, except retirement plans. Individuals are exempt from their first $10,000 of income, married couples are exempt from the first $20,000 plus $5,000 for every kid under 18. (Singles also get deduction for child care.)

Capital gains and dividends will be tax free for the first $100,000 and then taxed at 15% above that .

It is progressive. A married couple with two kids can make $30,000 tax free, and earn interest tax free to help build up savings.

A retired couple could earn $100,000 in unearned income tax free.

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