How will taxpayers react to a double-dip recession? What will happen to stocks if thousands of investors cash in this year to avoid higher taxes on their investments next year? What will happen to the economy when these kinds of massive tax changes occur because nobody did anything to stop it?
Perhaps fears of taxmaggedon will propel lawmakers into meaningful action, to setting aside their differences long enough to develop a fairer, saner tax code — even if they do it just to save their own jobs. It’s time that Washington stopped “kicking the can down the road” and started working for the people to repair a broken tax system. Until it does, American taxpayers and the global economy face an increasingly scary future.
Christopher Bergin is president and publisher of Tax Analysts.