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The Republican presidential ticket proposing some big reforms to our tax system hair.
Doing away with some current taxes and keeping others bomber jets and.
Is on the story expect he's in DC today on what would be cut what would stay in this Romney Ryan tax plan rich.
Well -- -- campaign leaves many of those details up to congress governor Romney wants to cut all current income tax rates by 20%.
And in order to avoid adding even more money to the national debt the campaign says it will cut rates in exchange.
For eliminating tax deductions and in a Fox Business exclusive Romney running mate Paul Ryan says that tax plan.
Would mean a president Romney would pay more in taxes.
Here's how it works.
Higher income people can use lots of tax shelters to shoulder some of their income from taxation.
Close those tax shelters more their income subject to taxation.
That allows the lower tax rates for everybody.
Now in any revenue neutral tax reform some families and businesses will pay more because there would be fewer deductions.
Others would pay less with lower tax rates in theory it's all supposed to balance out.
Now among the more popular tax deductions and exemptions for -- Cost of workers' health plans interest on -- mortgages retirement plans deductions for state and local taxes.
And giving to charity again these are just the more popular ones there are many more in the Romney campaign refuses to say which -- -- target or how many don't need to eliminate.
And that's led to some analysis claiming that the middle class would pay more under this plan other groups say that that analysis cooks the books the Romney campaign says there's only.
One candidate promising not to raise taxes.
Back to you.
Rich can -- quick thing if you some people are gonna pay more taxes you are gonna raise taxes on those people.
You are going to not raise their tax rates -- you're going to raise their effective tax rates if you've got this big generous tax -- it goes away to pay for this thing.
You personally will pay more in taxes elsewhere it allows lower rates and someone to pay less in the end you're shifting things around.
And you get same amount of money people pay more people may -- the argument though is it's a more efficient.
-- tax system and will raise more money in -- -- economic growth fair enough I'm glad they're -- Rich it's thank you I'm not have a -- -- that -- impact.
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