How Can We Fix Big Money In Politics

A unproblematic fix for large money in politics: Tax campaign spending

David Koch in New York in 2011. (Mark Lennihan/Associated Press)

The writer graduated in July from Pompeu Fabra University in Barcelona with a master's degree in political philosophy.

The injection of vast amounts of money into our electoral system is creating a climate in which the interests of the bulk are overshadowed past those of a wealthy minority. Large balloter expenditures by affluent individual groups tin substantially enhance the bar to entry for those with fewer resources. The resulting growth of inequality in political influence threatens the workings of a legitimate democracy that reflects the wishes of all citizens.

There is a simple way to level the playing field.

What if we taxed campaign expenditures? Such an approach could offering a feasible alternative to the other campaign finance reform ideas ordinarily discussed, including contribution limits, public funding schemes such as the one recently passed by voters in Seattle and ramble amendments.

We already know that tax can influence activities such as tobacco and booze consumption. Why non apply the aforementioned incentive-based, corrective strategy to campaign spending? Under such a system, a political action committee or other advocacy organization'due south expenditures could be made subject to a "campaign expenditure tax" if the group were partially or solely taking part in efforts to elect or defeat a candidate or election initiative.

This revenue enhancement would exist similar to a value-added revenue enhancement or sales tax and be applicable to well-nigh all expenses made by politically active organizations, but how information technology was designed would matter greatly. To tamp down on overall spending, it could exist made progressive, with rates prepare co-ordinate to each organization's full election expenses. Campaign spending under $1 one thousand thousand might be taxed at, say, 30 pct, while spending from $1 million to $10 million could be taxed at sixty percent and that over $ten million at xc percentage.

But this arroyo would not take business relationship the number of donors to an system, as ii organizations spending the aforementioned amount would exist taxed at the same charge per unit even if one had a handful of donors and the other had several thousand.

A more intriguing method would be to apply the tax based on the number of donors. To foster equal recognition of all, each donor could exist associated with taxation-free entrada spending of up to $ii,700, the maximum an individual may requite straight to a candidate nether federal election constabulary. That is to say, an system participating straight in an election could spend $2,700 revenue enhancement-free for every donor it has, regardless how much he or she donated.

If an organization received donations from i,000 individuals, it could spend $ii.vii  million taxation-free, but whatsoever additional expenses would exist taxable. I'd suggest a 100 pct rate for all expenses beyond the donor-based limit. Thus, an system willing to buy a TV advertizement for $100,000 after it crossed its tax-free line would have to pay $200,000. To allow for ongoing spending, donor totals could be readjusted every week or and so every bit a campaign progressed, and maybe an initial $250,000 in expenses could be considered taxation-costless regardless of the number of donors.

Such a donor-based system would promote political equality among the citizenry past heavily taxing the most affluent organizations promoting the interests of a small set of wealthy people and groups, while incentivizing organizations to augment their appeal to more than sectors of order.

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Source: https://www.washingtonpost.com/opinions/a-simple-fix-for-big-money-in-politics-tax-campaign-expenditures/2015/12/01/3ed2a60e-4dba-11e5-84df-923b3ef1a64b_story.html

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