I favor a three part tax system: a Value Added Tax, so that everyone pays; a Business Income Tax - essentially a hidden VAT - to fund social insurance, medical insurance and income support to both families and the poor; and a high income personal income tax to fund overseas military operations (because in times of crisis we borrow the money anyway), foreign aid, net interest and debt repayment. In times of real national mobilization (on the order of WWII) the income tax threshold would be reduced to capture moderate income. If the debt were paid off and overseas commitments eliminated the income tax would sunset. The income tax should not be cut until then, however. In order to make sure that there is no bleedover with the income tax supporting domestic spending, establish regional caucuses to fund regional domestic spending (both military and civil) and set regional VAT and BIT rates and benefit levels (which allows tailoring of tax credit levels to fit local economies).