Current tax policy in the United States is very confusing and is very costly to our government to administer. It is in the best interest of our country and its citizens to revise or replace our current tax policy. Although most taxpayers agree that tax reform is necessary for our country, the problem they face is the difficulty they experience when trying to understand all the policy terms. used in discussions about tax reform. This document is intended to help our nation's taxpayers better understand policy terminology and become more familiar with some of the proposals that have been explored. Like most taxpayers, many politicians also agree that tax reform is needed in the United States, but that is where the agreement among politicians ends. Michael Kinsley states that “reform is any change to the tax code that you favor” (1). Depending on each taxpayer's personal income situation, what one person prefers may be very different from what another prefers, which is why tax reform is so complicated. The problem then becomes determining what is the best approach to take, how to do it and when to do it. Alvin C. Warren, Jr. explains that there are three different options that could be used to reform our taxation. policy; improve an existing tax base, introduce a new tax and rationalize the relationship between taxes (2). In the United States, tax reform has generally resulted in “a refinement and improvement of the income tax” (Warren 2). Improving an existing tax base should not be done in a single step but in incremental steps. “Years of no results have taught conservatives the virtues of incrementalism” (Ponnuru 2). Another option Warren explained was to introduce a new middle of paper... investing in entrepreneurs to help fuel the American dream. Many jobs could be created thanks to this new source of capital. Works Cited Foster, J.D. “Even Money.” Policy Review, Summer 1995: 24+. Alt-Press Shows. Internet. March 28, 2011. Gale, William G. “Flat Tax.” Tax Policy Center. Urban Institute and Brookings Institute, October 1, 1999. Web. April 3, 2011. Kinsley, Michael. “Tax Reform in Plain English.” Honest!" Time December 9, 2002: 58. Academic OneFile. Internet. March 31, 2011. Ponnuru, Ramesh. "The perils of tax reform: Frankly, it's better to be small and shy than big and bold." National Review December 13 2004: 32. Academic OneFile Internet. March 31, 2011. Warren, Alvin C., Jr. “Three Versions of Tax Reform.” William and Mary Law Review 39.1 (1997): 157-75. March 31. 2011.