Thompson unveils tax plan in Wis. Senate race

MADISON (AP) -- Tommy Thompson has released a plan to overhaul the federal tax system as he battles for the Republican nomination for U.S. Senate.

Thompson unveiled a proposal Monday, April 9th, that includes limiting federal revenue to 18.5 percent of the gross domestic product, giving individuals the option of filing a single-page, 15 percent flat tax form and exempting households that earn less than $100,000 from capital gains taxes.

He also would eliminate federal taxes on Social Security income, simplify the corporate tax rate to two brackets, 25 percent and 10 percent, and eliminate taxes on foreign profits that are reinvested in the United States.

Thompson, state Assembly Speaker Jeff Fitzgerald, investor Eric Hovde and former U.S. Rep. Mark Neumann all are vying for the GOP nomination.