Posted on 04/13/2005 11:42:59 AM PDT by LibWhacker
The $600 would get taxed when (if) the painter bought something with it. (Assuming, of course, that his purchase wasn't an under the table deal as well).
I really like your giant yard.
FairTax would catch most of this......
Folks would at least have to consciously go out of their way to evade a retail tax.
As it stands now cash income is essentially ignored and untaxed unless the individual takes an extra effort to track and report it, Just the opposite of a retail sales tax that is collected with purchase and remitted by a certified business.
A Taxreform bump for you all.
If you would like to be added to this ping list let me know.
John Linder in the House(HR25) & Saxby Chambliss Senate(S25), offer a comprehensive bill to kill all income and SS/Medicare payroll taxes outright, and provide a IRS free replacement in the form of a retail sales tax:
H.R.25,S.25
A bill to promote freedom, fairness, and economic opportunity by repealing the income tax and other taxes, abolishing the Internal Revenue Service, and enacting a national retail sales tax to be administered primarily by the States.Refer for additional information:
Sorry, I'd rather stick to a low flat income tax.
You and many others are taking that quote out of context.
When Christ said that, he was pointing out that GOD owned czar, and that everything that czar has is GOD's.
So in other words, czar has no claim to anything, GOD has claim to all.
Unless the painter took the $600 cash and burned it, the Fair Tax will catch it when he spends it.
In a govt. 'Of the people, by the people, and for the people', we 'the people' are caesar with the govt. in the role of servant.
You need to do your homework and actually read H.R. 25.
Yes the money would be taxed when the painter bought something with it, but it would not be taxed when the houseowner earned it.
The transaction not being taxed is the transaction from the houseowner to the painter, it really makes very little difference wether you are not taxint the transaction as painters income or not taxing it as houseowners expense.
She's just a typical liberal.
When the painter takes that $600 to the grocery store, to Wal-mart, hardware store, to the restaurant, to the mall, it will be taxed. Under a retail sales tax, the tax can only be avoided if that money is saved or invested.
2005 Nominee, Dumbest Statement of the Year. ;)
I live in LA and worked one year as a tax interviewer for H&R Block. The musician and actoid types -- the big socialists -- were also the biggest, sleaziest tax cheats we ever saw in there. Any movie an aspiring actoid rented qualified as a deduction in their eyes. Some would just tell us to "make" the deduction in this or that section "bigger". We would comply -- we had to -- but we would tell them that it would be on them if they were audited. We would put notes along with the return on sending them back to the local Quality Control office saying that we gave the taxpayer that disclaimer so H&R would be covered.
If someone paid a painter $600 in cash under the table to paint his house, how would the FairTax catch this?
The painter (whom I assume is not certified as a business open to be monitored) would be paying tax on his purchases for materials as well as taxes on everything he buys in a legitimate business. Same is true of the person hiring the painter.
Only $300B?
How about the whole drug trade?
Tired of people freeloading? Tired of criminals getting a 30% bonus for being criminals?
SUPPORT NRST!
A national sales tax, YES. And at the wholesale level ONLY.
It would "catch" the painter on the spending side, same as you and me. It puts us on equal footing with the underground economy.
Note that most estimates of NRST rates don't tak ethe underground economy into account.
If the 15% in the article is right, NRST could be significantly cheaper than current estimates. I suspect the 15% is low, especially with all the illegal immigrants we have nowadays.
A wholesale tax is call a VAT. It is also applied at retail, in most cases. NRST taxes only retail - it taxes stuff that is consumed.
A wholesale VAT would not extract money from the underground economy.
Have you even read H.R. 25?
There is just something utterly immoral about the idea that every time money changes hands it should be taxed. They really could legally go after kids running a lemonade stand, or kids who get $5 checks from their grandparents. That is just plain evil.
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