Posted on 08/28/2007 4:39:18 PM PDT by Bigun
The People Must Demand The Fair Tax
By Doug Patton
August 28, 2007
Last year, during the United States Senate race in Nebraska, Republican challenger Pete Ricketts suggested that every option must be considered when looking at ways to reform our federal tax system. Among the list of alternatives Ricketts said should be on the table was a national sales tax known simply as the "Fair Tax."
The Democrat incumbent, U.S. Sen. Ben Nelson, launched an attack on his opponent that was, at best, distorted and condescending, at worst, irrational demagoguery. One would have thought that Ricketts had suggested stealing all the assets of the poor and handing them over to Warren Buffet and Bill Gates.
Recently, the panel of pundits on ABC's "This Week with George Stephanopoulos," discussing the apparent rise in popularity of former Arkansas Governor Mike Huckabee's presidential campaign message, scoffed at Huckabee's unabashed promotion of the Fair Tax.
George Will, the token "conservative" on the panel, brushed it aside with the disbelief of an elitist who cannot understand the burden of the average worker who would love to take home his or her entire paycheck, as the Fair Tax would allow him or her to do. Will opined that Huckabee's second place showing in the Iowa straw poll was even more amazing given the fact that "he supported a national sales tax of thirty percent, which means that if you buy a one million dollar house, you'll be writing a check to the government for three hundred thousand dollars." Of course, the others on the panel readily agreed.
The elites of this country, who buy those million-dollar homes, are not enamored with the Fair Tax. They would be if they took the time to understand its appeal.
The Fair Tax would replace all federal income taxes. No more federal withholding. No more Social Security withholding. No more Medicare withholding. No more stealing from the paychecks of American workers before they even see it and then pretending to give them a refund, without interest, at the end of the year. No more saving receipts for tax deductions. No more IRS audits. No more April 15th.
Instead, the Fair Tax would put us in control. All consumer items would be taxed. Business purchases would not. By allowing us to make the determination about what we buy and when we buy it, the ability of our legislators to manipulate our behavior is eliminated. That is why the elites don't like it. They can't control the public's spending habits under such a system.
The current federal tax system is broken. It cannot be fixed. Since the inception of the federal income tax with the passage of the 16th Amendment in 1913, federal corruption and control have turned it into a Frankenstein monster that torments the people and serves the special interests. A tax on a person's income is a tax on production, and as Ronald Reagan once said, "Whatever you tax, you get less of."
Because the poor are forced to spend a disproportionate percentage of their resources to cover the tax on necessities, the Fair Tax hits them the hardest. That issue can be addressed by simply issuing a "prebate" check each month to every household in the country. Unlike disingenuous tax credits, deductions, exemptions and other loopholes in the current income tax code, a prebate check is a clean, honest method of covering the sales tax on food, clothing and shelter - up to the poverty level.
Of course, removing the income tax on corporations will reduce the cost of everything we buy, since corporations don't pay taxes. They simply pass them along to consumers. The Fair Tax plan calculates that removing the corporate income tax will result in a reduction in the cost of virtually every consumer item on the market. In fact, it will just about offset the tax on those products. Imagine paying the same price for something but having your entire paycheck to buy it.
And then there are the billions of dollars that flow untaxed through our economy today: drug dealers, prostitutes, pornographers, foreign tourists. Imagine how much revenue could be raised simply by taxing the things those people consume.
There would be no more audits, no more justifying deductions, and April 15th would become just another spring day. But only if the people stand up to the elites and demand it.
The FairTax leaves in place excise taxes, like the federal gas tax. Its not hard to imagine that, from a politician's point of view, raising those taxes would be the way to sneak in tax increases without touching the NRST rate.
For instance, the gas tax is now 18 cents; the FairTax would tax the gas tax at 30%, so increasing the gas tax would automatically increase the amount of sales tax collected on a gallon of gas without increasing the FairTax rate.
What are you smoking?
http://www.marketwatch.com/tools/quotes/financials.asp?symb=NKE&sid=3409&report=1&freq=1
My profit model is far conservative. As you can see in the link, Nike’s annual profits before taxes exceeded 13%.
Furthermore, your statistics citing “90% of corporations paying no taxes” are wildly out of context as millions of corporations are in fact individuals or very small concerns.
Most businesses fail, so I would expect to see that most pay no tax. Try narrowing your sample base to viable businesses before shooting off irrelevant statistics.
First of all the FairTax does NOT tax the gas tax.
You need to sharpen a whole of thinking before you can join in at this level.
Even allowing for your error correction, the FairTax administers the gas tax which is earmarked for roads and bridges. Any increase in gas tax is completely constitutional as they are necessary for roads and bridges. It has nothing to do with 'sneaking' which is typical of your thinking.
The FairTax will eliminate insurance and state fees and licenses for business?
Eighty-five percent of shoes are manufactured in China. Chinese labor cost on shoes is one twentieth of US labor costs. The FairTax ain't gonna fix that.
The luxury tax KILLED a whole industry during its existence int he private boat business.
Pushing american business overseas is exactly what people compalin about.
This is NOT getting rid of paperwork in my business, you are adding to it.
NO WAY.
Thank you, I will tell as many people as possible this Fair Tax is a Sales Tax scam. The word is going to be the Fair Tax is snake oil which is just to create a new ENTITLEMENT TAX in the form of the PREBATE (?!)
Thank you for making this stupid idea crystal clear and opposition so fervent.
GARBAGE!
You do realize Glasnost was a marketing scam too?
Glasnost was a ploy by the USSR to appear to give freedom while crackign down on subtantive dissidents.
The Fair Tax, sales tax is a complete and utter snake oil scam.
Trading one set of onerous entitlement taxation for NEW and BIGGER entitlement programs with prebates is a recipe for disaster for business.
Fair Tax=garbage=snake oil
Typical of you to see things which do not exist in any discussion of the FairTax.
No mention was ever made that the FairTax would eliminate insurance or state fees and licenses for business.
But of course that will not deter you from spreading your disinformation and misquoting those that discuss the FairTax.
The FairTax is not a luxury tax.
And yes I am very familiar with Chris-Craft Industries and the effect the ill-fated and socialist minded luxury tax had on them.
If you were educated you would know that the FairTax replaces income and payroll taxes amongst others, it is nothing like a luxury tax. A luxury tax is a tax on top of existing taxes whereas the FairTax NRST is a replacement tax.
As I know persons inside Chris-Craft in Maryland, and as I have talked to them at length about the FairTax, I know they are excited about the advantages the FairTax will give them especially in international sales.
Disinformation!
And when Truth in Taxes enabling legislation is enacted, you will see the electorate swing wildly in favor of the FairTax.
What does "gross payments" mean?
Even allowing for your error correction, the FairTax administers the gas tax which is earmarked for roads and bridges. Any increase in gas tax is completely constitutional as they are necessary for roads and bridges. It has nothing to do with 'sneaking' which is typical of your thinking.
And the AMT was intended to make "rich" people pay their fair share of income taxes.
Have you ever thought to consider WHY that is?
Hint:
When the fairtax become law that situation will change very quickly with regard to shoes and many other things no longer manufactured in the USA.
First of all the FairTax does NOT tax the gas tax.Yes it would. What makes you think it wouldn't?
Oh, let's forward Hostage's statement on the role of women in the FairTax state to organizations like NOW.
Look it up yourself.
Didn't I suggest why in my post? I thought I did.
When the fairtax become law that situation will change very quickly with regard to shoes and many other things no longer manufactured in the USA.
Really? How? Remember labor is 20 times more expensive in the US than China.
Wild assertions based on gross conceptual errors.
Health insurance like all other products and services has federal embedded taxes in its cost and price structure. The FairTax is merely replacing these embedded taxes, so don’t insinuate that the FairTax is an additional tax, it is a repackaged federal tax in transparent form.
The rest of your calculations carry forward this error.
Look it up yourself.Excise taxes are part of the gross payment. The FairTax taxes gross payments. Excise taxes are taxed by the FairTax. The bill establishes a "Excise Tax Bureau" to collect these excises separately from the FairTax.
I’d like to see the statement you are attributing to me. Where is it?
Wild assertions based on gross conceptual errors.I guess "wild assertions" in FairTax speak is data-based evidence.
Health insurance like all other products and services has federal embedded taxes in its cost and price structure. The FairTax is merely replacing these embedded taxes, so don’t insinuate that the FairTax is an additional tax, it is a repackaged federal tax in transparent form.Currently employers get to deduct health insurance costs, under the FairTax they would pay 30% tax on them. How is this not an additional tax on the employer? Sure they may save in other areas but you have add up all the pluses and minuses.
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