The FairTax is the solution - make the Poor (and Criminal and Undocumented) pay their fair share.
Also, tax consumption, not production.
Finally, the IRS and other intrusive government agencies will no longer have an excuse to keep your personal statistics on file...
I LOVE the Fair Tax!!!
So the high earners can spend all their money outside the country to avoid the 30% sales tax ?
The top 1% of earners spend $2T a year in the US today. The FairTax expects to collect over $400B a year on that spending. If just that 1% goes expat and spends their money outside the US instead, that $400B is going to cause a pretty big hole in the “revenue neutral” FairTax calcs, don’t you think ?
The FairTax is a pretty blatant attempt to shift the taxes — including shoring up SS/M —onto the high earner-spender, while untaxing the low earners even more than they are now.
You know how subsidies work, right?
I’ve often wondered why some enterprising economics student would set up a game in which the poor would get taxed.
Imagine you set a minimum income threshold, say $15,000. Below that amount you’d be taxed at 50%. Above that amount you’d be taxed at a normal rate.
Would we cure poverty and end welfare abuse all in one stroke?