Posted on 08/18/2011 11:21:36 AM PDT by bthockey
For the past couple of weeks, I've been looking into the Fair Tax, a tax law that is picking up a lot of momentum since many GOP candidates, including Herman Cain, support it. For those who don't know what the Fair Tax is, it is essentially a national sales tax of 23%. Even though that might not sound too pleasing, what makes the fair tax so great is that it abolishes all other federal taxes. Income, capital gains, and payroll taxes would all cease to exist.
To bring support to the Fair Tax, which I believe is much better than our current system, I created a list of 4 reasons why you should support the Fair Tax.
(Excerpt) Read more at thebandofpatriots.com ...
Except for the ones that it doesn't and the ones that they add later.
Adding on the state and local sales taxes would make the effective sales tax somewhere between 30 and 40 percent.
There would be huge tax evasion, bartering, underground sales, etc.
what congress will do is exactly what CT did - they found a new pocket to pick (in this case income tax) promised to lower teh sales tax in exchange, but both are higher than ever.
this is merely another pocket to pick. they’re not gonna abolish the income tax, anymore than they’re gonna cut spending.
Nice Theory. It will never happen - the tax industry, and the 47% of the population that doesn’t pay taxes will ensure it is DOA.
My personal objection to it is that the voters of this country aren’t smart enough to repeal the 16th Amendment. Otherwise, we will see a sales tax on top of income tax.
And if you that Congress will keep the flat tax and make everyone pay the same rate, you are naive. We both know that in the very bill that creates the flat tax there will be goodies for various companies so that they either don’t have to pay it or they will pay a reduced rate. And every year it will get worse and then they will start changing the rates to make it more “fair”.
No, the fair tax will not go into effect until the 16th Amendment is repealed.
Much better, but far from perfect.
I’m not sure what one’s consumption level has to do with his requirment for supporting government overhead.
Still, a big positive step away from the tangled, politically-loaded, corrupt mess we are saddled with currently.
Our government back then lived off excise taxes and imposts.
Prosperity will not return as long as an unrestrained income tax exists.
F R E E D O M ! ! !
The communist inspired, class warfare inducing, income tax is unworthy of a people that would call themselves free!
This is why the Fair Tax must be a Constitutional Amendment, not just a law. Any real tax reform bill which doesn’t begin with the section “The Sixteenth Amendment to the Constitution of the United States is hereby repealed” is a non-starter.
The states gave up their power to appoint senators, white men shared the vote with women, white society eliminated black slavery.
While I would not bet on it, don’t count the FT out.
Herman Cain has taken a stand. Every Republican Presidential candidate should be required to present his/her policy on tax reform. Anyone who will not pursue a radical change, destroying the IRS and ending use of the tax code to redistribute wealth and coerce citizens, should be eliminated from contention.
The US trade balance is roughly $600 Billion per year. The Fair tax would increase tax revenue to the US treasurey by over $100 Billion without increasing the US citizens tax bill one cent.
if you think for one minute that congress is gonna enact this sales tax and abolish the income tax, you are sadly naive. a flat tax that includes all Americans is more fair, less complicated, and cheaper than this monstrosity.
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What you said. And besides. It would require poor people to finally own up to and pay their fair share of the burden that is currently left to “rich white folks”.
And we all know Obama-trons would NEVER support that idea.
You got a problem with that?
Both statements are patently false and indicate a complete lack of knowledge of the subject!
So, you think a 28% sales tax is OK? You think it’s going to do away with our income tax and other taxes we pay to the Federal Government?
I think you have been lead astray by the “smoke and mirrors” placed before you. Stop and think...how about the horrendous Socical Security tax at 8.4% and the medicare tax of 2.9% too? You have to remember that the employers matches the tax on your behalf and the system is designed so that you have no idea that they are. I know, I’m an employer. So if you hear the lie that your Social Security tax is only 4.2% and your medicare is only 1.45%, you have been fooled. It is a full 12.6% based upon your GROSS UNADJUSTED EARNED INCOME!
Now add the wonderful 28% sales tax to the even more ominous and wonderful Social Security taxes and you have a tax rate of 40.6% of your income. THAT’S JUST WONDERFUL! A note to employees: The money your employers hides from you to pay the Social Security taxes is YOURS! Not his! You simply don’t see it due to the “smoke and mirrors” placed before you by the politicians of past.
Until we develop a tax system in which EVERYONE (and I mean EVERYONE) pays the same rate of tax, regardless to income or financial situation...with NO EXEMPTIONS what-so-ever, AND do away with the Social Security taxes, we will never have a workable and fair tax system.
What they don’t want you to know is that a sales tax rate of an estimated 15% would be enough to pay all governmental costs if EVERYONE PAID THEIR TAX AT THE SAME RATE-———Everyone!
I agree and I also like how it smacks everyone in the face with the cost of government largesse with every purchase that they make! I can’t think of a more visible and immediate way to get people on board for reduction in government.
It punishes those who saved for their retirement by adding a new high sales tax to income taxes already paid on their savings.
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