The FairTax:
Enables workers to keep their entire paychecks
Enables retirees to keep their entire pensions
Refunds in advance the tax on purchases of basic necessities
Allows American products to compete fairly
Brings transparency and accountability to tax policy
Ensures Social Security and Medicare funding
Closes all loopholes and brings fairness to taxation
Abolishes the IRS
Refunds in advance the tax on purchases of basic necessities
It certainly didn’t take long to come up with the first exemption did it? After this one, there will be many, many to come as Congress screws with the bill to ensure their reelections.
How? Does Jim Smertz who only spends $15,000 a year in the purchase of goods get the same retirement as Bill Poof who purchases $45,000 worth of goods a year? How would the government know who spent what??????????
Well, the answer to the Social Security question would have to be the same-old-same-old thing as the current IRS paperwork and proof.
The 23% fairtax includes social security and medicare and NO ONE will ever pay the full23% because of the prebate.
Your social security wages will continue to be reported to the social security administration just as they are now.