[phil_will1]

"So there is already one built in loophole? How many more will follow?"

Boy, THERE'S a reason to support the current system if ever I heard one. The FairTax might have "loopholes"!!!
We certainly can't have that, can we, AR??

AR, you are aware that CCH tallies the current system at more than 60,000 pages of "loopholes", right?

Just as an FYI, the FairTax is a consumption tax. Education is not considered to be an item of personal consumption. It is treated as an investment. From a taxation standpoint, it certainly is closer to an investment than it is to consumption.

Next I guess we will hear that investments should be taxed under a consumption tax also, that exempting investments is a "loophole".

[lewislynn]

Next I guess we will hear that investments should be taxed under a consumption tax also, that exempting investments is a "loophole".

And you don't think that's possible.

As you know some investments would be taxed. Interest earned (or paid) over a predetermined percentage with changes monthly would be taxed and so would any fees for investing.

[Always Right]

Boy, THERE'S a reason to support the current system if ever I heard one. The FairTax might have "loopholes"!!! We certainly can't have that, can we, AR??,p> How do you think the current code got so big? It is just an indication to where this is headed. You give college tuition exemptions, but you don't give local school districtions exemptions. The day after the fairy tax law goes into effect, local school district payrolls go up 22.22% (29.87%-7.65%). How do local school districts deal with that???? Layoff 1/5th of the teachers????? Of course this applies to all government services, not just teachers. But there are things about this plan that are simply moronic.