Well, mostly because it's not a lie. You may not like what we have to say on the topic, but what we say is truthful:
the FairTax will encourage a shift from legitimate economic activity to underground economic activity; no currently underground activity will be shifted to the legitimate economy.
All the FairTax does is shift the point of taxation from money entering the underground economy to money exiting the illegal economy.
All the money that enters the illegal economy is now taxed ... even if it subsequently leaves the US. Under the FairTax, all the money entering the illegal economy will be untaxed, and if it leaves the US will be NEVER taxed.
No it is not truthful. It is anything but. But I guess you will continue to post it nonetheless.
Why are you so wedded to the income tax? Do you enjoy economic slavery?
the FairTax does nothing to tax the underground economy;
Incorrect, as I'll show.
the FairTax will encourage a shift from legitimate economic activity to underground economic activity; no currently underground activity will be shifted to the legitimate economy.
If we have to accept the first part of this as true, then the second part is equally false. There is plenty of current underground activity that would be shifted to the legitimate economy -- specifically, cash-under-the-table payments that currently avoid income and payroll taxes will be entering both the legitimate and illegitimate economies, so you can't say that current illegal activity under the current system will not be captured under the NRST.
All the FairTax does is shift the point of taxation from money entering the underground economy to money exiting the illegal economy.
Nonsense, see above. You're using a very artifically narrow view of "illegal economy" in order to ignore the facts that destroy your argument.
All the money that enters the illegal economy is now taxed ... even if it subsequently leaves the US. Under the FairTax, all the money entering the illegal economy will be untaxed, and if it leaves the US will be NEVER taxed.
Again, a fair amount of the money currently entering the illegal economy is currently untaxed. And while its true that money earned in the US under the NRST would not be subject to the NRST if it leaves the country, likewise, money entering the country to be spent here that wasn't earned in the US would be subject to the NRST.
All that aside, we also get the case of the illegally-paid worker, who, in many cases, is not a legal resident anyway. Anything they spend for food, housing, etc., will be subject to the NRST, but these illegals do not get the FCA, and so have an effective rate equal to the marginal rate. Works for me.