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To: Always Right

the calculator may be full of errors, but the concept is still good.
Yes, I may have a 6000 tax bill on the car, but unlike income tax, if I do not buy a new car, I don't have to pay the tax anyway. I'm not dumb enough to think the government won't get the same amount of revenue, just distribute the way it is accumulated more fairly.

There is no penalty for saving money - you don't pay tax on it until you spend it.

Everyone pays tax at approximately the same rate, not putting > 50% of the tax burden on the top 3 % of income earners

You get your full paycheck, and then you get to see what the government actually takes from you - no frog in the water syndrome with withholding. I actually know people who overwithold so they "get money back from the government!" HELLO, THIS IS YOUR MONEY IN THE FIRST PLACE

No taxes to file in April, less tax accountants, much less need for IRS employees, the benefits just go on and on.


405 posted on 10/22/2006 8:23:58 AM PDT by Mom MD (The scorn of fools is music to the ears of the wise)
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To: Mom MD
No taxes to file in April, less tax accountants, much less need for IRS employees, the benefits just go on and on.

If you want to support fair tax for legitimate reasons, that is great. There are many positive aspects of the plan. Personally, I am in the home building business, and I think a 30% tax on new homes will destroy the new home industry. I also don't like the idea that it is a tax on my accumulated wealth that I already paid taxes on. If someone wants to make an honest case for the fairtax, that's fine with me. But when they put out propaganda like the fairtax calculator or many of their other exaggerations, I will call them on it.

407 posted on 10/22/2006 8:32:39 AM PDT by Always Right
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To: Mom MD
Despite the carping you see from the FairTax opponents (who obviously have various "agendas" that lead then to fight the FairTax), the FairTax Calculator gives an accurate effective FairTax rate assuming the numbers you input are reasonably accurate.

It yields a valid figure that at least one of the "antis" tried to characterize as not being believeable (thinking it was too low) simply because his own idea of an effective tax rate was 23% tax inclusive - which no one will ever have under the FairTax. When you are fixated on opposing a plan like the FairTax, you can't admit that it might help you.

But by all means, use it and get a very close idea of the effective rate you'd have - most taxpayers have no idea. What throws most people is that they hear the demagoguery that "... everything will cost 30% more ..." (or 50% per one Georgia Boy) which simply ignores the many things untaxed under the FairTax and which reduce your taxable income. For example things such as:

1) Mortgage payments (p&i both).
2) Other loans and credit cards (p&i also).
3) State and local taxes including property taxes.
4) Educational tuition payments.
5) The entire amount of savings/investments.
6) Money contributed to church/charity organizations.
7) Money given as gifts to others or political contributions..
8) Used items such as real estate, cars, furniture, etc. 
      on which tax has already been paid.

All these reductions in your taxable income make a sizable difference in most cases from your present effective income tax rate.

411 posted on 10/22/2006 8:58:54 AM PDT by pigdog
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