Free Republic
Browse · Search
Smoky Backroom
Topics · Post Article

To: pigdog
The items you highlight in red - and in fact most of the content of your post deal with tax evasion (in the form of unreported or underreported income) which is a different matter than black market activities which relates to the unlawful selling of things outside of the tax system.

The full series of articles deals mostly with Eastern Europe where the selling of untaxed goods is rampant on the black market.

Your claim that taxpayers would buy things by bribing a merchant with, say, a 5% bribe holds little credence since the seller would under the law still be liable for the full 23% tax. Why should he risk his business for a measly 5% to help you (or anyone else for that matter) when the 23% is not paid for by the merchant but by the buyer - and the merchant has agreed in writing to collect the tax and is paid to do so. That would be theft of government funds.

So, a 5% cut for an out of the back of a car trunk sale is too little a cut for you, the seller?

Fair enough.

Let's split the profits of the tax crime 50/50. I, the buyer will pay 111.5% of the sale plus tax price and get an 11.5% profit and the seller will pocket that 11.5% of the price tax free.

And, who is to catch us?

According to the Fair Tax advocates, after the Income Tax dies, there will no longer be an IRS and there will not a be a Tax Police to replace it.

No Tax Police = No enforcement = No risk = Easy $$$$ on the black market.

Don't fool yourself.

With every sale having a total profit potential of 23% to be split however the buyer and seller agree to split it, the "under the table" economy tempatation will be high and the Tax Police will be on it like pitbulls on a pork chop.

818 posted on 10/24/2006 3:50:31 PM PDT by Polybius
[ Post Reply | Private Reply | To 812 | View Replies ]


To: Polybius
Well how about presenting and serious study you have that shows how this might operate, how the seller can avoid prosecution for very long, and how much total money is involved, Is this 10% of tax revenue? 20%? 0.000000000001% (or less).

What are we talking about here in the way of money. You not only have not characterized the amounts involved but you have made no convincing case at all that such activity could or would flourish.

Unless you have more bee-bees in your gun that that it's hardly worth discussing. So lets see how much we have today under the income tax and show us how that is then likely o increase under the FairTax. Information, please.

So far you've given none.

831 posted on 10/24/2006 4:46:53 PM PDT by pigdog
[ Post Reply | Private Reply | To 818 | View Replies ]

Free Republic
Browse · Search
Smoky Backroom
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson