I actually prefer this solution:
Under FairTax, the tax disadvantages of American-based companies operating in the USA vanish, and we could become just about the world's friendliest place to conduct business.
I actually prefer this solution:
Under FairTax, the tax disadvantages of American-based companies operating in the USA vanish, and we could become just about the world's friendliest place to conduct business.
(we could do both)
Just saying.
+1 on the Fair Tax.
A 100% tariff would mean all our trade partners would retaliate in kind, killing foreign demand for our own exports (steel & coal, for example, are seeing huge increases in export demand). And the fact is we cannot produce all that our industry and consumers demand (oil for example), or as cheaply. The result would be an tax-induced inflationary trend, reducing our individual buying power. No thanks!
I like the idea of a flat tax set by the spending bills passed for that year.
Pass the military budget? Add 2% to the tax rate.
Pass the HHS budget? Add 3% to everyone’s tax rate.
Pass any other spending bill for the upcoming year? Add an equal percentage to everyone’s tax rate, an amount set by the need to cover the costs of that spending. There are several problems with government spending, but one of the biggest is the perception that this is OPM (Other People’s Money) and not real dollars.
If the leeches and their supporters didn’t see Uncle Sugar’s spending as coming from soaking the rich (which is wehere it at least seems to come from), they’d be a whole lot more thoughtful on how they spent our tax dollars.
BTTT
The FAIRTAX, along with the dismantling and rebuilding with original intent of the Federal bureaucracy is what’s needed.
Government spending at all levels is currently 36% of GDP. I my opinion, it should be no higher than 25%.
My recommended GDP distributions:
15% Federal
7% State
3% Local