Posted on 01/26/2023 4:41:48 AM PST by Hostage
FairTax gonna put a tax like 25% at the checkout stand ..... Say What?
Yeah, 25% sales tax ..... uh-huh ..... yep. Maybe 28%, yep.
I know what you're thinking: "OH HELL NO. GTFO!"
I was posting intensely ten plus years ago about the FairTax. Went to Houston, visited Leo Linbeck Jr. who has since passed on.
I studied the history of taxation. The initial GTFO! reactions did not deter, did not phase me. Why?
Because 51 years elapsed between a flawed unconstitutional income tax passed in 1862 (quickly repealed) and the 1913 16th Amendment.
..... 51 fricken years.
So there it was. A freaking huge sales tax and Leo was thinking he was going to sell the American public on this monstrosity? Then I learned how it works and ..... it was beautiful. Still freaky but a needed medicine, not harmful yet shocking, and importantly it would threaten those that focus their life on grabbing power for themselves taking out anyone in the way..
It was revolutionary. It was going to drain the Swamp faster than Schumer can find a camera.
Ok, so what's with this 25%, 23%, 30%, 28% whatever rate, federal sales tax? I mean like GTFO and don't come back.
I talked to Kotlikoff in Boston, we discussed its workings and he admired it in theory and principle but ..... he was like "In your dreams Dr. Chimp, NRST is too big, TOO BIG!"
Um-kay. 51 years.
McCarthy 2.0 .... ahem .... yeah Kevin type .... introduced the damn thing on the House floor day before yesterday. Ok, symbolic I know ..... but it gets the discussion going again. And well, some newbies here looking at this absurd FairTax idea will, if they dig a little, see the light and spread this thing around their social media bringing that 51 years closer, yep.
Ok, there are a lot of components of the FairTax. I am going to describe only two of them in short street parlance so you can be equipped to be a freak among your friends and enemies ..... but you'll be the smartest freak when it comes to this GTFO subject.
NUMERO UNO:
* The same 6-pak of paper towel rolls at Pick-and-Save under the FairTax costs $6.58 out the door.
It's not a mistake. Here's why:
You didn't see these supply chain taxes before, but now you do! Under the FairTax, all the federal ding-dong taxes along the way of the supply chains get right up in your grill!
You were blind, but now you see. And many of you will be screaming "Make me blind again!"
Ignorance is bliss.
But for you that get wise to these hidden pesty bites, you will likely be a little hot to say the least, and you'll want something done about it. Well ..... the FairTax gives you a means to vent. It requires Congress to vote on the federal sales tax rate every year. Over time you'll be able to see which way Congress is taking your federal sales tax rate. All personal and business income taxes are eliminated, only the FairTax is in effect on goods and services at the consumer endpoints, and ..... it will hit everyone right between the eyes.
That 6-pak of paper towel rolls sitting on the shelf today at $6.58? Under a 25% FairTax rate, it will sit on the shelf at $5.26 before taking it to the checkout stand and having a 25% FairTax (NRST) applied to it to bring it to $6.58.
Just to drive it home, why under the FairTax does it sit on the shelf at $5.26? Because all the business supply chain taxes are gone, finito, zero, zippo.
Nyet Comrade. Listen closely doofus one, "It's a tax cut!"
Say what?
Everybody from Warren Buffett to Pee Wee Herman to the panhandler at your grocery-mart gets a rebate. The rebate is set to the FairTax rate applied to the poverty level. If the poverty level for a single individual in your state is $1300 a month, then at a 25% FairTax rate, the rebate to that individual will be $1300 x 25% = $325.
This $325 are taxes you would pay when you spend the monthly poverty amount. But you get it rebated, which mans you pay no taxes up to the poverty line. So the REBATE IS A TAX CUT. The more the rebate is, the larger the tax cut.
Therefore, Conservative Americans will push for lowering taxes by decreasing the FairTax Rate and increasing the Rebate.
Class dismissed.
I predict some will not read what's written above and immediately start ranting it's too big , too big, too big! wah! wah! wah! Just watch, scroll down, you'll see them :)
“25% Federal Sales Tax at checkout?”
Europeans have what they call a value-added tax. I recollect a rate as high as 22%. It is collected at various stages to cut down on tax evasion.
a value added tax is different ... the national sales tax would only occur at the final retail purchase ...
I love the idea of a national sales tax as long as all income taxes are simultaneously made illegal.
I sort of lean toward a 10% basic federal income 1040 tax, which would up to say $5000 (on $50,000 of income) simply be a forced savings scheme to replace welfare. States would fund essential welfare services for those that have not generated enough savings.
Higher income folks would pay income tax on income above $50,000 to fund constitutional government operation.
Income tax on really high incomes would be devoted to national debt service so Democrats can’t buy votes by raising the taxes on high incomes.
The old age SS tax scheme would remain, unless your parents died and you chose to opt-out and fund your own retirement at FICA rates. FDR’s SS was initially a forced saving scheme.
“the national sales tax would only occur at the final retail purchase”
Oh, that, it was exported to Mexico.
“Because 51 years elapsed between a flawed unconstitutional income tax passed in 1862 (quickly repealed) and the 1913 16th Amendment.”
It’s quaint how they thought they had to go to the trouble of amending the Constitution. It’s disturbing that anyone fell for it.
“the national sales tax would only occur at the final retail purchase ...”
Pedro, do you drive a lot of our wholesale purchases to Mexico?
Si, Mr. Griffin, you work me very hard.
Any more question, Mr. Sales Tax Auditor?
Waaaay too complicated.
Just institute a flat %-age across the board and eliminate sales tax all together.
Ensures that everyone pays a fair share.
I didnt read through all of this...
What would become of state sales taxes? Would those be eliminated too? Or would this “fair tax” be on top of those?
It took 51 years for the political criminals to find a way to bamboozle their unsuspecting fellow politicians and the general public. They are STILL laughing from the grave.
And how would that be implemented? Congress would never vote for something that "requires" them to do anything. The only other option is a constitutional amendment. And the means Article V. Dead in the water.
>>Higher income folks would pay income tax on income above $50,000 to fund constitutional government operation.
That’s a sure way to have ever-expanded government operations, if only “the rich” pay for it. Everyone should feel the pain of paying, is the point.
A federal income tax was declared unconstitutional in 1894 I believe.
Around 1911, a “compromise” was agreed to impose a federal corporate income tax and to submit a personal income tax amendment to the states (so a federal income tax could be collected from “the rich”). Now red states with farmers wanting lower tariffs ratified quickly. Other states with higher incomes were slower to ratify. In 1913 we got a federal person income tax. In 1914, WWI started and cheap tariffs didn’t matter because most of Europe was at war.
I like the national sales tax replacing the income tax for many reasons, but it isn't something where we all become richer because of it. Government is still consuming about one-third of the GDP and making us provide that will always be painful and impoverishing.
More details on Dr. Jorgenson's calculations at JORGENSON EXPLODES FAIRTAX MYTH (FR Exclusive)
I put the words “to fund constitutional government operation” in for a reason.
“Everyone should feel the pain of paying, is the point.”
Bezos could pay a 99% rate and still live high on the hog.
Sales taxes are the most fair.
Everyone pays them, including those who never report income (drug dealers, illegals, criminals, and those on Welfare).
If you can vote, you should pay something.
The trick to staying wealthy is to have no income
And the IRS is abolished and their parasite employees are sent to the border. If not eff them.
See tagline.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.