[The Shootist]

You're both right as far as it goes.

However, one of the predicates of the FairTax is an amendment to the US Constitution abolishing the Income Tax.

Whether that can be done or not is another question. Somebody will have to do a good job selling this tax (ice to Eskimos?) to the American people. I will support any system that abolishes the Income Tax. On the one hand, the FairTax is the only proposition on the table that does that and on the other is far superior to any income tax.

Of course increasing tarrifs and duties on imported goods isn't a bad way to raise revenue and protect certain critical sectors of the economy from ruin or outsourcing.

[Shalom Israel]

You're both right as far as it goes. However, one of the predicates of the FairTax is an amendment to the US Constitution abolishing the Income Tax.

That's the part that won't go through. They'll claim to abolish it in phases, since of course they can't go cold turkey... but once both systems are in place side-by-side, that's the way it will stay.

[Man50D]

Of course increasing tarrifs and duties on imported goods isn't a bad way to raise revenue and protect certain critical sectors of the economy from ruin or outsourcing.

There will be no need for tariffs with the Fair Tax because all embedded VATs in good and services with the current tax code will be eliminated. Competition will force companies to lower their prices. Lower prices will make U.S. goods and services more competitive with foreign businesses. Also companies who left the U.S. to lower their tax burden will return because the cost of tax compliance will be reduced considerably.