Save America with the ‘Fair Tax Act’

The Courier ^ | August 31,2006 | Gordon Bishop

[Man50D]

Abolish the federal income tax!

No more taxes on savings and investments!

A "Fair Tax" can completely fund the federal government, Social Security and Medicare!

You control how much you spend!

So what are we waiting for?

You, the taxpayers of America burdened with an income tax that is costly, wasteful and sinking America into inevitable bankruptcy. All current forms of federal taxation would end! You would keep 100 percent of your paycheck. You control how you spend your paycheck. It's your money. You make the decisions as to how you want to spend your money.

The Fair Tax would create more jobs and give the USA a level playing field when selling overseas. United States Senator John Linder (R-Georgia) is sponsoring the "Fair Tax Act of 2005." If enacted by Congress, it would accomplish all of the above. Simple. Easy. And affordable.

It's the best way to downsize government without disrupting the economy.

To join the "Fair Tax" movement in America, just sign the "Economic Freedom & Fairness" Petition supporting forward-thinking solutions. Go to www.grassfire.net and liberate the working class of taxpayers. Grassfire is trying to give the working class the same kind of freedom America's founders gave to those who joined the American Revolution in 1776 with the "Declaration of Independence." We won the Revolutionary War, but have lost our country since the 16th Amendment (income tax) became "Law" in 1913.

[robertpaulsen]

"15,3% FICA for your lawyer unrealistic example goes to the benefit of the lawyer, not the illegal guy"

That 15.3% is fungible. It goes to the government to be spent however they want.

You're crazy to suggest that the lawyer will see all of that 15.3% come back to him in the form of SS payments. He may have a heart attack and die when he's 50. THEN how much does he get?

The bottom line is that the drug dealer's money went from his pocket to the lawyer's pocket, and over 30% of that went to the federal government's coffers. Whether they spend it on missile defense or Social Security is irrelevant the point I'm making.

[pigdog]

Nonetheless the FICA benefits the lawyer and has nothing to do with the illegal guy - he's illegal remember and pays no FICA so his $14,000 is still the operable number for his tax contribution; roughly half what it would have been with the FairTax.

[robertpaulsen]

So if I pay $10,000 in property taxes, of which 80% goes to the public schools, but I have kids in the public school system, I really only paid $2,000 in property taxes since I got some of that back in schooling.

According to your Fairytale Tax math.

Look, I don't care who gets the money. The fact is the drug dealer paid it. Actual cash left his pocket and went to the federal government. To the tune of 30%. THAT'S my point.

[pigdog]

I said nohing about property tax. And stop changing your examples since I have no interest in playing this "talk about every silly example I can dream up" game with you.

[tpaine]

"-- Of course all of those fanciful schemes are illegal and with the FairTax there is a much better chance of being detected --"


There will always be a number of fanciful schemes put forth by 'clever' men who think they can get around paying taxes. -- In a way income taxes promote socialism, explaining why these schemers defend them so irrationally against a fairtax type structure that would promote freedom.

And they always protest that their schemes are completely moral and above board, -- they go so far as to claim they hold the moral high ground, even when everyone can see their true agenda..

Hypocrisy abounds.

[pigdog]

How true, how true!! Great post.

[lewislynn]

Others of your ilk say that the 20-25% embedded tax things is WAY too high.

You're confused (no surprise there) by the amount embedded and the amount that can be removed...

[lewislynn]

A good bit of drug purchases presently comes from stolen money or money acquired from stolen things - and not taxed money.

You're saying because money was stolen it was never taxed? That could only be true under the Fairtax.

You're saying stolen items aren't purchased with after tax dollars.

You're saying that people buying the drugs steal money and things but the honest drug dealer will run to the retail outlets with his ill gotten gains to pay 30% tax on everything he buys...Got it.

[lucysmom]

This could be a whole new industry. Not only cars, but office computers, fax machines, copiers, furniture, TV's, coffee makers -- anything a business uses.

And a massive grey market is born!

[lewislynn]

Under the FairTax, the BMW that costs $50,000 now would have at most 8% removed

That depends on where that model BMW was manufactured or if 100% of all the components of the domestic "built" BMW are in fact domestic

[lucysmom]

There will always be a number of fanciful schemes put forth by 'clever' men who think they can get around paying taxes.

Sounds like the FairTax Three.

[xcamel]

Does close count?

[lewislynn]

I don't know what the solution is, but prop. 13 wasn't it.

Yes it was. Be careful what you wish for

California has the best property tax plan in the nation. Don't let it bother you that your parent's neghbors are paying more than them. There's no reason your parents house should be reassessed, unless there's a change in title..If you want to make it "fair" it would be your parents, not their neighbors on the losing side.

[robertpaulsen]

Sure. Call the person an Asset Manager or Capital Equipment Manager. It can certainly be a profit center for the corporation. Since the company is no longer interested in the depreciation write-off, why retain the asset?

The company can post the item and the approximate cost and the employees get to bid on it. If there's no interest, an ad in the paper announcing a semi-annual auction should bring a tidy profit. The faster the company churns these assets, the more money they make! ("Watson, I note that your company car has 1200 miles on it. Get a new one!")

Imagine how the Fair Tax code will grow and grow in complexity to close these loopholes. Why, pretty soon it will start to look like the current code.

[Mojave]

California has the best property tax plan in the nation.

Bar none.

[Your Nightmare]

One of the big differences between the current system and the FairTax is in home businesses (e.g., I have done freelance web development on the side). Under the current system, I can only deduct costs less than or equal to my revenues. If I have a dollar in revenues, I can only deduct a dollar of costs.

The FairTax doesn't care if you have a penny in revenues. If you declare yourself a business, you get everything tax free.

The example I gave was, I could set up a website call "I-Review-Stuff.com" which has my reviews (some of them long term) on all sorts of stuff in real use situations - stuff like TVs, computers, cars, food, restaurants, etc. Whatever stuff I use, I review (although not in depth - a couple of hours a month of work). I would put Google Ads on the site to have some sort of revenue, but I wouldn't care about that. The real money is on the tax savings. This would be a completely legal business - it's just not a very successful one on a cost/revenue basis, but the FairTax doesn't care about that. There is not a thing they could do about it unless they want to get into determining what's a worthwhile business or what isn't.

[I might even pay the state sales tax so the state would have no real incentive to try and collect the federal sales tax from me.]

[robertpaulsen]

"There is not a thing they could do about it unless they want to get into determining what's a worthwhile business or what isn't."

There are many perfectly legal loopholes in the Fair Tax. Closing them will result in a similar looking tax code to what we have today. Enforcing those loophole-closing laws will be a huge invasion of privacy.

[pigdog]

See #1005. And read the bill.

[RobFromGa]

The reason is because you have your facts wrong. As usual.