Posted on 09/03/2006 5:18:40 AM PDT by 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.
(Excerpt) Read more at bayshorenews.com ...
If your employer took the exact amount of federal income tax out of your paycheck every two weeks, then you wouldn't "owe" anything on April 15th. So, to you, you're not "paying" any income tax today.
Under the Fair Tax, those taxes and others are retained by the manufacturers then used to reduce the cost of products by 30%, then the 30% Fair Tax is added. That's the theory, anyways.
"Why would people buy something new if they could save 30% by buying something used (such as a vehicle)?"
Bingo! Give the man a prize. Even worse, imports (like your Made in Japan HDTV) will RISE 30% because they have no hidden USA taxes in them to pull out.
Another plus to the Fairtax system that I have never seen discussed is that the "underground" economy will start paying its "fair share". At least in California and Arizona, where I am familiar, there are bazillions of dollars paid to laborers, construction workers, lawyers, etc that work "under the counter" and would have to pay taxes under Fairtax.
I think that if Fairtax were enacted, the money would flood the Treasury, and the problem would be to lower the taxable percent!
There is no "bill" there is however several working groups working on the new proposal - which makes the corrections and additions cited by the president's tax reform panel.
The product already has taxes (employer payroll taxes, any income taxes) and TAX COSTS in it. The anti-nrst folks have stipulated a 9% tax costs component in retail prices of domestically mfg items. That's why you see everyone doing analyses that include a reduction in prices of 9% before the nrst is added.
The MARGINAL rate of the nrst is 23% ti or 29.87% te. The amounts are the same. Here's how they can be illustrated...
If you earn $100 and keep $77 after taxes, what is your tax rate?
Some would say 23% (23/100). Others would say 29.87% (23/77).
Either way, it's obviously the same amount.
"Used" in hr 25 means "already been taxed". The idea is to tax things once, and only once. A problem I see with the nrst is that earnings that have already been taxed (and saved) would be taxed again when spent. That violates the fundamental purpose of the bill - so I expect it to change. Nevertheless, it has been shown and can be shown again and again that irrespective of particulars, all legal participants in today's income/payroll tax system will have an increase in purchasing power under the nrst....even with the taxing savings problem. Would you rather pay income/payroll taxes on your savings or your nrst effective rate? BTW it's easy to calculate (try pafairtax.org).
Note that i'm saying ALL LEGAL PARTICPANTS IN TODAY'S INCOME/PAYROLL TAX SYSTEM - not everyone - will have increased purchasing power under the nrst. Criminals/illegals/current tax cheats will have to begin paying 100% of their tax burden.
Anti-nrst people will try to have you "forget" that under any income tax, your earnings are reduced before you buy something. They simply omit this from their anaylsis. Why? Who knows.
Today, I have to earn $133 to buy a $100 item.
Under the nrst, the price falls from $100 to $91. And my nrst effective rate is 17%. So I'd need to earn $109 to buy the item under the nrst. The nrst changes the timing of paying tax to before you spend to when you spend.
The increase in purchasing power comes from a 9% reduction in prices by eliminating the income tax costs from prices and lower rates due to an increase in the tax base. BTW, it has nearly the same tax base as the flat income tax.
I see. I didn't think there was.
If you would ping me when there is one, I'd appreciate it. After it's written, we can see if it is going to address the myriad problems the other flat tax proposals have.... and I presume those problems are the reason for a complete lack of support of previous flat taxes.
Anyway, if there comes a flat tax bill that eliminates payroll taxes on employee and employer, eliminates business income taxes of any kind, is border adjusted, and has some mechanism to make illegals pay, let me know. I'd like to see it.
The fact we "had a flat tax" 80 odd years ago, is a rhetorical "dog that won't hunt", and simply proves we were way ahead of our time, but allowed the "gooberment" to corrupt it beyond insanity. That would most likely not be the case today.
The president's tax reform panel rejected the NRST monthly entitlement check proposal, didn't they?
They basically trashed the whole idea.
http://fairtaxcalculator.org/
does the flat tax have a similar mechanism?
In your flat tax, what's the rate of income tax on individuals? On business? What's the payroll tax rate on business? Iindividuals? What are deductions/exemptions (if any?).
The previous bill had income tax of 17% plus 7.65 payroll tax for emploees AND for business. Along with that, all business taxes would increase the cost of goods to the consumer and/or reduce their wages.... an this tax would be hidden, like today.
C'mon, give us something to look at... or is this in your imagination? With nothing new, this is old stuff. Nobody wants it except a few politicians (four, IIRC - lol).
I'd like to look at a reasonable flat tax - but there has yet to be one. That's why the lack of any support whatsoever. And that's one of the reasons no bill is anywhere.
What kind of snake oil are you pushing? "Buy my product - no, I won't tell you anything about it... but buy it!"
riiiiiiight.....
Not at all. There is no prebate like the fairtax. There is no tax on services like the fairtax. They don't tax federal and state expenditures like the fairtax. They certainly don't add a 30% tax like the fairtax. They don't tax the sale of new homes like the fairtax. Hardly the model for Florida and Texas. A tax like this has never been done like this, and countries who have tried a high sales tax rate have never been successful.
What errors are made on this website?
http://fairtaxcalculator.org/
C'mon - what you got? Anything? Namecall and avoid the website because you can find nothing wrong with it?
If there's something wrong, share it with us....or can you not find anything wrong with it? ...snicker..
As you've seen by the replies to your post there are many cultists on the anti fair tax side:
The municipal bond cultists.
The life insurance cultists.
The tax-deferred annuity cultists.
The IRS cultists.
The tax shelter cultists.
Etc.
I like my cult just fine. My fair tax "cult" wins hands down in every pole, every straw vote. My "cult" has at least 700,000 petition members from every walk of life, from every state.
Please point to the "namecalling" on this thread, everybody seems to have missed it.
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