You're missing the point. There may be imbedded taxes on everything that the drug dealer buys but the drug dealer doesn't pay ANY taxes on his earned income.
Under the present system, people that don't declare or have earned income, do not pay federal taxes, so the rest of us have to pay his share and that ain't Fair.
But, everybody buys stuff, so, under the FairTax, everybody pays for the federal government. That's Fair.
Why do you people resist the abolishment of income taxes? Are you a tax accountant?
It's not really too hard to figure who those might be with a lot to lose when the income tax goes away ...
There may be imbedded taxes on everything that the drug dealer buys but the drug dealer doesn't pay ANY taxes on his earned income.
And under the FairTax, he still wouldn't pay any FairTax on the transactions that generate his income-- drug sales. So this part of it is a wash.
But, everybody buys stuff, so, under the FairTax, everybody pays for the federal government. That's Fair.
The point (again) is that we are all paying these embedded taxes now on everything that we purchase, so under the present system we are all paying the Federal government.
Are you a tax accountant?
Typical FairTaxer comment, impugn the motives of anyone questioning the viability of the plan. Your allegation is not worthy of a reply.
And you missing the point. Under the fairtax it is still that way. When the drug dealer recieves $100K for his drugs he will not send the government $23K for sales tax like he legally should. The drug dealer is still not paying anything on his gross receipts, but only when he spends. The drug dealer is still cheating the fairtax system just as he does today. Legal purchases causes taxes to be paid, illegal transactions avoid taxes. The fairtax is doing nothing to capture the illegal economy.
Why do you people resist the abolishment of income taxes?No one I now of is reisting the abolishment of income taxes. We're just resisiting a bad plan built on a house of cards being sold with lies, hope, wishful thinking and conjecture.
OK. Under the Fair Tax, NOBODY pays income tax. Not you, not the drug dealer.
Just don't say that we will get MORE from the drug dealer under the Fair Tax. We won't. We'll probably get about the same as we do now.
The only way we'll get more money from the drug dealer is if he adds the Fair Tax to the price of his illegal drugs and sends that money to the federal government. I'm not holding my breath on that.