[robertpaulsen]

The future under the Fair Tax:

A company (corporation, lawyer, accountant, consultant, plumber, whatever) purchases a new BMW (with tax, $65,000) for $50,000 tax free as a legitimate business expense. They drive it for a year, put on maybe 5,000 miles, then sell it used to a private individual for $55,000, again tax free. All legit. All above board and documented.

The company actually profits $5,000 and the buyer saves a net $10,000 by not paying the Fair Tax.

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. The company may actually make more money this way that selling whatever they sell.

[pigdog]

Check with Your Nightmare - he also has a number of fanciful schemes as to how he thinks you might get around paying taxes. That probably means he's doing those things now since there is a greater enticement to do so (more $$$) and he's less likely to get caught (as IRS figures show) than under the FairTax.

Of course all of those fanciful schemes are illegal and with the FairTax there is a much better chance of being detected in that sort of defalcation (more audit resources concentrating on fewer points) but - by all means - GO RIGHT AHEAD! You can both share the same jail cell with Bubba.

[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!