And we all know if it is said on the fairtax website FAQ's that it must be taken as gospel. How dare someone suggest that it might be more complicated than adding one line to a state tax form. No state has anywhere near the same tax base as what the fairtax does. No state taxes all services. And states will not be all that happy to assist the feds when they discover the feds are going to tax all state government expenditures too.
"And we all know if it is said on the fairtax [sic] website FAQ's that it must be taken as gospel. How dare someone suggest that it might be more complicated than adding one line to a state tax form. No state has anywhere near the same tax base as what the fairtax [sic] does. No state taxes all services. And states will not be all that happy to assist the feds when they discover the feds are going to tax all state government expenditures too. "
Actually you might do well to take that information as "gospel" since the tune you sing is off key.
"... states will not be all that happy to assist the feds when they discover the feds are going to tax all state government expenditures too ... "
As described in this paper (and others using the NIPA data) the FairTax already takes those expenditures into account and studying this paper shows that clearly.
"... No state taxes all services ..."
Certainly true enough but many states DO tax certain services and almost every service is taxed by one or more states - but not all services by any single state. With the FairTax, though, states will have the opportunity to confirm their tax systems to the FairTax, thereby eliminating state income taxes (and the associated state administrative costs) and its costs to taxpayers. Actually there are movements afoot in some states to have a "state FairTax" and here is one for Mighigan that apparently even has a "state prebate".
The FairTax has the very attractive benefit to the states of providing them tax revenue from out of state sales via mail order and Internet sales ... something the states have long hoped for. Since the FairTax is a destination principle tax it offers that large benefit to each state.