Free Republic
Browse · Search
Smoky Backroom
Topics · Post Article

To: Beagle8U
You have it exactly backwards. A "hidden" tax is when the government gets your money without you ever seeing it happen. A tax is not "hidden" when the money must come directly from your pocket, and you can see the amount on the receipt.

FICA and income taxes are hidden. The hundreds of taxes buried in the price of a new car (except the sales and registration taxes) are hidden. Got the distinction?

John / Billybob

62 posted on 10/19/2006 7:51:29 PM PDT by Congressman Billybob (Have a look-see. Please get involved.)
[ Post Reply | Private Reply | To 36 | View Replies ]


To: Congressman Billybob
You have it exactly backwards. A "hidden" tax is ...

I'll grant you the importance of paying the tax out of pocket (as you might guess, I favor the elimination of withholding over the FairTax.) However the rest of your description of a "hidden tax" doesn't wash. I get a "receipt" twice a month from my employer telling me EXACLTY how much income and payroll tax I paid (both for the period and the year.) If I want to I can double the FICA tax a know the total income and payroll tax paid by me or on my behalf. The total of the income and doubled payroll tax represents over 85% of my total Federal Tax burden (and likely more, unless I'm paying Gift/Estate taxes ... which also not hidden.) By the end of the year, I'll know, out in the open, over 90% of my Federal Burden.

The rest, about 10%, it truly hidden. But I know what it is to a higher degree of accuracy than if I had to add up the tax on over 5,000 receipts per year (presuming I could even get my family to save them all) and deduct my prebate.

Of the "hundreds" of taxes buried in the price of a new car, MOST of them are unaffected by the FairTax. Only Payroll, Income, and Profit taxes are affected, all the excises remain. If there are truly "hundreds" (and I suspect that to be a bit of hyperbole), the FT only eliminates three. (New cars don't contain Estate/Gift taxes ... the only other tax the FT eliminates.)

108 posted on 10/19/2006 9:08:55 PM PDT by Dimples
[ Post Reply | Private Reply | To 62 | View Replies ]

Free Republic
Browse · Search
Smoky Backroom
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson