[Your Nightmare]

There you go again, YN. BTW, you have an apprentice in SC. The senate candidate, Inez Tanenbaum, is trying to scare people by misleading them about the bill. Why don't you contact her campaign and show them what REAL demagogery of the FairTax is all about? They really are amateurs compared to you.

Really?

Middle quintile (median) 2001 numbers for Elderly Childless Households from here.

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Currently: Retired couple. Income = $42,500.

Effective Income Tax Rate = 2.1%	=	$892
Effective Social Insurance Tax Rate = 2.0%	=	$850
Effective Corporate Income Tax Rate = 2.1%	=	$892
net federal tax paid = 6.2%	=	$2,635
consumption expenditures	=	$39,865

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NRST: Retired couple. Consumption = $39,865.

FCA	=	$4,283
total consumption expenditure	=	$30,895 = $39,865 * (1 - 0.225)
net NRST	=	$4,945 = 0.2987 * $30,895 - $4,283

Effective Inclusive Income Tax Rate: Current System	=	6.2%
Effective Inclusive Income Tax Rate: NRST	=	11.6%

[Remember_Salamis]

Good God YN!

I would expect it from lewislynn, but not from you. I can't believe you compared income taxes-only to the NRST, without including payroll taxes.

Shame.

[ancient_geezer]

Currently: Retired couple. Income = $42,500.

*** snip ***

Effective Inclusive Income Tax Rate: Current System	=	6.2%
Effective Inclusive Income Tax Rate: NRST	=	11.6%

Good work YN.

Thanks for the ammo, this is an area that is definitely needing more work. Can't have anyone doubling their tax rate afterall, especially those that are so critically hit as the elderly.

Heck doubling my tax rate might even cause me to start looking to cut government or something drastic like that;O)

Good ammuntion to use in the Ways & Means Committee to provide additional transitional aid for retiree's in the bill and assure that at least Social Security recipients will receive Cost of living increases indexed on the NRST rate with CPI provided for in HR25

 

H.R.25

Fair Tax Act of 2003 (Introduced in House)
http://thomas.loc.gov/cgi-bin/query/z?c108:H.R.25:

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TITLE III--OTHER MATTERS

SEC. 303. SALES TAX INCLUSIVE SOCIAL SECURITY BENEFITS INDEXATION.

Subparagraph (D) of section 215(i)(1) of the Social Security Act (42 U.S.C. 415(i)(1)) (relating to cost-of-living increases in Social Security benefits) is amended to read as follows:

`(D)(i) the term `CPI increase percentage', with respect to a base quarter or cost-of-living quarter in any calendar year, means the percentage (rounded to the nearest one-tenth of 1 percent) by which the Consumer Price Index for that quarter (as prepared by the Department of Labor) exceeds such index for the most recent prior calendar quarter which was a base quarter under subparagraph (A)(ii) or, if later, the most recent cost-of-living computation quarter under subparagraph (B);

`(ii) if the Consumer Price Index (as so prepared) does not include the national sales tax paid, then the term `CPI increase percentage', with respect to a base quarter or cost-of-living quarter in any calendar year, means the percentage (rounded to the nearest one-tenth of 1 percent) by which the product of--

`(I) the Consumer Price Index for that quarter (as so prepared), and

`(II) the national sales tax factor,

exceeds such index for the most recent prior calendar quarter which was a base quarter under subparagraph (A)(ii) or, if later, the most recent cost of living computation quarter under subparagraph (B); and

`(iii) the national sales tax factor is equal to 1 plus the quotient that is--

`(I) the sales tax rate imposed by section 101 of the Internal Revenue Code of 2003, divided by

`(II) the quantity that is 1 minus such sales tax rate.'.

 

 

[Chilldoubt]

but what about the "hidden" tax? it may not be the 25% they say, but it must be more than 0%.

i'm still looking for info on that. any ideas?