[Pearls Before Swine]

The prebate is not in any way tied to income level.

I get it, and understand how it operates: everyone receives it. I was focusing on its effect on the low-wealth group as effectively substituting for current low-bracket and EITC policies. The prebate makes the biggest difference for the smallest spenders, effectively making them tax free.

[kevkrom]

The prebate makes the biggest difference for the smallest spenders, effectively making them tax free.

Bingo. And an added benefit -- illegals (who don't have valid SSNs) will wind up paying a much higher effective tax rate than people who are supposed to be here.

[Principled]

The prebate makes the biggest difference for the smallest spenders, effectively making them tax free.

Yeah. Some will have a negative tax rate - just like now.