Would all my current savings, including cash, stocks and real estate (less any applicable capital gains taxes), be exempt from NRST when I spend this money, money on which I have already paid income taxes?
No, your savings would not be exempt when you spend it. So you'll likely want to spend it before the FairTax takes effect. Maybe invest it in items that will likely be easy to sell and sell them tax free as "used" after the tax goes into efffect.
The short and direct answer is NO. BUT, there is more to the answer than that........The fallacy in the argument "But it's already been taxed!!" is the notion that just because there's no "tax" listed on your sales receipt that you aren't paying taxes. IN fact you pay dearly, but it's hidden from view. The ball to keep your eye on here is total purchasing power. Will you be better or worse off under the FairTax? That's the bottom line most people want to know. Unless you're one of the idle rich, you'll be better off under the FairTax and here's why:
The cost of goods produced in the US and to a lesser extent those produced abroad, include the embedded cost of all entity level taxation and the cost of compliance with our tax code. This is passed on to you in several different ways and impacts your ability to purchase goods and services in gross total.
When we tax our corporations, we tax ourselves in that the corporation just passes that cost along to the consumers in the form of a higher price, the investors in the form of reduced return on investment or to the employees in the form of reduced wages and benefits.
In your situation, as an investor and consumer (working too?)....you're likely to be picking up significant hidden tax costs. They come to you labeled as part of the price of a good or to you in the form of reduced return on investment. Here's a link to a pictorial example of how the cost of our tax system cascades and adds to the price of a loaf of bread. Please see: http://www.atr.org/taxbites/bread.html
When the FairTax is implemented, some economists have estimated that consumer prices will drop by as much as 30% because we will no longer impose taxes at each level of production AND the taxable entities will no longer have to employ tax accountants and attorneys to figure out the way to pay the least possible tax. It is impossible to quantify the savings for each good because the savings depends on the number of times the good has changed hands in the production process. Recognizing this as a potential source of savings, several mergers were instituted to "vertically integrate" businesses to avoid the multiple layers of taxation. However, the IRS cracked down on "vertical integration" of businesses several years ago and have since instituted strict regulation of "transfer pricing" between artifically created entities. So we're stuck until we eliminate corporate taxation altogether.
Once the tax and compliance costs are removed from the supply chain, prices should fall precipitously. Once the economy reaches equilibrium, your dollars should purchase the same goods and services that you are able to purchase today....the only difference is that you'll see a clearly labeled "tax" on each receipt.
Another thing to remember is that if you hold a valid SSN, you will receive a monthly "prebate" equal to the tax which will be charged on poverty level expenditures. This will mean that ALL poverty level spending, regardless of whether it's from current wages or savings will be TAX FREE.
Moreover, if you are working, you'll be able to keep your entire paycheck, less state, local and benefit deductions. The amounts currently withheld for Federal Income Tax and FICA/Medicare will be included in your net check. You'll get a pay raise on day one when the fair tax is enacted.
So when viewed in concert, the Prebate, the price reductions and the raise you'll get on day one....you'll probably be better off as soon as the fair tax is enacted. Those who stand to lose are those who spend lavishly.
The most important aspect of this legislation is that it removes from the government, the right to reach into my paycheck and confiscate that portion they deem legal. In place of that right, is the obligation to cut every holder of a valid SSN a check......I sure like the way that river flows. IMHO, the liberty enhancing benefits of this legislation outweigh all other aspects.
Hope that helps. Please respond if you have any other questions. I'll be happy to answer.