[KarlInOhio]

I agree the current tax is a nightmare. I'm just jumping through all those hoops to try to find a real value for the embedded tax which would go away with implementing the FairTax. I came up with about 9% direct + compliance costs. I have a hard time believing that is large enough so its removal result in the same net prices after the Fair Tax is added.

[Bigun]

I have a hard time believing that is large enough so its removal result in the same net prices after the Fair Tax is added.

In some cases - those in which only few hands have been involved in the production - it won't. In others where many hands are involved it will be much more.

When fairtaxers talk about that they are, at least all the ones I know, talking about an AVERAGE.

[Your Nightmare]

I agree the current tax is a nightmare. I'm just jumping through all those hoops to try to find a real value for the embedded tax which would go away with implementing the FairTax. I came up with about 9% direct + compliance costs. I have a hard time believing that is large enough so its removal result in the same net prices after the Fair Tax is added.

Look at my post #61. The only way you can get anywhere near the suggested price drop is if you include the employee's payroll and income taxes. That means the employee's would have to take a cut in their current pre-tax wages for the prices to go down this much. (And that isn't going to happen.)

[rwrcpa1]

Karl, I hate to tell you this, but I don't think you are an economist.