[upchuck]

One of the ideas in the Forbes plan is that you can continue filing as you do currently which includes mortgate deductions. He is convinced that once you realize that you will end up ahead with the fair tax, you will forget about your precious mortgate deductions and the current system.

No Fair! :)

You wrote "Forbes plan" and "fair tax" in the same comment as if they are the same plan. They are not. The "Flat Tax," favored by Mr. Forbes and the "Fair Tax" are two entirely different plans.

[adorno]

No Fair! :)

I think that 17% under the Forbes plan is FAIR.

I prefer calling the Forbes plan the FAIR tax and the sales tax plan the SALES tax. Either one would still be more fair than the current mess.

[SolidSupplySide]

They are not. The "Flat Tax," favored by Mr. Forbes and the "Fair Tax" are two entirely different plans.

As any economist can tell you, a single rate income tax and a single rate sales tax are "economically equivalent". They affect the economy in the same way.

Each tax is a transaction tax on consumption. It doesn't really matter if the law says the producer or consumer pays the transaction tax. The end result is a wedge between producer and consumer.