I just got finished reading "Flat Tax Revolution" by Steve Forbes. I have to say after reading that book I'm convinced more than ever that the Flat Tax is the way to go.
I still want to read the FairTax book to get a balanced perspective, but I'm a bit worried that the FairTax as I understand it may compel purchasers to buy used products whenever possible -- much like those who bought used cars and boats when the luxury tax was enacted -- and really hurt the new construction market.
The tax on services will mean that many things will get even more expensive, like college education. Moreover, even things the U.S. Government buys, like office supplies and fighter jets will have that extra overhead attached.
If you can find a copy (I got mine at my local Costco) I highly recommend reading "Flat Tax Revolution".
The fact that former Soviet satellite countries are implementing it and watching their productivity go through the roof seems to indicate that this is the way we should seriously consider.
Remember, our current tax code started as a flat tax on a very select and small portion of the population.
And we all know how well that flat tax worked out and how flat it stayed.
No "extra overhead."
The sales tax is embedded in the price.
"The tax on services will mean that many things will get even more expensive, like college education."
Incorrect - educational expenses are treated as an investment under the FairTax and are not taxable. Because education will be paid for with pre-tax dollars, it will be more affordable under the FairTax.
"Moreover, even things the U.S. Government buys, like office supplies and fighter jets will have that extra overhead attached."
They already have imbedded taxes in them and would continue to do so under the flat tax. The biggest difference is that the taxes that the government would pay would be more visible under the FairTax than under the current system - or the flat tax.
(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)