That $100 item is really a $92 item plus $8 in taxes. In order for you to pay $100 for that item, you'd have to earn $117.65 (converting th federal inclusive 15% to exclusive gives us 17.65% -- $100 is 85% of $117.65).
Under the FairTax (bill version), that same $92 item would require you to earn $119.48. If the Bush tax cuts are permanent, you would only have to earn $113.86.
Note that all of this doesn't even include the "prebate". We're just talking about marginal rates with the NRST, and even then it compares pretty evenly with effective federal tax rates.
let's assume that the corporate tax burden (without reducing nominal wages) is 8%The FairTax base for 2004 would have been ~$9,716 billion. Add $1,173 billion in exports to that (the claim is taxes are embedded in them too) and you get $10,889 billion. This is the amount that is suppose to be reduced by the "embedded taxes." In 2004, corporate income taxes were $189.4 billion, add half of the employment and general retirement receipts ($344.6 billion) and you get a grand total of $534 billion in tax revenue from corporations. That is 4.9% of the FairTax base plus exports.