If I gross $ 1,000 per week, I presently take home about $ 750. My employer is required to pay what was withheld from my check ( $ 250 ) PLUS additional taxes of almost $ 80 to the government.If FAIR tax gets enacted, will I be paid:You would probably get $1000 but that doesn't change the government needing the $250 withheld from your check plus the $80.00 from your employer who won't be paying it anymore...Any guesses who will?
a. $ 1,000
b. $ 750
c. $ 1,080I just want an answer to that one question.
The 23% teaser rate is only for the first year. Do the math. You would be taking home $1000 but the government still needs the $330.00 previously paid (and then some)...that won't change, even the Fairtax brags that it's revenue neutral.
If you're single you'd get $69 a week rebate. The only way for the government to get that $330.00 from your $1,069 spending is with a 44.6% (not 23%, not 29.87% or even 33%) sales tax not including the cost of the rebate...("revenue neutral" AND a "rebate"...the "rebate" isn't a tax cut, it has to come from somewhere).
That's why I say your takehome pay should be $1080 + $69 ...Then the sales tax rate would (only?) have to be 40% (not including the cost of the rebate).
Lewis, stop trying to do math. All of your "calculations" assume that the income tax and sales tax bases are the same, which is incorrect.
Gibberish - which is referred to as Looey-'rithmetic. Almost completely wihout merit.