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To: lewislynn
Hmmmm... you think the prebate is worse than the "entitlements" doled by our current system? You'd be wrong.

So many people have a negative income tax rate. The vast majority of those same people would have a positive nrst rate.

Yes, part of the reason is that it's easier to cheat the income tax by underreporting income than it is to evade sales tax.

Look at this. It shows that even those who report FAR less than the poverty level actually spend up to the poverty level. That means they're cheating the income tax to get "welfare" in the form of tax refunds/credits by underreporting income. It also shows that those same cheaters would not gain from the rebate - they spend up to the poverty level.

I don't know that there is a single group in the data that will gan from the rebate.

The group reporting 0- 5k in income spends over 20k.
The group reporting 5-10k in income spends over 16k.
The group reporting 10-15k in income spends over 20k.
The group reporting 15-20k in income spends over 25k.
The group reporting 20-30k in income spends over 28k.

All those people you think will have a negative sales tax rate don't exist.

285 posted on 05/17/2006 6:46:45 PM PDT by Principled
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To: Principled; lewislynn
All those people you think will have a negative sales tax rate don't exist.
Of course. We all know there's no one living in poverty in the whole United States.
287 posted on 05/17/2006 7:17:28 PM PDT by Your Nightmare
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To: Principled
All those people you think will have a negative sales tax rate don't exist.
Yet.

They exist on the AFFT website, that's where I found out about them.

According to the AFFT graph here the Fairtax pays out even more than the income tax, or are you calling Karen Walby Director of Reasearch at AFFT a liar?

Honesty is the best policy lewis. That goes for paying your share of the income/payroll tax burden too.
Hypocrite.
293 posted on 05/17/2006 8:55:46 PM PDT by lewislynn (Fairtax = lies, hope, wishful thinking, conjecture and lack of logic)
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