Be sure to read both Part 1 AND Part 2 ...
Still as pertinent as ever even though the numbers are from an earlier set of data; the principles still apply.
It is a signal advantage of taxes on articles of consumption, that they contain in their own nature a security against excess. They prescribe their own limit; which cannot be exceeded without defeating the end proposed, that is, an extension of the revenue. When applied to this object, the saying is as just as it is witty, that, "in political arithmetic, two and two do not always make four .'' If duties are too high, they lessen the consumption; the collection is eluded; and the product to the treasury is not so great as when they are confined within proper and moderate bounds. This forms a complete barrier against any material oppression of the citizens by taxes of this class, and is itself a natural limitation of the power of imposing them.
Fair Tax ping!
Thanks for re-posting Dan's article.
If anyone would like to be added to this ping list let me know.
John Linder in the House(HR25) & Saxby Chambliss Senate(S25) offer a comprehensive bill to kill all federal income, SS/Medicare payroll, and gift/estate taxes outright replacing them with with a national retail sales tax administered by the states.
H.R.25,S.25
A bill to promote freedom, fairness, and economic opportunity by repealing the income tax and other taxes, abolishing the Internal Revenue Service, and enacting a national retail sales tax to be administered primarily by the States.Refer for additional information:
One of the authors of the FairTax bill tells it like it is ...Well he sure contradicts everything you guys are selling about employer paid FICA for price reductions and not going to the "100% paycheck"
.Dan R. Mastromarco and David R. Burton respond to a recent viewpoint claiming that a national retail sales tax would be detrimental to the real estate industry.
[26] If the $47,129 of our family's income was all wage income, then that couple would have paid $3,605 in employee payroll taxes on those wages. Note also that their wages were also about $3,605 lower because of the employer payroll tax. As noted earlier, economists generally believe that the employer share of the payroll tax is borne by the employee in the form of lower wages. After the standard deduction, the couple would pay income taxes of $6,433, most of which would be in the 15 percent rate bracket, but some of which would be in the 28 percent rate bracket. /5/ Hence, using a standard deduction, the couple would have paid $10,038 of taxes on $47,129, leaving our family $37,091 after taxes. Of that disposable income, 4.3 percent is $1,595....---
[28] Under the AFT Fair Tax plan, their disposable income will increase to $50,734 because of the repeal of all payroll and income taxes.
Fart-tax supporters:
BTW: still posting 17 year-old tripe eh?
tax on income is NOT FAIR because differant incomes are treated differantly....
why should a person living solely on his inherited income from a crooked daddy or even a good daddy not be taxed like my little old hard earned income?
why should the money you obtain by fast deals on the internet be taxed LESS than the income the local garbage collecter gets?
and why do so many people WRITE OFF expenses for their work, inflated, while many wage earning people...MOST PEOPLE....need to meet that stupid 2% criteria on their AGI?......its usually unobtainable for most people.....
waiting for incoming.....