And the way the FairTax bill is written right now, people would have to pay higher taxes to their state and local govenrments too, because the states and local governments have to pay the exorbitant FairTax on every purchase they make (think road repairs, buildings, police and fire eqpt,...) and every non-teacher salary and fringe benefit. So not only would we pay the exorbitant tax on all the purchases of personal goods and services, but our state and local taxes go up 20% plus as well.
What a deal? Not.
"... people would have to pay higher taxes to their state and local govenrments too ..."
Not so since state and local governments now pay federal taxes in the form of what they pay their employees and their suppliers. In other words, the governments tax the,selves presently and would continue to do so. Trying to remove this amount of taxation makes no sense since the income tax presently taxes government - and the various flat tax proposals also. Not doing so under the FairTax would amount to giving government a tax-free advantage to compete against private firms - something that no one should wish to see.