Posted on 08/27/2007 7:53:49 AM PDT by Turret Gunner A20
You are correct, I just assume that I will because I now get an undeserved "Earned Income Tax Credit" rather than paying taxes. However, the rebate, family of one, may be greater.
Which is a legitimate point. The Fairtax does not capture the black market in anyway shape or form. The Fairtax just taxes legal purchases, which is exactly the same situation we have today. The net gain is zero if you really understand the argument, which I will not be holding my breath on.
I would think that anyone could understand that a drug dealer or thief currently gets income as ill-gotten gains and is never taxed. the criminal currently makes purchases and does not pay tax.
How could you not see that after the FairTax he may still get his gains through nefarious ways but would then pay federal tax when he or his family makes a purchase?
Bingo, Bingo
That's not exactly true. When a non-taxpaying drug dealer is caught, his assets are seized, taxing authorities estimate income and taxes are assessed.
Al Capone was convicted for income tax evasion, not his criminal activities.
In fact, a drug dealer may pay taxes on his ill gotten gains and be assured that the secret of the source of his income is safe with the IRS, though I doubt many test that particular privacy law.
How could you not see that after the FairTax he may still get his gains through nefarious ways but would then pay federal tax when he or his family makes a purchase?
He only pays the tax on what he buys new, and from a seller who collects the tax.
And now, when his customer works, he pays the income tax. With the FairTax, his customer will have 100% of his pay check, tax free, to spend on drugs and the dealer will not have to worry about the IRS.
No, I maintain that in most cases the product is not the same, even if you don’t want to include the shopping experience as part of the definition of the product. K-Mart doesn’t sell the same goods as Macy’s, in most cases.
yes, it is trully amazing how some citizens have fully accepted a tax that was never included by the founding fathers...they fought and lost so much comfort largely due to excessive taxation on a much smaller scale than we have today.
Your statement makes my point.
"You pay taxes that you don't owe, that are embedded in things you didn't buy, because only your income is taxed, therefore what you might buy will have to be taxed again, especially if you had after tax money, to spend on untaxed things with embedded taxes, that aren't taxed because corporations don't pay taxes, because you paid the taxes you didn't owe."
But how can you not see when he sells his $10K worth of drugs he fails to submit the $2300 worth of fairtax. The criminal is avoiding $2300 worth of taxes. It works out the same under either tax scheme.
And now, when his customer works, he pays the income tax. With the FairTax, his customer will have 100% of his pay check, tax free, to spend on drugs and the dealer will not have to worry about the IRS.Let's not forget that the customer is a criminal, too. So there are two criminals in a drug transaction. In the current system, one criminal pays, the other doesn't - and under the FairTax, one criminal pays, the other doesn't.
When you expose a legitimate problem with the FairTax I don't know of a FairTax supporter who would not seek to address it but PLEASE keep in mind that the key word in that sentence is LEGITIMATE.
I have read a number of your posts to this thread and cannot find any such fault that you have exposed. You do seem to not realize that your after tax savings are taxed again today under the income tax just not openly.
• The FairTax ensures Social Security’s soundness by funding it with a progressive, broad-based national retail sales tax, rather than the current regressive, narrow payroll tax.
• The FairTax rebate zeros the retail taxation of necessities, up to poverty-level spending, for seniors.
• The FairTax repeals the taxation of Social Security benefits and adjusts Social Security indexing to protect seniors.
• The FairTax ends all record keeping and income tax filings of any kind for seniors, totally insulating them from the high costs and abusive tactics of tax preparers.
• The FairTax does not tax used goods, giving low-income seniors choices.
• The FairTax reduces manufacturers’, services’, and retailers’ costs, allowing them to lower costs to seniors.
• The FairTax delivers a tax holiday on IRAs and other tax-deferred plans.
• The FairTax ends gift and estate taxes, along with all of the unfairness to heirs and complex planning for those who earned the money.
• The FairTax allows seniors to sell their homes and pay no capital gains taxes.
• The FairTax generates an economic boom, which eases future budget pressure on seniors’ entitlements.
• The FairTax lowers average remaining lifetime tax rates.
• The FairTax ensures your grandchildren have the same opportunity you did.
It’s for the children...
It prevents dog fighting...
It stops global warming...
yawn...
Sounds more like a trade off than a gain.
Of course if you accept that prices remain the same because hidden taxes are removed, which I don't, then the non-income tax paying drug dealer will be paying the same amount of tax he's paying now AND he'll get a prebate check at the beginning of each month.
Don’t mis-read me here. I am not overly enamoured of the “Fair Tax” as writtten. There are several issues about the proposal that I find objectionable. That said, I’m certainly willing to give it a try as the current system is punative and unworkable.
I agree..in the absence of repealing the 16th ammendment, a procedure that should administratively precede the implementation of the FairTax..I’m not about to trust Capitol Hill. IMHO, the best way to go about is at the state level...each legislature voting to repeal the 16th and implement the FairTax...It will never happen from inside the beltway...and probably should’nt even be tried as they would like to wind up with nothing more than BOTH!!
Sounds more like a trade off than a gain. Of course if you accept that prices remain the same because hidden taxes are removed, which I don't, then the non-income tax paying drug dealer will be paying the same amount of tax he's paying now AND he'll get a prebate check at the beginning of each month.Actually, because the drug trade is an import trade, the FairTax could tax the drug trade less than the current system. A portion of the untax money going into the drug market is going to leave the country to buy more drugs for import. In this sense, it's better to tax the money going in (current system) than coming out (FairTax).
You need to describe what you have 'studied'. The results have not yet been published and preliminary reports indicate the NRST is substantially lower on certain product categories. But the results are not yet public.
This is why I respond the way I do, lots of detractors saying stuff without backup, i.e. blowing hot air into what should be a frank discussion.
How you can say what you said without having the data, without having done the analysis, without knowing the results is a sign of someone that adds nothing to the discussion and aims to detract.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.